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CT (Lux) Sustainable Global Equity Enhanced Income Fund
The world is changing and the drive for sustainability is transforming the investment landscape. By identifying and investing in sustainability leaders, the CT (Lux) Sustainable Global Equity Enhanced Income is designed to achieve income together with scope for capital growth whilst supporting positive change in the world we live in. A 30-50 stock equity component is supplemented with a derivative overlay designed to enhance the yield by 2-4%.
Enhanced income from sustainable leaders
Our team believe that this is best way to achieve an enhanced income in the years to come while offering investors a differentiated style dynamic relative to many environmental, social and governance (ESG) orientated equity funds in the market.
The latest to join our successful Responsible Global Equity franchise, the fund builds upon our robust Avoid, Invest, Improve philosophy, and is underpinned by a heritage that spans back to 1984 with the launch of Europe’s first ethically-screened fund.
What makes this fund different?
- We focus our research efforts on sustainability themes and hardwire sustainability into our stock selection
- Our ambition is to provide investors with an attractive and reliable stream of income – through a simple derivative-based overlay, we seek to enhance the fund yield by 2-4%
- The Investment Team and our Responsible Investment Specialists work closely to gain a deep understanding of a company’s commitment to sustainability – through focused engagement and voting, we seek to drive change on ESG issues
Nick Henderson, Director and Portfolio Manager, introduces the fund:
At a glance
1. High conviction
A 30-50 stock portfolio, built through a disciplined approach with sustainability at its core.
2. Diversified income
The fund targets a resilient and attractive level of income. Deploying a diversified dividend yield profile across the portfolio to enable a resilient income stream for investors.
3. Sustainable income
We carefully select income opportunities. That means seeking dividend income that is backed by growing cashflow streams aligned with long term sustainability themes.
4. Enhanced income
We acknowledge the demand for higher income from risk assets like equities. The core equity portfolio is complemented by a risk managed derivative overlay designed to enhance portfolio yield by 2-4%.
5. Non-conventional
A focus on sustainability results in a differentiated regional and sectoral portfolio composition. Crucially, we focus on an opportunity set with structural tailwinds – contrast that with the challenges facing many traditional income generating sectors, such as oil and tobacco.
Why ‘sustainable’ income?
Attractive income
Persisting sustainability megatrends, like resource efficiency, mean well-placed businesses can generate attractive and growing cashflows, which are supportive of dividend payments.
Mind the value traps
Many traditional income portfolio stalwarts are facing structural challenges to their business models. For income seekers, it may be time to look elsewhere.
Evolving opportunity set
As the world addresses issues like climate change, the transition provides tailwinds to a host of sustainability leaders – disruptors that are well placed to maintain and grow their market-leading positions.
Diversified
Resilient income generated by ensuring we maintain a diversified yield profile across the portfolio.
Documents
Full fund details
Enhanced income from sustainable leaders
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Important information
IMPORTANT INFORMATION. FOR PROFESSIONAL INVESTORS ONLY. For marketing purposes. Your capital is at risk.
Columbia Threadneedle (Lux) III is a société d’investissement à capital variable (SICAV), registered in Luxembourg and authorised by the Commission de Surveillance du Secteur Financier (CSSF) managed by Threadneedle Management Luxembourg S.A..
This material should not be considered as an offer, solicitation, advice or an investment recommendation. This communication is valid at the date of publication and may be subject to change without notice. Information from external sources is considered reliable but there is no guarantee as to its accuracy or completeness.
The SICAV’s current Prospectus, the Key Investor Information Document (KIID)/ Key Information Document (KID) and the summary of investor rights are available in English and/ or in local languages (where applicable) from the Management Company Threadneedle Management Luxembourg S.A., International Financial Data Services (Luxembourg) S.A., your financial advisor and/or on our website www.columbiathreadneedle.com. In Switzerland from Banque Cantonale de Genève,17, quai de l’Ile ,1204 Genève , Switzerland and in the UK from Columbia Threadneedle Investments, Cannon Place, 78 Cannon Street, London EC4N 6AG, telephone: Client Services on 0044 (0)20 7011 4444 and / or email: [email protected] Management Luxembourg S.A. may decide to terminate the arrangements made for the marketing of the SICAV.
Past performance is calculated according to the BVI method in Germany. In Spain, Columbia Threadneedle (Lux) III is registered with the CNMV under No. 668. Pursuant to article 1:107 of the Act of Financial Supervision, the sub-fund is included in the register that is kept by the AFM.
In the EEA and Switzerland: Issued by Threadneedle Management Luxembourg S.A. registered with the Registre de Commerce et des Sociétés (Luxembourg), Registered No. B 110242, 6E route de Trèves, L-2633 Senningerberg, Grand Duchy of Luxembourg.
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