ICAV (UCITS compliant)

L&G ESG Emerging Markets Government Bond (USD) Index Fund

Fund facts

Fund size
$1,876.7m
Base currency
USD
Launch date
6 Dec 2018
Domicile
Ireland
Share class launch

Statistics

Modified duration
7.02 years
Gross redemption yield (unhedged)
6.88%

As at 31 Aug 2023

Fund aim

The investment objective of the Fund is to provide investors with a return in line with the Emerging Markets government bond market, as represented by the JPMorgan ESG Emerging Markets Bond Index (EMBI) Global Diversified (the “Index”).

Benchmark

  • What does it invest in? Invests primarily in bonds issued in US dollars by governments of developing countries as determined by the index. These bonds will be a mixture of sub-investment grade (higher risk), investment grade (lower risk) and non-rated bonds. The index includes only bonds that meet the index provider’s socially responsible investing (“SRI”) requirements and environmental, social and governance (“ESG”) rating criteria. The fund may also use derivatives.
  • How does it invest? Passively managed, aiming to replicate the performance of the index.
  • Does it promote sustainability characteristics? The Fund promotes a range of environmental and social characteristics which are met by tracking the Index. Further information on how such characteristics are met by the Fund can be found in the Fund Supplement.

Further details

Costs

Price basis
Single - dilution levy
Initial charge
0.00%
Ongoing charges figure
0.29%
Dilution levy
0.408%
Entry Anti-Dilution Levy
0.40%
Exit Anti-Dilution Levy
0.00%

Codes

ISIN
IE00BGSXHN48
SEDOL
BGSXHN4
Bloomberg
LGEEIGI ID
MEX
-

Dealing information

Valuation frequency
Daily, 22:30 Irish time
Dealing frequency
Each Irish and UK Business Day
Settlement period
T+2
Administrator/Custodian
Northern Trust

Country registration

This share class is registered for sale in the following countries:

Performance

Source: Lipper

LIBOR is changing: read more on how future reforms of interbank offered rates may affect your investments with us.

Performance for the C CHF (Unhedged) Acc unit class in CHF, launched on 08 February 2022. Source: Lipper. Performance assumes all fund charges have been taken and that all income generated by the investments, after deduction of tax, remains in the fund.

Past performance is not a reliable indicator of future performance. Markets could develop very differently in the future. It can help you to assess how the fund has been managed in the past. The tables and charts above shows the fund's performance as the percentage loss or gain per year over the last 10 years.

Performance for the C EUR (Unhedged) Acc unit class in EUR, launched on 22 October 2021. Source: Lipper. Performance assumes all fund charges have been taken and that all income generated by the investments, after deduction of tax, remains in the fund.

Past performance is not a reliable indicator of future performance. Markets could develop very differently in the future. It can help you to assess how the fund has been managed in the past. The tables and charts above shows the fund's performance as the percentage loss or gain per year over the last 10 years.

Performance for the C EUR (Hedged) Acc unit class in EUR, launched on 17 January 2020. Source: Lipper. Performance assumes all fund charges have been taken and that all income generated by the investments, after deduction of tax, remains in the fund.

Past performance is not a reliable indicator of future performance. Markets could develop very differently in the future. It can help you to assess how the fund has been managed in the past. The tables and charts above shows the fund's performance as the percentage loss or gain per year over the last 10 years.

Performance for the C GBP (Hedged) Inc unit class in GBP, launched on 23 March 2022. Source: Lipper. Performance assumes all fund charges have been taken and that all income generated by the investments, after deduction of tax, remains in the fund.

Past performance is not a reliable indicator of future performance. Markets could develop very differently in the future. It can help you to assess how the fund has been managed in the past. The tables and charts above shows the fund's performance as the percentage loss or gain per year over the last 10 years.

Performance for the C GBP (Unhedged) Acc unit class in GBP, launched on 08 November 2021. Source: Lipper. Performance assumes all fund charges have been taken and that all income generated by the investments, after deduction of tax, remains in the fund.

Past performance is not a reliable indicator of future performance. Markets could develop very differently in the future. It can help you to assess how the fund has been managed in the past. The tables and charts above shows the fund's performance as the percentage loss or gain per year over the last 10 years.

Performance for the C USD Acc unit class in USD, launched on 08 November 2021. Source: Lipper. Performance assumes all fund charges have been taken and that all income generated by the investments, after deduction of tax, remains in the fund.

Past performance is not a reliable indicator of future performance. Markets could develop very differently in the future. It can help you to assess how the fund has been managed in the past. The tables and charts above shows the fund's performance as the percentage loss or gain per year over the last 10 years.

Performance for the I CHF (Unhedged) Acc unit class in CHF, launched on 08 February 2022. Source: Lipper. Performance assumes all fund charges have been taken and that all income generated by the investments, after deduction of tax, remains in the fund.

Past performance is not a reliable indicator of future performance. Markets could develop very differently in the future. It can help you to assess how the fund has been managed in the past. The tables and charts above shows the fund's performance as the percentage loss or gain per year over the last 10 years.

Performance for the I EUR (Hedged) Acc unit class in EUR, launched on 21 December 2018. Source: Lipper. Performance assumes all fund charges have been taken and that all income generated by the investments, after deduction of tax, remains in the fund.

Past performance is not a reliable indicator of future performance. Markets could develop very differently in the future. It can help you to assess how the fund has been managed in the past. The tables and charts above shows the fund's performance as the percentage loss or gain per year over the last 10 years.

Performance for the I EUR (Hedged) Inc unit class in EUR, launched on 22 October 2019. Source: Lipper. Performance assumes all fund charges have been taken and that all income generated by the investments, after deduction of tax, remains in the fund.

Past performance is not a reliable indicator of future performance. Markets could develop very differently in the future. It can help you to assess how the fund has been managed in the past. The tables and charts above shows the fund's performance as the percentage loss or gain per year over the last 10 years.

Performance for the I GBP (Unhedged) Inc unit class in GBP, launched on 21 December 2018. Source: Lipper. Performance assumes all fund charges have been taken and that all income generated by the investments, after deduction of tax, remains in the fund.

Past performance is not a reliable indicator of future performance. Markets could develop very differently in the future. It can help you to assess how the fund has been managed in the past. The tables and charts above shows the fund's performance as the percentage loss or gain per year over the last 10 years.

Performance for the I USD Acc unit class in USD, launched on 18 October 2019. Source: Lipper. Performance assumes all fund charges have been taken and that all income generated by the investments, after deduction of tax, remains in the fund.

Past performance is not a reliable indicator of future performance. Markets could develop very differently in the future. It can help you to assess how the fund has been managed in the past. The tables and charts above shows the fund's performance as the percentage loss or gain per year over the last 10 years.

Performance for the K EUR (Unhedged) Acc unit class in EUR, launched on 31 January 2019. Source: Lipper. Performance assumes all fund charges have been taken and that all income generated by the investments, after deduction of tax, remains in the fund.

Past performance is not a reliable indicator of future performance. Markets could develop very differently in the future. It can help you to assess how the fund has been managed in the past. The tables and charts above shows the fund's performance as the percentage loss or gain per year over the last 10 years.

Performance for the K EUR (Hedged) Acc unit class in EUR, launched on 31 January 2019. Source: Lipper. Performance assumes all fund charges have been taken and that all income generated by the investments, after deduction of tax, remains in the fund.

Past performance is not a reliable indicator of future performance. Markets could develop very differently in the future. It can help you to assess how the fund has been managed in the past. The tables and charts above shows the fund's performance as the percentage loss or gain per year over the last 10 years.

Performance for the K EUR (Hedged) Inc unit class in EUR, launched on 27 March 2020. Source: Lipper. Performance assumes all fund charges have been taken and that all income generated by the investments, after deduction of tax, remains in the fund.

Past performance is not a reliable indicator of future performance. Markets could develop very differently in the future. It can help you to assess how the fund has been managed in the past. The tables and charts above shows the fund's performance as the percentage loss or gain per year over the last 10 years.

Performance for the K GBP (Unhedged) Acc unit class in GBP, launched on 12 April 2019. Source: Lipper. Performance assumes all fund charges have been taken and that all income generated by the investments, after deduction of tax, remains in the fund.

Past performance is not a reliable indicator of future performance. Markets could develop very differently in the future. It can help you to assess how the fund has been managed in the past. The tables and charts above shows the fund's performance as the percentage loss or gain per year over the last 10 years.

Performance for the K GBP (Hedged) Acc unit class in GBP, launched on 06 December 2019. Source: Lipper. Performance assumes all fund charges have been taken and that all income generated by the investments, after deduction of tax, remains in the fund.

Past performance is not a reliable indicator of future performance. Markets could develop very differently in the future. It can help you to assess how the fund has been managed in the past. The tables and charts above shows the fund's performance as the percentage loss or gain per year over the last 10 years.

Performance for the K GBP Inc unit class in GBP, launched on 22 December 2022. Source: Lipper. Performance assumes all fund charges have been taken and that all income generated by the investments, after deduction of tax, remains in the fund.

Past performance is not a reliable indicator of future performance. Markets could develop very differently in the future. It can help you to assess how the fund has been managed in the past. The tables and charts above shows the fund's performance as the percentage loss or gain per year over the last 10 years.

Performance for the Z CHF (Hedged) Acc unit class in CHF, launched on 07 December 2018. Source: Lipper. Performance assumes all fund charges have been taken and that all income generated by the investments, after deduction of tax, remains in the fund.

Past performance is not a reliable indicator of future performance. Markets could develop very differently in the future. It can help you to assess how the fund has been managed in the past. The tables and charts above shows the fund's performance as the percentage loss or gain per year over the last 10 years.

Performance for the Z EUR (Unhedged) Acc unit class in EUR, launched on 04 March 2019. Source: Lipper. Performance assumes all fund charges have been taken and that all income generated by the investments, after deduction of tax, remains in the fund.

Past performance is not a reliable indicator of future performance. Markets could develop very differently in the future. It can help you to assess how the fund has been managed in the past. The tables and charts above shows the fund's performance as the percentage loss or gain per year over the last 10 years.

Performance for the Z EUR (Hedged) Acc unit class in EUR, launched on 04 March 2019. Source: Lipper. Performance assumes all fund charges have been taken and that all income generated by the investments, after deduction of tax, remains in the fund.

Past performance is not a reliable indicator of future performance. Markets could develop very differently in the future. It can help you to assess how the fund has been managed in the past. The tables and charts above shows the fund's performance as the percentage loss or gain per year over the last 10 years.

Performance for the Z GBP (Unhedged) Acc unit class in GBP, launched on 21 August 2019. Source: Lipper. Performance assumes all fund charges have been taken and that all income generated by the investments, after deduction of tax, remains in the fund.

Past performance is not a reliable indicator of future performance. Markets could develop very differently in the future. It can help you to assess how the fund has been managed in the past. The tables and charts above shows the fund's performance as the percentage loss or gain per year over the last 10 years.

Performance for the Z GBP (Hedged) Acc unit class in GBP, launched on 21 December 2018. Source: Lipper. Performance assumes all fund charges have been taken and that all income generated by the investments, after deduction of tax, remains in the fund.

Past performance is not a reliable indicator of future performance. Markets could develop very differently in the future. It can help you to assess how the fund has been managed in the past. The tables and charts above shows the fund's performance as the percentage loss or gain per year over the last 10 years.

Performance for the Z USD Acc unit class in USD, launched on 06 December 2018. Source: Lipper. Performance assumes all fund charges have been taken and that all income generated by the investments, after deduction of tax, remains in the fund.

Past performance is not a reliable indicator of future performance. Markets could develop very differently in the future. It can help you to assess how the fund has been managed in the past. The tables and charts above shows the fund's performance as the percentage loss or gain per year over the last 10 years.

Performance (%)
Select period:
Change

    Performance summary (%)

    As at 31 Aug 2023

    CumulativeFundBenchmark
    1 month0.100.15
    6 months-1.24-1.10
    Year to date-1.21-1.08
    3 years--9.93
    5 years--
    Since launch1.701.26
    AnnualisedFundBenchmark
    1 year-3.68-3.33
    3 years--3.43
    5 years--
    Since launch0.360.27

    As at 30 Jun 2023

    CumulativeFundBenchmark
    Quarterly-0.91-0.87
    Year to date-1.74-1.68
    3 years-13.36-13.75
    5 years--
    Since launch1.150.65
    AnnualisedFundBenchmark
    1 year1.672.04
    3 years-4.67-4.81
    5 years--
    Since launch0.250.14
    Rolling 12-month performance
    Calendar year performance
    Monthly performance
    Annualised performance

    Rolling 12-month performance to last quarter end (%)

    FundBenchmark
    2014--
    2015--
    2016--
    2017--
    2018--
    2019--
    20205.495.26
    2021-4.52-4.56
    2022-10.75-11.44
    20231.672.04

    Calendar year performance (%)

    FundBenchmark
    2013--
    2014--
    2015--
    2016--
    2017--
    2018--
    201911.0311.46
    20203.092.52
    2021--
    2022--

    Monthly performance (%)

    Annualised performance (%)

    1 year3 years5 yearsSince launch
    Fund-3.68--0.36
    Benchmark-3.33-3.43-0.27

    Annualised performance (%)

    1 year3 years5 yearsSince launch
    Fund1.67-4.67-0.25
    Benchmark2.04-4.81-0.14

    Portfolio

    As at 31 Aug 2023. All data source LGIM unless otherwise stated. Totals may not sum due to rounding. In order to minimise transaction costs, the Fund will not always own all the assets that constitute the index and on occasion it will own assets that are not in the index.

    Currency (%)

    USD100.0

    Years to maturity (%)

    0 - 5 Years32.8
    5 - 10 Years28.1
    10 - 15 Years8.1
    15 - 20 Years5.2
    20 - 25 Years10.6
    25 - 30 Years11.5
    30 - 40 Years3.1
    40+ Years0.7

    Credit rating (%)

    AA7.6
    A15.1
    BBB35.2
    BB20.4
    B14.6
    CCC3.2
    CC1.7
    C1.2
    DDD0.8
    D0.1
    Top 10 holdings6.3
    Rest of portfolio93.7

    Top 10 holdings (%)

    Uruguay Govt Intl Bd 5.1% 18 Jun 500.9
    Kuwait Govt Intl Bd3.5% 20 Mar 270.8
    Uruguay Govt Intl Bd 4.975% 20 Apr 550.7
    Poland Govt Bond 5.5% 04 Apr 530.6
    Poland Govt Bond 4.875% 04 Oct 330.6
    Hungary Gov Int Bond 2.125% 22 Sep 310.6
    Hungary Gov Int Bond 6.125% 22 May 280.6
    Qatar Govt Intl Bd5.103% 23 Apr 480.6
    Qatar Govt Intl Bd4.817% 14 Mar 490.5
    Uruguay Govt Intl Bd 4.375% 23 Jan 310.5

    Country (%)

    Saudi Arabia5.5
    United Arab Emirates5.2
    Indonesia4.9
    Hungary4.3
    Chile4.0
    Qatar4.0
    Philippines3.9
    Brazil3.9
    Oman3.8
    Other60.4

    Management Team

    The Index Fund Management team comprises 25 fund managers, supported by two analysts. Management oversight is provided by the Global Head of Index Funds. The team has average industry experience of 15 years, of which seven years has been at LGIM, and is focused on achieving the equally important objectives of close tracking and maximising returns.

    LGIMIndex Fund Management Team

    Sustainability-related Disclosures

    SFDR categorisation: Article 8Article 8: These funds promote environmental and/or social characteristics

    Environmental characteristics

    The Fund promotes the following environmental characteristics relating to climate change:

    • reduction of greenhouse gas emissions intensity.
    Social characteristics

    In respect of any quasi-sovereign debt instruments only, the Fund also promotes the following other environmental and social characteristics relating to social norms and standards:

    • avoiding investments in certain fossil fuels;
    • human rights, labour rights and anti-corruption as set out in the principles of the UN Global Compact; and
    • avoiding the financing of controversial weapons.

    The Fund promotes the above-mentioned characteristics by tracking the JPMorgan ESG Emerging Markets Bond Index (EMBI) Global Diversified (the “Index”), which is a designated reference benchmark for the purpose of attaining the environmental and 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 follows the following sustainability-related investment strategy by tracking the Index that:

    Battery Value-Chain Theme
    Clean Water Theme
    Clean Energy Theme
    Hydrogen Economy Theme
    Healthcare Breakthrough Theme
    Pharma Breakthrough Theme
    Green Bonds
    RAFI ESG Score
    RAFI Exclusions
    Solactive PAB Optimisation
    Solactive Exclusions
    Net Zero
    SDG Alignment
    Carbon Emissions Intensity Target
    LGIM ESG Score
    LGIM's Future World Protection List
    LGIM's Climate Impact Pledge
    Foxberry Paris Aligned
    MSCI Exclusions
    MSCI ESG Score
    JPM Exclusions

    Issuers are excluded from the index based on the below criteria, as determined by J.P. Morgan:

    • Issuers with revenue from the Thermal Coal sector
    • Issuers not in compliance with UN Global Compact principles
    • Issuers with J.P. Morgan (JESG) scores less than 20, these issuers are not eligible for index re-inclusion for 12 months
    • Issuers associated to tobacco or weapons industries are also excluded
    JPM ESG Score

    The Index applies JESG issuer scores to adjust the market value of index constituents from the baseline index. JESG issuer scores are a 0-100 percentile rank calculated based on normalized raw ESG scores from third-party research providers, including Sustainalytics and RepRisk. An issuer’s finalized JESG score incorporates a 3-month rolling average. Quasi-Sovereign issuers with no coverage from either third-party research provider default to their sovereign JESG score. The JESG scores are divided into five bands that are used to scale each issue’s baseline index market value, with the band rebalance occurring on a quarterly basis.

    JESG Score Bands Scalar

    Band 1: Score > 80 1.00

    Band 2: 60 < Score <= 80 0.80

    Band 3: 40 < Score <= 60 0.60

    Band 4: 20 < Score <= 40 0.40

    Band 5: Score <= 20 0.00

    Issuers in Band 5 will be excluded from the index and will not be eligible for twelve months. If an instrument is categorized as a “green bond” by the Climate Bonds Initiative, the security will receive a one-band upgrade. Green bonds upgrades may happen intra quarter. Green bonds by issuers already in Band 1 will not receive any further upgrades.

    Green bonds are bonds which are created to fund projects that have positive environmental and/or climate benefits.

    Further information on the index methodology can be found at: https://www.jpmorgan.com/insights/research/index-research/composition-docs

    Additional Exclusions
    ESG Factor Evaluation
    Decarbonisation
    LGIM Coal Policy
    LGIM Controversial Weapons
    J.P. Morgan ESG Exclusions
    J.P. Morgan ESG Score
    FTSE ESG Exclusions
    ROBO Global ESG Policy
    Solactive ESG Exclusions
    Solactive ESG Enhanced Exclusions
    Nasdaq ESG Exclusions
    Stoxx Exclusions
    Taxonomy

    While the Fund promotes environmental and social characteristics within the meaning of Article 8 of the SFDR, it does not currently commit to investing in any “sustainable investments” within the meaning of the SFDR. Accordingly, it should be noted that the investments underlying the Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Taxonomy Regulation.

    Sustainable Investments

    While the Fund promotes environmental and social characteristics within the meaning of Article 8 of the SFDR, it does not currently commit to investing in any “sustainable investments” within the meaning of the SFDR.

    Further information on LGIM's Sustainable Investment Methodology can be found here.

    Principal Adverse Impacts

    The Fund considers principal adverse impacts on sustainability factors and LGIM has identified a subset of the adverse sustainability indicators that are relevant to the Fund’s investments. The Fund considers principal adverse impacts, identified using the below listed sustainability indicators, through the implementation of the Fund’s ESG investment strategy.

    • PAI 1: GHG emissions
    • PAI 2: Carbon footprint
    • PAI 3: GHG intensity of companies
    • PAI 4: Exposure to fossil fuel companies
    • PAI 7: Activities negatively affecting biodiversity-sensitive areas
    • PAI 10: Companies violating UNGC/OECD
    • PAI 14: Controversial weapons
    • PAI 15: Countries GHG emissions

    Literature

    Fact sheets

    2023Change date
    Fact sheet
    Choose share class

    ESG reports

    2023Change date

    Trading information

    Prices

    This fund is closed on both UK and Irish public holidays. For further details, please see the Non-Trading Days document here.

    N.B. Public Bank Holidays are greyed out in the calendar below.