The latest news in investment offerings, financial products and other services relative to wealth advisors and their clients.

Martin Currie, a specialist investment manager of Franklin Templeton, has launched its first social impact fund. 

A sub-fund of the Franklin Templeton Global Funds range domiciled in Ireland, the FTGF Martin Currie Improving Society Fund is categorised as Article 9 under the EU’s Sustainable Finance Disclosure Regulation (SFDR). The fund gives access to socially-focused investments which are aligned with UN Social Development Goals (SDGs).

It will be registered for distribution initially in France, Italy, Luxembourg, the Netherlands, Sweden and the UK, the firm said in a statement.

This new social impact global equity fund aims to deliver long-term capital growth while advancing fairness of social opportunity and narrowing the equality gap. It will invest in a concentrated, high conviction and long-term portfolio of 20 to 35 companies globally that contribute to three impact pillars: improving wellbeing, improving inclusion and supporting a just transition towards a sustainable economy, the firm continued.

The fund’s investment team includes Martin Currie’s Edinburgh-based Lauran Halpin, portfolio manager and head of impact equities, and John Gilmore, portfolio manager, impact equities and stewardship, sustainability and impact specialist. David Sheasby, head of the stewardship, sustainability and impact team, will act as an advisor to the investment team, the firm added.

“The Organisation for Economic Co-operation and Development (OECD) estimates there is a $2.5 trillion annual funding gap in meeting the UN Sustainable Development Goals (SDGs). There is a significant opportunity to create impact at scale by investing in companies that are contributing to pressing societal needs like providing access to clean drinking water, healthcare and education as well as financing job re-skilling for working in a green economy,” Halpin said.

“This new fund invests in companies innovating to address societal needs with long-term growth potential, which in turn encourages cash flow and returns and reinvestment into addressing other societal issues. Companies with products that make a difference in people’s lives can benefit from long-term profit pools generated by ongoing societal needs and ultimately gain a competitive advantage,” Halpin continued.

“With a focus on social impact, we believe there is opportunity to deliver superior risk-adjusted returns to our clients by investing in companies that contribute to the UN Sustainable Development Goals,” Anne Simpson, global head of sustainability, Franklin Templeton added.

Union Bancaire Privée 
Swiss private bank Union Bancaire Privée (UBP) has signed a distribution agreement with Securis Investment Partners, an investment manager of insurance-linked securities. The partnership will enable UBP to offer Securis’ global capabilities to institutional clients and third-party distributors throughout Europe, the Middle East and Asia, the firm said in a statement.  

ILS is an asset class that allows investors to access insurance risk premium by providing cover for natural or man-made catastrophes, offering investors projected risk-adjusted returns with low correlation to more traditional asset classes. ILS strategies typically invest in one or more insurance-linked instruments, the most well-known being catastrophe bonds, the firm added. 

“At UBP we pride ourselves in providing our clients with the best possible expertise, products and services. In Securis, we have found the ideal partner in the ILS space, allowing us to enhance our offering beyond our existing capabilities and better meet our clients’ needs,” Nicolas Faller, co-CEO asset management and head of institutional clients at UBP, said. 

“Very few ILS managers have the resources and infrastructure required to deliver the breadth of high-quality investments that Securis offers,” he added. 

Founded in 2005 and based in London, Securis is a global ILS manager with $3.3 billion of assets under management.