The latest news in investment offerings, financial products and other services relative to wealth advisors and their clients.
Allspring Global Investments
US-based Allspring Global Investments has launched its second climate transition fixed income fund, the Allspring Climate Transition Global High Yield Fund, to expand its climate transition fund suite and meet increasing demand.
The fund will be managed by the Plus Fixed Income team and led by portfolio managers Mike Schueller, CFA; Jens Vanbrabant, CFA; Chris Lee, CFA; and Sarah Harrison, the firm said in a statement this week.
“This year there have been two themes that have dominated our client conversations. One has been the heightened interest in fixed income assets with current yields providing an attractive entry point for new capital,” Andy Sowerby, head of international distribution, said. “The second is the ongoing challenge of decarbonising fixed income portfolios. Whilst many have already undertaken this move across equity holdings, fixed income portfolios are increasingly at the top of the to-do list, he continued.
"Therefore, we are delighted to expand our offering with the addition of the Allspring Climate Transition Global High Yield Fund to further support investors with the transition to a low-carbon economy,” he said.
Against the backdrop of investors and companies decarbonising their portfolios and business operations, the fund’s approach is to deliver exposure to global high yield fixed income opportunities focused on companies transitioning to a lower carbon world. It is suitable for investors who are seeking to immediately reduce the carbon intensity of their investments and then provide a clear path to net zero by 2050, the firm said. By investing across the high yield market, this strategy seeks to deliver a high level of income and manage risks inherent in this asset class, the asset manager continued.
The fund is classified as Article 8 under the EU’s Sustainable Finance Disclosure Regulation and it is registered for distribution in Austria, Luxembourg, the Netherlands, Switzerland, and the United Kingdom. The firm also intends to register it in Belgium, Denmark, Finland, France, Germany, Ireland, Italy, Norway, Portugal, Spain, Sweden, Singapore, and South Korea. Allspring’s current related strategy, the Allspring Climate Transition Global Investment Grade Credit Fund, was introduced on 1 January 2021.