Investing with intent: The case for equity tilts

As climate risks grow and become more financially material, demand is still high for investment solutions with effective climate objectives. For clients looking for low-cost passive index trackers there are plenty of options out there.

However, Royal London Asset Management offers a range of equity tilt solutions that go a step further. We believe that it’s possible to drive positive outcomes, delivering significant carbon intensity reductions, without compromising on risk and returns. 

Our range of equity tilt funds do this by incorporating active decision making, based on insights we gain via company engagements. This innovative approach ensures that we’re able to change our allocated weightings relative to the benchmark and contribute to a substantial carbon reduction compared to a standard benchmark. The funds offer all this plus the low-cost advantages of a tracker fund.

Rather than divesting or excluding we tilt away from high carbon emitters and toward companies actively focusing on decarbonising or enabling low-carbon transition. Our solutions invest in not just what the world is, but what it must become.

Watch Matt Burgess, Head of Quantitative Equities and Nils Jungbacke, Senior Fund Manager, in this webinar where they will cover:

• The importance of active stewardship
• A proven, robust and credible investment process
• How investments can drive positive outcomes for clients

This is a financial promotion and is not investment advice. Capital at risk. Past performance is not a guide to future performance. The value of investments and any income from them may go down as well as up and is not guaranteed. Investors may not get back the amount invested. Portfolio characteristics and holdings are subject to change without notice. The views expressed are those of the author at the date of publication unless otherwise indicated, which are subject to change, and is not investment advice.