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JPMAM expands suite of sustainable funds in Singapore
Retail investors seeking solutions aligned with ESG values without compromising on financial goals
31 Mar 2021 | The Asset

JPMorgan Asset Management (JPMAM) has registered two new sustainable funds for Singapore-based retail investors. JPMorgan Investment Funds – Global Income Sustainable Fund (SICAV) and JPMorgan Funds – Emerging Markets Sustainable Equity Fund (SICAV) will complement JPMorgan Funds – Global Bond Opportunities Sustainable Fund, which was launched last year, forming a core suite of dedicated sustainable funds.

Sherene Ban, chief executive officer, Singapore and Southeast Asia, at JPMAM, comments: “Singaporeans are increasingly looking at sustainable investing criteria when selecting investments, driven by a few different factors. One contributing aspect has been the prominent focus from the Monetary Authority of Singapore in steering the financial sector towards stronger sustainability standards, which has highlighted the importance of [environmental, social and governance] considerations. Also, Singapore investors are becoming more discerning in seeking core solutions that are aligned to their sustainable values without compromising on their financial objectives.”

 Both of the newly retail registered funds are Luxembourg-domiciled UCITS products.

The Global Income Sustainable Fund is a globally diversified multi-asset income fund with a sustainable focus. It takes a flexible approach to seeking out the best sustainable income opportunities from around the globe and across the capital structure, leveraging sustainable exclusions and a positive ESG tilt.

The fund excludes companies from 10 unsustainable sectors based on client values, industry norms and regulation. Leveraging the firm’s global research capabilities for finding opportunities for attractive income-producing investments globally, the fund is tilted towards securities with more effective governance and superior management of environmental and social opportunities.

The Emerging Markets Sustainable Equity Fund seeks to provide long-term capital growth by investing in emerging market (EM) companies which are best in class for sustainable business practices and also sustainable financial outcomes. When first launched in Europe in 2019, it was one of the industry’s first sustainable EM equity funds.

The fund currently has 77% lower carbon dioxide emissions (reduction from 259.7 tonnes to 59.2 tonnes per US$1 million invested in the fund) as compared to the MSCI Emerging Markets Index, as of end of December 2020, JPMAM says.