Hermes Investment Management is launching an impact fund as it extends its commitment to responsible investing to increasing the levels of prosperity in society.
The Hermes Impact Opportunities Strategy will be managed by Tim Crockford, who manages the Hermes Europe ex UK strategy, with the support of a four-strong team.
The fund will be a concentrated, high-conviction global equity portfolio of between 25 and 50 positions with a holding period of five to 10 years. The main objective is to increase prosperity in society through sustainable impact investing and by holding companies linked to at least one UN Sustainable Development Goal.
Andrew Parry, head of sustainable investing at Hermes, says: “The scale of public equity markets means that listed companies can meaningfully influence society and the environment as powerful agents of change. We have seen this first-hand at Hermes over our decades of investing responsibly and driving long-term portfolio returns from purposeful companies with innovative solutions to meet society’s needs. Hermes Impact Opportunities is a natural extension of our longstanding commitment to active ownership and responsible investing.”
Crockford adds: “We aim to generate value for our clients because the companies in which we invest are making a positive and sustainable impact on society and the environment in which they operate. Our unconstrained and benchmark agnostic approach will allow the team to scour the global investment universe for innovative, purposeful companies, that have a positive impact on the lives of all of their stakeholders.”
Hermes Impact Opportunities will launch in January 2018, subject to regulatory approval.