In September this year, Reuters reported that investors and more than 120 business leaders who manage trillions of assets urged the European Union to drop at least 55% by 2030.
The growing climate crisis has attracted the attention of investors around the world in recent years, highlighting opportunities to accelerate alternative energy solutions to reduce emissions.
Despite the ongoing coronavirus pandemic, the UN-backed Green Climate Fund has committed to strengthening efforts to tackle climate challenges, even as countries around the world are fighting economic fallout.
The latest to join the movement by London-based investment manager M&G PLC (LON:MNG), has announced the launch of a new OEIC Climate Fund for investment in companies that provide solutions to the challenges posed by climate change.
The M&G Climate Solutions Fund will invest in approximately 30 different companies that generate revenue in three key impact areas: clean energy, green technology and the promotion of the circular economy.
The fund selection process is based on the net positive climate impact and revenue integrity of each company, and M&G says it refers to the climate-related UN Sustainable Development Goals as part of its annual assessment.
Operated by M&G Fund Manager Randeep Somel, the Climate Solutions Fund is responsible for the 0.7% annual fees for the I-Stock Class excluding transaction costs.
Commenting on the launch, Somel told CityWire:
“This is a multimonth opportunity for companies that provide innovative products and services, and for those who invest in them.”
