Changes to the Sustainable & Responsible Equity fund

This article summarises the key changes to the fund and includes the minutes from the EGM. 

From 24 February the SJP Sustainable & Responsible Equity fund will have a new manager and incorporate a more balanced blend of investment styles. This follows unitholder approval of changes we had proposed at an Extraordinary General Meeting (EGM) held on 9 January.

The changes to the fund are intended to improve diversification and further enhance the fund’s focus on sustainability. The latter will enable it to meet the FCA’s new higher threshold for sustainable investments and achieve a “sustainability focus” label.

• The fund’s objective, policy and strategy will change to enhance its focus on sustainable investments. 
• Schroder Investment Management (Schroders) will replace Impax Asset Management as the fund manager. 
• The number of underlying companies invested in will increase.

What’s a sustainability focus label?

The Sustainable & Responsible Equity fund will have a sustainability focus label. This means it aims to invest in companies that are environmentally and/or socially sustainable.

The Financial Conduct Authority (FCA) has introduced a new labelling system – like a quality mark – for sustainable investment funds. To call a fund ‘sustainable’ tough new criteria needs to be met.  

Funds with the label must be able to evidence their investments meet a certain standard to be deemed environmentally and/or socially sustainable, which previously hasn’t been a requirement.  

The value of an investment with St. James's Place will be directly linked to the performance of the funds you select and the value can therefore go down as well as up. You may get back less than you invested.