Liontrust Sustainable Investment Annual Review 2021 - International - Report - Page 51
Liontrust GF SF European Corporate Bond Fund
Investment Objective & Policy1:
The Fund aims to maximise total returns (a combination of income and capital growth) over the long term (five years or
more) through investment in sustainable securities, primarily consisting of European investment grade fixed income securities.
The Fund invests at least 80% of its assets in bonds issued by companies which are denominated in Euro or non-Euro
corporate bonds that are hedged back into Euros. The focus is on investment grade corporate bonds (i.e. those which meet
a specified level of creditworthiness). The Fund invests in companies that provide or produce more sustainable products
and services as well as having a more progressive approach to the management of environmental, social and governance
(ESG) issues.
Although the focus is on investment grade corporate bonds, the Fund may also invest in government bonds, high yield
bonds, cash or assets that can be turned into cash quickly.
Where the Fund invests in non-Euro assets, the currency exposure of these investments will generally be hedged back to
Euro. Up to 10% of the Fund’s currency exposure may not be hedged, i.e. the Fund may be exposed to the risks of investing
in another currency for up to 10% of its assets.
The Fund may invest both directly, and through the use of derivatives. The use of derivatives may generate market leverage
(i.e. where the Fund takes market exposure in excess of the value of its assets).
The Fund has both Hedged and Unhedged share classes available. The Hedged share classes use forward foreign
exchange contracts to protect returns in the base currency of the Fund.
Recommended Investment Horizon:
5 years or more
SRRI2:
4
Active / Passive Investment Style:
Active
Benchmark:
The Fund is considered to be actively managed in reference to IBOXX Euro Corporate All Maturities (the “Benchmark”)
by virtue of the fact that it uses the benchmark(s) for performance comparison purposes. The benchmark(s) are not used to
define the portfolio composition of the Fund and the Fund may be wholly invested in securities which are not constituents
of the benchmark.
Sustainability Profile
The Fund is a financial product subject to Article 9 of the Sustainable Finance Disclosure Regulation (SFDR).
Liontrust GF SF Multi-Asset Global Fund
Investment Objective & Policy1:
The Fund aims to achieve capital growth over the long term (five years or more) by investing globally in sustainable securities.
The Fund will only invest in equity and debt securities issued by global companies that provide or produce sustainable
products and services, as well as equity and debt securities of issuers that have a progressive approach to the management
of environmental, social and governance issues.
The Fund may also invest in cash and Money Market Instruments.
Allocations to equities, bonds and cash will vary over time depending on market circumstances. Asset allocation limits will,
in normal circumstances, remain in line with the following ranges: Equity securities – 40-60%, Debt securities – 20-50%,
Cash – 0-20%.
While the Fund will invest predominantly in developed markets, it may also invest up to 20% in emerging market securities.
At times the Investment Adviser may decide to hold a more concentrated portfolio, and it is possible that a substantial portion
of the Fund could be invested in cash or cash equivalents.
The Fund is permitted to use derivatives for the purposes of efficient portfolio management, investment and hedging
purposes.
Recommended Investment Horizon:
5 years or more
SRRI2:
4
Active / Passive Investment Style:
Active
Benchmark:
The Fund is actively managed in reference to its benchmark comprising 50% MSCI World / 35% Markit iBoxx EUR Overall
Index / 15% ESTER by virtue of the fact that it uses the composite benchmark for performance comparison purposes. The
benchmark is not used to define the portfolio composition of the Fund and the Fund may be wholly invested in securities
which are not constituents of the benchmark.
Sustainability Profile
The Fund is a financial product subject to Article 9 of the Sustainable Finance Disclosure Regulation (SFDR).
Notes:
1
As specified in the KIID of the fund; 2 SRRI = Synthetic Risk and Reward Indicator. Please refer to the KIID for further detail on how this is calculated.
Liontrust Sustainable Investment: Annual Review 2021 - 51
