L&G Euro Corporate Bond (Responsible Exclusions) Fund
SICAV (UCITS compliant)
L&G Euro Corporate Bond (Responsible Exclusions) Fund
I-Class EUR Accumulation
ISINLU2050551006
Price90.95c12 Oct 2023
ISINLU2050551006
Price90.95c12 Oct 2023
Fund aim
The objective of the Fund is to provide long term return consisting of a combination of capital growth and income. The Fund will seek to achieve its investment objective while maintaining a lower weighted average carbon intensity than the Benchmark Index and applying the exclusion criteria detailed in the Investment Policy.
The Fund is actively managed and seeks to achieve this objective by investing in a broad range of bonds and bond related instruments denominated in Euro, GBP and USD, with at least 70% to be invested in a portfolio of Euro denominated bonds, and 70% of the fund to be invested in corporate bonds.
The Fund will generate investment return whilst excluding companies on the Responsible Exclusions list. The exclusion criteria applied to generate this list is detailed in the investment policy.
Fund snapshot
- What does it invest in? Invests in a broad range of bonds and bond-related instruments denominated in Euro, Sterling and US Dollar, with at least 70% invested in a portfolio of Euro denominated bonds. Invests at least 70% in corporate bonds.
- How does it invest? Actively managed, investing primarily in fixed income securities with an investment grade (lower risk) credit rating. May also invest in debt with a sub-investment grade (higher risk) credit rating on a limited basis, as well as derivative instruments. Will exclude companies on the Responsible Exclusions list described on the fund's Key Investor Information Document.
- Does it promote sustainability characteristics? The Fund promotes a range of environmental and social characteristics. Further information on how such characteristics are met by the Fund can be found in the Supplement.
Fund facts
| Fund size | €159.6m |
| Base currency | EUR |
| Fund launch date | 21 Oct 2019 |
| Domicile | Luxembourg |
| Share class launch | 24 Oct 2019 |
Benchmark
Markit iBoxx Euro Corporates Total Return Index
Costs
| Initial charge | 0.00% |
| Ongoing charges figure | 0.36% |
| Dilution adjustment | 0.488% - round trip |
| Swing factor | 0.244% |
Performance
Performance scenarios
Example investment:10,000 EUR
| Scenarios | 1 year | (Recommended holding period) 5 years | |
|---|---|---|---|
| Minimum | There is no minimum guaranteed return. You could lose some or all of your investment. | ||
| Stress scenario | What you might get back after costs | 8,060EUR | 8,140EUR |
| Average return each year (%) | -19.42 | -4.03 | |
| Unfavourable scenario | What you might get back after costs | 8,420EUR | 9,010EUR |
| Average return each year (%) | -15.75 | -2.07 | |
| Moderate scenario | What you might get back after costs | 10,120EUR | 11,480EUR |
| Average return each year (%) | 1.22 | 2.80 | |
| Favourable scenario | What you might get back after costs | 10,870EUR | 14,190EUR |
| Average return each year (%) | 8.68 | 7.25 | |
There is no minimum guaranteed return. You could lose some or all of your investment.
Portfolio breakdown
As at 31 Aug 2023
| Top 10 issuers | 19.2% |
|---|---|
| Rest of portfolio | 80.8% |
| No. of issuers | 150 |
|---|
Top 10 issuers (%)
| Federal Republic of Germany | 3.4 |
| Verizon Communications | 2.5 |
| BNP Paribas | 2.0 |
| UBS Group | 1.9 |
| Credit Mutuel | 1.9 |
| Intesa Sanpaolo | 1.5 |
| Morgan Stanley | 1.5 |
| Jyske Bank | 1.5 |
| Stedin Holding | 1.5 |
| Bank of America | 1.4 |
Currency (%)
EUR | 96.4 |
USD | 1.9 |
GBP | 1.8 |
| Top 10 issuers | 19.2% |
|---|---|
| Rest of portfolio | 80.8% |
| No. of issuers | 150 |
|---|
Top 10 issuers (%)
| Federal Republic of Germany | 3.4 |
| Verizon Communications | 2.5 |
| BNP Paribas | 2.0 |
| UBS Group | 1.9 |
| Credit Mutuel | 1.9 |
| Intesa Sanpaolo | 1.5 |
| Morgan Stanley | 1.5 |
| Jyske Bank | 1.5 |
| Stedin Holding | 1.5 |
| Bank of America | 1.4 |
Currency (%)
EUR | 96.4 |
USD | 1.9 |
GBP | 1.8 |
Credit rating (%)
| Fund | Benchmark | Relative | ||
|---|---|---|---|---|
| AAA | 4.3 | 0.3 | 3.9 | |
| AA | 6.0 | 8.5 | -2.5 | |
| A | 47.3 | 43.3 | 4.0 | |
| BBB | 36.7 | 47.9 | -11.2 | |
| BB | 3.2 | - | 3.2 | |
| NR | 1.6 | - | 1.6 | |
| Cash | 1.0 | - | 1.0 |
Top sector over/underweights (%)
| Fund | Benchmark | Relative | ||
|---|---|---|---|---|
| Banks | 35.5 | 30.7 | 4.8 | |
| Sovereign | 4.4 | - | 4.4 | |
| Consumer Services | 6.8 | 3.8 | 3.0 | |
| Financial Services | 4.5 | 2.7 | 1.8 | |
| Utilities | 12.8 | 11.1 | 1.6 | |
| Telecommunications | 6.6 | 5.2 | 1.4 | |
| Cash and Equivalents | 1.0 | - | 1.0 | |
| Insurance | 4.9 | 4.3 | 0.5 | |
| Real Estate | 5.1 | 5.1 | 0.0 | |
| Unknown | 0.0 | - | 0.0 | |
| Health Care | 3.8 | 5.7 | -1.8 | |
| Basic Materials | 0.4 | 2.9 | -2.4 | |
| Oil & Gas | 1.3 | 3.8 | -2.5 | |
| Technology | - | 2.5 | -2.5 | |
| Industrials | 6.6 | 9.8 | -3.2 | |
| Consumer Goods | 6.4 | 12.4 | -6.0 |
All data source LGIM unless otherwise stated. Totals may not sum due to rounding.
Fund managers
Lan Wu
Lan is a euro credit portfolio manager in the Pan European Credit team, having joined LGIM in September 2010 as assistant to the fund manager. Previously Lan was at Hedge Funds Investment Management where she worked as a part-time research analyst in their Investment team. Prior to this, Lan completed internships with China Lion Securities in China, in their investment banking department, and with UBS, London where she worked in their fixed income, currencies and commodities division. Lan holds a MMath in mathematics and statistics from Oxford University as well as an MSc in finance at Imperial College London. Lan is a CFA charterholder.
Marc Rovers
Marc is head of the Euro credit portfolio management team. He joined LGIM in May 2012 as a portfolio manager in the Pan European Credit team. Marc previously spent 12 years at Blackrock, first as a senior portfolio manager within Philips Investment Management in Eindhoven and then as Director, Investment Manager in London, where he was responsible for the non-financials management of investment grade portfolios and was a portfolio manager for two Asian credit portfolios. Marc started in the industry in 1995 as a portfolio manager at ABP investments (now APG). He graduated from Tilburg University, Netherlands with an MSc in economics and is a Certified European Financial Analyst (CEFA).
Sustainability
SFDR categorisation
Article 8
Environmental characteristics
Social characteristicsNo reference benchmark has been designated for the purpose of attaining the environmental or social characteristics promoted by the Fund.
Whilst environmental and social characteristics are promoted through the application of the sustainability-related investment strategy, investors are reminded that these environmental and social characteristics are not sustainable investment objectives.
Environmental characteristicsSocial characteristicsNo reference benchmark has been designated for the purpose of attaining the environmental or social characteristics promoted by the Fund.
Whilst environmental and social characteristics are promoted through the application of the sustainability-related investment strategy, investors are reminded that these environmental and social characteristics are not sustainable investment objectives.
The Fund seeks to implement LGIM’s Responsible Investment Framework which aims to provide a consistent and systematic approach to exclusions, refined criteria and thresholds for setting environmental and social characteristics with a defined terminology and approach to support the implementation of such characteristics across the financial products managed by LGIM.
The Responsible Investment Framework sets out the various types of investment strategies that LGIM’s financial products can follow and the responsible investing methodologies that explain how such investment strategies are defined and implemented.
The Fund follows the following sustainability-related investment strategy:
Battery Value-Chain ThemeClean Water ThemeClean Energy ThemeHydrogen Economy ThemeHealthcare Breakthrough ThemePharma Breakthrough ThemeGreen Bonds
RAFI ESG Score
RAFI Exclusions
Solactive PAB OptimisationSolactive Exclusions
Net Zero
SDG Alignment
Carbon Emissions Intensity TargetLGIM ESG Score
LGIM’s Future World Protection List
LGIM’s Climate Impact PledgeFoxberry Paris AlignedMSCI ExclusionsMSCI ESG ScoreJPM ExclusionsJPM ESG ScoreAdditional Exclusions
ESG Factor EvaluationDecarbonisationLGIM Coal PolicyLGIM Controversial WeaponsJ.P. Morgan ESG ExclusionsJ.P. Morgan ESG ScoreFTSE ESG ExclusionsROBO Global ESG PolicySolactive ESG ExclusionsSolactive ESG Enhanced ExclusionsNasdaq ESG ExclusionsStoxx ExclusionsTaxonomySustainable InvestmentsPrincipal Adverse ImpactsLiterature
Document type
Prices
Pricing information
| Price basis | Single swing |
| Price time | 16:00 CET |
| Currency | EUR |
Codes and dealing
Codes
| ISIN | LU2050551006 |
| SEDOL | BKDYQ22 |
| Bloomberg | LGECPIE LX |
| MEX | - |
Dealing information
| Valuation frequency | Daily, 16:00 CET |
| Dealing frequency | Daily |
| Settlement period | T+3 |
| Administrator/Custodian | Northern Trust |
Country registration
This share class is registered for sale in the following countries:
