Jupiter has launched an Article 8 version of Ariel Bezalel's Dynamic Bond fund, which will be supported by a new hire - fixed income ESG director Anna Karim.
Jupiter Dynamic Bond ESG, which will be run by manager Harry Richards alongside Bezalel, has a SICAV structure.
Alongside the existing Dynamic Bond team's investment process, the fund will "actively promote environmental and social characteristics", according to the firm, through incorporating themes such as transitioning to a lowcarbon economy and stakeholder-positive agendas. It will also use sector and sovereign exclusions, alongside qualitative research. The flagship €10bn Jupiter Dynamic Bond fund will remain classified as an Article 6 vehicle.
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In line with the new launch, Jupiter has hired Federated Hermes' Anna Karim as ESG director, fixed income. Karim, who joined Jupiter last October, has previously spent 20 years working across investment banks including Citi Group and Bank of America Merrill Lynch. She will oversee Jupiter's range of fixed income funds, but with a particular focus on Jupiter Dynamic Bond ESG.
Bezalel, head of strategy, fixed income, said: "Our long experience of credit markets across Jupiter's fixed income team has taught us how easily weak governance and environmental and social risks can derail seemingly strong or improving credit stories.
"Our ability to manage downside risk relies on rigorous consideration of potential ESG risks alongside traditional financial analysis, and we are pleased to be formalising and promoting this process within the new fund."
Warren Tonkinson, deputy global head of distribution at Jupiter, added that SFDR, alongside a growing "acknowledgment among investors of the urgency to address the environmental challenges impacting our world", has accelerated demand for positive impact and ESG investments.
"We are delighted, therefore, to offer this additional fund to clients looking to access our successful and established strategy with specific ESG objectives in mind," he said.
