Russell Investments Low Carbon Australian Shares Fund
Russell Investments has launched an Australian shares product with reduced exposure to carbon emissions and fossil fuel reserves, called the Russell Investments Low Carbon Australian Shares Fund. The fund's strategy also includes a tilt towards positive sustainable companies in the Australian market. The fund uses Russell's proprietary decarbonisation investment strategy.
"Our decarbonisation strategy commits to reducing exposure to carbon footprint by 35 per cent relative to the benchmark and 30 per cent lower exposure to fossil fuel reserves," portfolio manager James Harwood said.
"In addition, we go beyond decarbonisation to increase exposure by 5 per cent to companies with a high material ESG score. Our approach targets these objectives while maintaining a tracking error of just 1 per cent relative to the benchmark."
The fund has a management cost of 0.39 per cent per annum.