German asset manager DWS has launched a new sustainability-focused fixed income fund, Citywire Selector has learned. The DWS Invest Green Bonds fund was officially launched on 15 October 2018.
The strategy invests in global debt securities, in particular in green bonds, the proceeds of which should benefit projects related to climate and environment protection.
The new vehicle is managed by Christoph Breuer, who is based in Frankfurt. He formerly oversaw the DWS Invest Financial Hybrid Bonds fund with Michael Liller.
As part of its ESG approach the fund will implement exclusion criteria, as well as invest in the names with the best ESG credentials. The management team will also engage in dialogue with companies that could improve their ESG standards.
The ESG achievements of a company will be assessed independently from its financial success. This is while the fund manager will also derive a specific ESG rating that will be calculated using the data from different ESG data providers.
The new green bond fund is euro denominated and has an annual charge of 1.14%. The average investment horizon of the strategy is three to five years. At least 80% of the fund should be invested in the issuers with investment grade rating.
Source Citywire Selector