Franklin Templeton subsidiary Western Asset has launched a global corporate bond fund focused on sustainability and carbon reduction goals.
The Western Asset Sustainable Global Corporate Bond Fund is a sub fund of the Dublin domiciled Legg Mason Global Funds range and has been registered in the UK, Germany, Switzerland, Austria, Greece and Cyprus.
Head of non-US credit and co-portfolio manager Annabel Rudebeck said the fund uses Western Asset’s ESG framework and seeks to meet minimum thresholds for carbon reduction UN Sustainable Development Goals (SDGs) alignment and ESG ratings.
“Our emphasis in achieving a lower portfolio carbon intensity is on identifying issuers with whom we regularly engage and have credible and quantifiable targets, and those with plans for reducing carbon intensity and increasing the use of renewables,” she said. “In addition, the fund prohibits investments in tobacco, civilian firearms, controversial weapons, nuclear weapons, thermal coal and issuers that do not uphold the principles outlined in the UN Global Compact.” Rudebeck runs the fund alongside Matt Jackson and both are based in London
