Investment Approach

The Fund aims to achieve a return on your investment, through a combination of capital growth and income on the Fund’s assets, which reflects the return of the MSCI World Climate Paris Aligned Select SDG Screened Index, the Fund’s benchmark index (Index). The Fund is passively managed and aims to invest so far as possible and practicable in the equity securities (e.g. shares) that make up the Index. The Index aims to reflect the performance characteristics of a subset of equity securities within the MSCI World Index (Parent Index), which are selected and weighted to reduce exposure to transition and physical climate risks, and to pursue opportunities arising from the transition to a lower-carbon economy whilst seeking to align with the objectives of the Paris Agreement as further described in the Fund’s prospectus. The Index excludes companies which are identified by the index provider as being involved in certain business activities and environmental, social and governance (ESG) controversies, and excludes companies categorised by the index provider as being “strongly misaligned” with certain UN Sustainable Development Goals. The remaining constituents are selected and weighted based on specific thresholds and other criteria with the aim of collectively meeting certain decarbonisation targets, reducing exposure to transition and physical climate risks and taking advantage of opportunities arising from the transition to a lower carbon economy.