Lombard Odier Investment Managers (LOIM) has launched another themed strategy focused on electrification.
The firm, which launched a New Food Systems and Plastic Circularity strategies last year and a Natural Capital Fund in 2020, has brought to market the Future Electrification product run by Paul Udall (pictured). He is supported by junior portfolio manager Peter Burke-Smith.
See also: LOIM: We are on the cusp of in industrial revolution
Consisting of 40-50 holdings, the portfolio will focus on companies associated with new and shifting electrification revenue pools broken down into three areas:
- Demand – including the clean electrification and enhanced efficiency of buildings, transport and industry and production processes alongside changing consumption patterns.
- Supply – recognising that global energy supply needs to be completely decarbonised by switching from fossil fuels to renewable sources.
- Enablers – including hardware, software and raw materials needed to further enable and accelerate the pace of the transition.
Udall said: “Electrification is now more than an emerging trend in the climate change race; the growing prominence of the electric vehicle, solar power and heat pump sectors in hidden applications like industrials illustrate how it has taken hold across global industries.”
Didier Rabattu, global head of equities at Lombard Odier, said: “Electrification is set to be one of the biggest system changes in the history of capitalism, with exciting, forward-looking investment opportunities to be found. This strategy seeks to capture market opportunities, accelerating the current shift towards electrified global energy systems, while targeting robust sustainability-linked returns for our clients.”
