Nuveen launches core impact bond fund into Ucits market
US-based global investment giant Nuveen has launched its Global Core Impact Bond fund for Ucits investors to capitalise on opportunities created by ‘ESG leaders’.
The multi-currency bond fund will invest across all global fixed income markets. It will mirror similar funds, such as the US Core Impact Bond and Short Duration Impact Bond funds, which target best-in-class issuers of ESG-compliant bonds.
Focusing on perceived ‘ESG leaders’, the bond fund will find companies setting an example in their respective industry or sector, with respect to ESG risks and behaviours. Nuveen said, unlike its peers, it will not invest in laggards or cheaply priced securities going through a perceived improvement.
The fund may allocate up to 40% in emerging markets and 15% in high yield, at the managers’ discretion. It will launch with $25 million of seed capital. The strategy is available to investors based in Denmark, Netherlands, Switzerland, Germany, UK and Italy.
