La Française Asset Management has launched a target-dated bond fund with a low carbon focus.
The La Française Carbon Impact 2026 aims to invest in players that show real ambition towards energy transition and aim to reduce their carbon emissions in the fight against global warming.
The portfolio will invest in 120 to 200 holdings, as issuers will be filtered based on ESG criteria and then will undergo a second step of thematic integration, which links carbon analysis to financial analysis.
The fund aims to have a weighted average of greenhouse gas emissions at least 50% lower than that of a comparable investment universe, per euro invested in the portfolio.
The new strategy can invest up to 100% of its new assets in bonds issued by private and semi-public sectors, including green bonds, with a maturity that is smaller or equal to 31 December 2026. It can also invest up to 100% of assets in investment grade and up to 70% in high yield.
Jean-Luc Hivert (pictured), global head of investments at La Française AM, said: ‘We have combined two of the group's long-standing expertise, namely target maturity fund management and sustainable investment, with the know-how in ESG analysis developed by our extra-financial research centre, Inflection Point, to create La Française Carbon Impact 2026.
‘It will favour companies that have already begun their energy transition in order to reduce their carbon impact in the long term. As a committed player in the climate transition, we contribute with investors to the collective effort to limit the rise in global warming.’