Friday Funds: French institutions tap Amundi for Paris-aligned equity index fund

The latest fund developments in ESG and sustainable finance

Twelve French institutional investors have awarded a Paris-aligned Eurozone equity index fund to Amundi. The group, coordinated by Caisse des Dépôts, the investment arm of the French public sector, also includes EDF and 10 major French insurers. Assets will be managed against a new diversified Eurozone equity index created specifically for this initiative. Amundi and STOXX, the index provider of Qontigo, a subsidiary of the Deutsche Börse group, developed the "Euro iSTOXX Ambition Climat PAB" index.

Natixis Investment Managers is launching a new range of ESG fund of funds. The Lux UCITS range consists of the Natixis ESG Conservative, Moderate and Dynamic funds – managed by the Multi Asset Portfolio Management team within Natixis Investment Solutions. The lead portfolio manager is Nicolas Bozetto.

UBS says it is investing in Rockefeller Asset Management's Global Environmental, Social and Governance (ESG) Equity fund – helping the Swiss bank to broaden its sustainable investment offering to clients. UBS has allocated directly to the fund through its $10bn multi-asset portfolio; the fund is also available to UBS Global Wealth Management clients as a standalone investment. In all, UBS has raised $440m so far for the product, a UCITS vehicle that is available to both retail and institutional investors.

Canada: A new fund is reportedly being launched by a group of black executives, targeting long-term investments to support black-led organisations and businesses. The Black Opportunity Fund will be in partnership with the Toronto Foundation philanthropy body. The group has begun work to raise capital and is looking for backing from businesses and philanthropists as well as governments, according to a report in the Globe and Mail.

Carillon Tower Advisers, the ‘multi-boutique’ asset management firm, has launched an active US small- cap equity SICAV fund. The “ESG aware” Raymond James Funds Eagle U.S. Small Cap Strategy will be managed by its affiliate Eagle Asset Management. The investment team comprises Matthew McGeary, Jason Wulff, Betsy Pecor and Matt Spitznagle.

Ossiam, the smart beta house that’s an affiliate of Natixis Investment Managers, has selected the ICE 3-5 Year Euro Government Carbon Reduction Index as the benchmark for a new exchange traded fund called the Ossiam 3-5 Year Euro Carbon Reduction ETF. The ETF is listed on the Frankfurt Stock Exchange.

LuxFLAG, the Luxembourg sustainable investments labeling body, has awarded labels to 14 new funds. It said that eight ESG, two Climate Finance, one Environment and three ESG Applicant Fund status have been granted the use of the LuxFLAG label. It brings the total number of funds with LuxFLAG labels to 204 – with a combined €102bn in assets under management. The products are domiciled in seven jurisdictions and are managed in 17 countries by 93 asset managers. It added that the number of LuxFLAG labelled funds has grown by 74% since the first quarter of 2019.