Fidelity expands sustainable and thematic offering

Fidelity International (Fidelity) is further expanding its Sustainable Family of Funds with the launch of three Luxembourg-domiciled regional focussed portfolios: Fidelity Funds – Sustainable Asia Equity Fund, Fidelity Funds – Sustainable European Smaller Companies Fund and the Fidelity Funds – Sustainable Japan Equity Fund.

In response to growing demand for theme-based investments, two new thematic Luxembourg-domiciled funds will also be launched in early 2021: Fidelity Funds – China Innovation Fund and the Fidelity Funds – Global Thematic Opportunities Fund.

Christophe Gloser, Head of Sales, Continental Europe, Fidelity International, says: “Ultimately, our clients’ goals are fundamentally aligned with those of society and it is our place to ensure we represent them in the best way possible. Like them, we believe that by investing in companies which operate with high standards of sustainability we can protect and enhance investment returns for our clients.

“Our clients are also becoming increasingly theme-aware when taking their investment decisions. Last month we introduced our Fidelity Funds – Future Connectivity Fund and we’re pleased to now offer an even broader range of thematic funds capturing some of the most interesting megatrends in society, such as China Innovation.”

The Fidelity Sustainable Family currently consists of eight funds, including water and waste and carbon reduction sustainable thematic strategies, as well as two best in class equity funds, one best in class fixed income fund and three Enhanced Sustainability ETFs.

The Sustainable Family’s investment approach is underpinned by three pillars, centred around engagement, exclusion, and Fidelity’s proprietary research. This combines Fidelity’s focus on active engagement with an enhanced exclusion framework with the aim to ensure companies in which the funds invest meet certain sustainable standards and behave in a manner consistent with responsible investment values.

Jenn-Hui Tan, Global Head of Stewardship and Sustainable Investing, Fidelity International, adds: “We have responded to our clients’ demands in recent years by substantially developing our in-house resources to scrutinise and map sustainability risks, including the introduction of our proprietary Sustainability Ratings which form the cornerstone of our ESG analysis. Our Sustainable Family has grown from five to eleven funds in just over a year, and I fully expect this trend to continue in line with rising regulatory focus and increasing client demand.”