Learning: Unstructured
The importance of ESG is only growing and as the landscape continues to evolve, so does consumer demand and the way in which clients integrate ESG into their portfolios. Watch the replay of our recent webinar as our panel address some of the challenges this poses as well as identifying the opportunities for clients across the spectrum of active and passive solutions.
- How product offerings have evolved in response to consumer demand
- Key issues to consider when allocating to ESG including fixed income ESG benchmarks and changing UK regulation
- Where we see opportunities, for instance the opportunity climate presents in portfolios
We understand this changing landscape and over the past few years, have started to launch new products and adapt existing strategies to enable greater investment opportunities for clients. These include:
- Expanding our ESG ETF range to include our Paris-Aligned suite of ETFs – 6th December 2021
- Repositioning Invesco UK Companies Fund to Invesco Sustainable UK Companies Fund (UK) – 31st January 2022
- Launching Invesco Environmental Climate Opportunities Bond Fund (UK) (ECO Bond) – 7th February 2022
Listen as Clive Emery, Fund Manager, hosts a panel discussion with:
- Christopher Mellor, Head of ETF Equity and Commodity Product Management
- Tom Hemmant, Senior Credit Analyst and Fund Manager, Invesco Environmental Climate Opportunities Bond Fund (UK)
- Tim Marshall, Fund Manager, Invesco Sustainable UK Companies Fund (UK)
Investment risks
The value of investments and any income will fluctuate (this may partly be the result of exchange-rate fluctuations) and investors may not get back the full amount invested.
Invesco Sustainable UK Companies Fund (UK)
The use of ESG criteria may affect the fund’s investment performance and the fund therefore may perform differently compared to similar products that do not screen investment opportunities against ESG criteria.
The fund may use derivatives (complex instruments) in an attempt to reduce the overall risk of its investments, reduce the costs of investing and/or generate additional capital or income, although this may not be achieved. The use of such complex instruments may result in greater fluctuations of the value of the
fund. The manager, however, will ensure that the use of derivatives within the fund does not materially alter the overall risk profile of the fund. Such derivatives may not be aligned with the fund’s ESG screening criteria.
Invesco Environmental Climate Opportunities Bond Fund (UK)
The use of ESG criteria may affect the product’s investment performance and therefore may perform differently compared to similar products that do not screen investment opportunities against ESG criteria.
The securities that the fund invests in may not always make interest and other payments nor is the solvency of the issuers guaranteed. Market conditions, such as a decrease in market liquidity for the securities in which the Fund invests, may mean that the Fund may not be able to sell those securities at their true value. These risks increase where the Fund invests in high yield or lower credit quality bonds.
The fund has the ability to make use of financial derivatives (complex instruments) which may result in the fund being leveraged and can result in large fluctuations in the value of the fund. Leverage on certain types of transactions including derivatives may impair the fund’s liquidity, cause it to liquidate positions at unfavourable times or otherwise cause the fund not to achieve its intended objective. Leverage occurs when the economic exposure created by the use of derivatives is greater than the amount invested resulting in the fund being exposed to a greater loss than the initial investment.
The fund may be exposed to counterparty risk should an entity with which the fund does business become insolvent resulting in financial loss.
The fund’s performance may be adversely affected by variations in interest rates.
Important information
This video is for Professional Clients in the UK only and is not for consumer use.
Where individuals or the business have expressed opinions, they are based on current market conditions, they may differ from those of other investment professionals, they are subject to change without notice and are not to be construed as investment advice.
For the most up to date information on our ICVC funds, please refer to the relevant fund and share class-specific Key Investor Information Documents, the Supplementary Information Document, the Annual or Interim Reports and the Prospectus, which are available using the contact details shown.
For more information on our ETFs and the relevant risks, please refer to the share class-specific Key Investor Information Documents (available in local language), the Annual or Interim Reports, the Prospectus, and constituent documents, available from www.invesco.eu. A summary of investor rights is available in English from www.invescomanagementcompany.ie. The management company may terminate marketing arrangements.
Issued by Invesco Fund Managers Limited, Perpetual Park, Perpetual Park Drive, Henley-on-Thames, Oxfordshire RG9 1HH, UK. Authorised and regulated by the Financial Conduct Authority.
