I’m pleased to introduce you to the Jupiter Global Leaders Fund (the “Fund”), which from 29 November 2024 will be the new name for what you currently know as the Jupiter Global Sustainable Equities Fund. It is important to note, however, that there will be no change to the investment objective, active approach, portfolio, or risk profile – and the same investment team remains in place managing the strategy.

If so much is staying the same, then why are we changing the name? The introduction of sustainability disclosure requirements (SDR) in the UK requires funds that use certain terms (e.g. ‘sustainable’) to adopt an SDR label or cease using the term in their name. We took the decision not to adopt an SDR label, and therefore need to change the Fund’s name. From 29 November 2024 the newly-named Jupiter Global Leaders Fund will be categorised as an unlabelled fund with sustainability characteristics, measuring and reporting on Key Performance Indicators (“KPIs”) against the progress of those sustainability characteristics.

Aligned to sustainability disclosure requirements

The new name aligns to the requirements of SDR and is consistent with the investment focus of the Fund, which invests in equities across the world that demonstrate long term leadership.  When we consider leadership we look for those companies that have high quality economic characteristics, strong competitive positioning with affordable levels of borrowing, and generate long term cash flow through an economic cycle. Once this is established, we then consider the environmental and social outcomes of the business.

We have also taken this opportunity to update the Fund’s investment policy and investment strategy to provide further clarity as to how we select assets for the Fund. Full details of the changes were set out in a letter that has already been sent to existing investors and will be reflected in relevant documentation for the Fund from 29 November 2024.

Aligned to good environmental and social outcomes

How the Fund’s investments perform against their sustainability characteristics is an important part of our conviction in our holdings. As such, KPIs will be focussed on how the Fund’s investments align with good environmental and social outcomes, including those real-world outcomes captured by the UN Sustainable Development Goals and the Paris Agreement.

Companies will either:

  1. provide products or services that are, or operate in a way that is, aligned with the delivery of one or more of the United Nations Sustainability Development Goals (“UN SDGs”) (a blueprint provided by the United Nations, consisting of 17 SDGs to achieve a better and more sustainable future for all. The 17 SDGs address the global challenges faced, including those relating to poverty, inequality, climate change, environmental degradation, peace and justice¹); or 
  2. align operationally with the temperature goals of the Paris Agreement (a pledge by world leaders in 2015 to limit the global average temperature increase to well below 2 degrees above pre-industrial levels and pursue efforts to limit the temperature increase to 1.5°C above pre-industrial levels²).

We also will not invest in a company that is assessed as violating the principles of the United Nations Global Compact (“UNGC”). 

We have previously published reports that provide transparency on how we consider alignment of the holdings to planet, people and profit – the latest version can be found in our website’s Document Library – and we will continue to publish similar reports on an ongoing basis.

The value of active minds – independent thinking

A key feature of Jupiter’s investment approach is that we eschew the adoption of a house view, instead preferring to allow our specialist fund managers to formulate their own opinions on their asset class. As a result, it should be noted that any views expressed – including on matters relating to environmental, social and governance considerations – are those of the author(s), and may differ from views held by other Jupiter investment professionals.

Important information

This document is for informational purposes only and is not investment advice. We recommend you discuss any investment decisions with a financial adviser, particularly if you are unsure whether an investment is suitable. Jupiter is unable to provide investment advice. Past performance is no guide to the future. Market and exchange rate movements can cause the value of an investment to fall as well as rise, and you may get back less than originally invested.  The views expressed are those of the authors at the time of writing are not necessarily those of Jupiter as a whole and may be subject to change.  This is particularly true during periods of rapidly changing market circumstances. For definitions please see the glossary at jupiteram.com. Every effort is made to ensure the accuracy of any information provided but no assurances or warranties are given. Company examples are for illustrative purposes only and not a recommendation to buy or sell. Jupiter Unit Trust Managers Limited (JUTM) and Jupiter Asset Management Limited (JAM), registered address: The Zig Zag Building, 70 Victoria Street, London, SW1E 6SQ are authorised and regulated by the Financial Conduct Authority. No part of this document may be reproduced in any manner without the prior permission of JUTM or JAM.