Invesco Mutual Fund has launched Invesco India ESG Equity Fund which will invest in companies that are selected based on Environmental, Social & Governance (ESG) criteria.
The fund will invest 80% - 100% of net assets in companies complying with ESG criteria as defined by Invesco’s proprietary investment framework. The fund will predominantly invest in large caps while the mid and small cap exposure will be limited to 35%.
The fund will follow a bottom-up approach to select stocks. The portfolio will be a blend of growth & value with approximately 30 – 40 holdings. Invesco has a dedicated global team of ESG experts who will work closely with local investment team to develop ESG practices.
The new fund offer opened for subscription on February 26, 2021 and will close for subscription on March 12, 2021.
Globally, Invesco manages more than $ 34 bn (over Rs 2.5 lakh crore) across 44 ESG funds and segregated mandates globally (as on December 2020).
The fund will avoid investing in companies involved in activities such as thermal coal extraction, unconventional oil & gas extraction (shale oil, shale gas, and arctic drilling), power production based on coal, unconventional weapons (including nuclear weapons systems, biological weapons etc.), tobacco production & trading, gambling, among others.
The fund will be managed by Taher Badshah and Amit Nigam.