Federated Hermes unveils global ESG equity fund

Federated Hermes has launched a new Sustainable Global Equity Fund, the first of a new sustainable suite of products being developed.

The new fund will be managed by Martin Todd, who will work alongside head of impact and sustainable investing, Ingrid Kukuljan, and will be available to investors in the second quarter of 2021.

The Sustainable Global Equity Fund aims to deliver long-term transformative change and financial outperformance by identifying profitable, sustainable companies whose activities help create a more sustainable future.

The fund will have a dual objective of achieving capital growth and a reduced environmental footprint compared to the benchmark.

The investment process will encompass exclusions, proprietary sustainability scores and a clear thematic framework focused on four main areas: environmental preservation, social inclusion, health and wellbeing, and efficient production and resource usage.

Todd said: “Companies leading the sustainability transition have more than just excellent ESG profiles. Their activities directly contribute to a more sustainable future.”

“The asset manager’s high-conviction, bottom-up approach combined with its ESG and stewardship integration, will allow it to identify those investment opportunities and create long-term transformative change and financial outperformance,” he continued.