HSBC Global AMC launches open-ended fund of fund scheme; subscription will close on March 17

“This fund is designed to address potential solutions to that climate change challenge by thinking about how we can successfully make that energy transition.”

“Just as climate change comes from many places, we need to address all these things as part of our solution. So, this fund targets those solutions through 9 sub-themes and that is the purpose of the fund to address climate change and at the same time try to reduce carbon intensity.”

“It cannot make your money matter, if all you are doing is simply replicating a wider benchmark. You have to be totally focused on the theme and the solutions to that theme. At the same time it is also important that the portfolio as a whole has a lower carbon intensity than the broader index. Finally, it is also important for companies to have attractive ESG credentials. We put that together as a package in the portfolio,” Parker said.

When asked what differentiates this fund from another broader ESG fund, he replied, “The attraction that we have put together is very authentic, pure implementation. It is very important for our clients to know what we are doing. They know we are focused on the climate change theme, when they look at individual holding in the fund, they are not surprised by the explanation. That is an important point for a fund like this.”