Invesco has launched a new corporate bond fund, with a primary objective of contributing to net zero emissions by 2050 or sooner.
The Invesco Net Zero Global Investment Grade Corporate Bond fund is an Article 9 fund under SFDR and will be jointly managed by Lyndon Man, Luke Greenwood, Michael Booth and Matthew Henly.
The fund will offer exposure to a global portfolio of corporate credits, focusing on high-quality issuers that meet its net zero framework, whilst seeking to deliver income and long-term capital growth to investors.
The fund follows a net zero approach based on an investment framework set out by the Paris Aligned Investment Initiative, with the managers arguing that companies with better resilience to climate risks will outperform in the long term.
The fund has an ongoing charge fee of 0.58% and a management fee of 0.38%.
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Man, who is also co-head of global investment grade credit at Invesco, commented: "We have listened to the needs of our clients when developing the fund and believe that we are now able to offer an innovative approach to Corporate Bond investing for those who wish to contribute to the effort of achieving net zero by 2050 or sooner.
"The transition to net zero is a global initiative, impacting all sectors and geographies. Our approach acknowledges this and will individually assess corporates we invest in on their alignment with the objective of achieving a successful transition to net zero."
Oliver Bilal, head of EMEA distribution, added: "Invesco already offers a selection of ESG and sustainable investments for a wide selection of client types, ranging from a multi asset sustainable range; a net zero aligned Buy & Maintain strategy for pension funds, as well as four Article 9 ETFs; a further 19 ESG ETFs; and an Article 9 Energy Transition fund (quantitative strategy), amongst others.
"We will continue to grow our sustainable investment range and partner with our clients to develop solutions that will help them achieve their sustainable objectives, at the same time reinforcing the work we do as a signatory to the Net Zero Asset Managers Initiative."
