Leading the transition to a more sustainable world
The Jupiter Global Sustainable Equities Fund targets high-quality companies that in our view are leading the transition to a more sustainable world through how they behave and the real-world effect of what they sell. We take a long-term approach to investing and therefore consider quality in the context of how companies balance the considerations of Planet, People and Profit.
Planet – on which we all depend
It is vital that companies manage the environmental footprint of their operations. We want companies to focus on using their resources efficiently and contribute to the global economy’s transition towards decarbonisation.
People – with whom we all co-exist
It is our view that companies that invest in their people, providing a supportive and inclusive working environment and contributing positively to society, will be best placed to thrive.
Profit – that we all require for our savings
Producing resilient profits is crucial for any company’s long-term future in this changing world. We value companies that manage their business for long-term sustainability, not short-term gains.
The investment strategy considers what a company sells and how a company behaves, focusing on materiality in the context of future cash flows and relevance to economic resilience. For example, if a company keeps the interests of its key stakeholders at the core of its decision-making, in our view it is more likely to have a productive workforce, strong client retention, and more resilient profitability. If a company proactively manages its impact on the planet by using green energy, using less water, creating less waste, and embedding biodiversity considerations, that is an indication of a long-term approach to its future.
We look to address key societal needs such as gender and social equality, decarbonisation, improving preventative healthcare and broadening access to financial services through analysing how a company behaves and what it sells.
The fund targets companies that are financially stable, operationally efficient, and have resilient profitability. Our focus is on the ESG factors which we believe are going to have the most material influence on a company’s cash flow.
This is a high conviction, bottom up, unconstrained global equity fund with sustainability and stakeholder assessment at the heart of all stages of the investment process. We do not rely on third parties or ESG ratings. Instead, the investment team’s over four decades of combined experience in sustainable investing is used to deeply analyse companies. This detailed work builds the investment case for each company.
Transparency
We integrate Environmental, Social and Governance (ESG) considerations throughout the investment process in order to better understand sustainability as an output. By approaching our work in this way, we seek to provide attractive financial returns for our clients by investing in leading companies that in our view align to positive environmental and social outcomes. Our proprietary Sustainability Report offers investors transparency about the extent to which companies in which their savings are ultimately invested may be contributing to a more sustainable world.
The fund seeks the best risk-adjusted returns for clients. It is not an impact fund.
ESG and sustainability are core to the fund’s philosophy. It is not a tick box ESG fund.
The fund’s global investible universe includes c.8,000 companies. It is not a thematically restricted fund.
Active management supports positive client outcomes. The fund is not passive or benchmark-hugging.
The fund seeks resilient companies built to survive and prosper over the long-term. It does not chase after short-term growth.
Fund specific risks
- Derivative risk – the Fund may use derivatives to reduce costs and/or the overall risk of the Fund (this is also known as Efficient Portfolio Management or “EPM”). Derivatives involve a level of risk, however, for EPM they should not increase the overall riskiness of the Fund.
- Currency (FX) Risk – The Fund can be exposed to different currencies and movements in foreign exchange rates can cause the value of investments to fall as well as rise.
- Pricing risk – Price movements in financial assets mean the value of assets can fall as well as rise, with this risk typically amplified in more volatile market conditions.
- Counterparty Risk – The risk of losses due to the default of a counterparty e.g. on a derivatives contract or a custodian that is safeguarding the Fund’s assets.
- ESG Equity Data – The Fund uses data from third parties (which may include providers for research, reports, screenings, ratings and/or analysis such as index providers and consultants) and that information or data may be incomplete, inaccurate or inconsistent.
- ESG and Sustainability – Investments are selected or excluded on both financial and non-financial criteria. The Fund’s performance may differ from the broader market or other Funds that do not utilise ESG/Sustainability criteria when selecting investments.
For a more detailed explanation of risk factors, please refer to the “Risk Factors” section of the Scheme Particulars.
Important Information
This document is intended for investment professionals and is not for the use or benefit of other persons, including retail investors. This document is for informational purposes only and is not investment advice. 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. Past performance is no guide to the future. The views expressed are those of the Fund Manager(s) 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. Every effort is made to ensure the accuracy of any information provided but no assurances or warranties are given. Holding examples are not a recommendation to buy or sell. Quoted yields are not a guide or guarantee for the expected level of distributions to be received. The yield may fluctuate significantly during times of extreme market and economic volatility. Issued by Jupiter Unit Trust Managers Limited (JUTM), registered address: The Zig Zag Building, 70 Victoria Street, London, SW1E 6SQ which is 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.
Sustainability Report executive summary
Meet the team
Jupiter Global Sustainable Equities Team
A significant proportion of the team have dedicated their entire investment careers to the structural drivers which underpin the investment opportunity within global sustainable equities. Led by Abbie Llewellyn-Waters, investment manager, the strategy is well resourced, with dedicated analysts, Freddie Woolfe, Kristian Herrington and Carli Prewett. The team can also draw upon Jupiter’s central expertise, including Jupiter’s in-house Data Science team and Stewardship teams.
Since joining Jupiter Asset Management in 2006, Abbie has specialised in sustainable investing, and with her team has built and designed a rigorous investment framework.
The team have won awards and received recognition for their investment performance, approach to evidence-based ESG integration, sustainability reporting and contribution to addressing the structural hurdles that women in investment face.¹
The team collaborate on many market wide initiatives including collaboration with various initiatives at the FRC, IA Sustainability and Responsible Investment Committee, CFA climate related syllabus, and the Diversity Project.
¹Investment Week Women in investment awards 2017. LAPF Investment Awards 2019, Impact Manager of the Year. ESG Investing Awards 2020 – Best Equity Fund (Highly Commended). 2022 Investment Week Sustainable Investment Awards – Best Sustainable Global Equity Fund (Highly Commended). Awards and ratings should not be taken as a recommendation.
