Notification of changes to the underlying funds of Aviva Investors Multi-Strategy Target Return funds
01 Jun 2022
We have been notified by the Board of Directors of Aviva Investors (the “Company”) of the following upcoming changes to the underlying funds of the ILP sub-funds. These changes will take effect from 1 July 2022 (the “Effective Date”). The changes will, therefore, also apply to the ILP sub-funds:
R182 - Aviva Investors Multi-Strategy Target Return (EUR)
R198 - Aviva Investors Multi-Strategy Target Return (GBP HDG)
R183 - Aviva Investors Multi-Strategy Target Return (SGD HDG)
R181 - Aviva Investors Multi-Strategy Target Return (USD HDG)
Summary of changes
The Company has advised that it has decided to transition the underlying funds of the ILP sub-funds from Article 6 to Article 8 Funds, in compliance with the Regulation (EU) 2019/ 2088 of the European Parliament and of the Council of 27 November 2019 on sustainability-related disclosures in the financial sector (the “Sustainable Finance Disclosure Regulation” or “SFDR”).
From the Effective Date, the underlying funds of the ILP sub-funds will promote environmental and/or social characteristics. The investment process of the underlying funds of the ILP sub-funds will now include binding Environmental, Social & Governance (“ESG”) characteristics (ESG screens and sector exclusions), the integration of ESG considerations and the investment manager’s transition philosophy into investment decisions.
The investment manager of the underlying funds of the ILP sub-funds aims to identify both sustainability leaders and corporate and sovereign entities that have the potential and commitment to improve. It does this by excluding companies using the Company Baseline Exclusions Policy and utilising a suite of ESG data tools alongside qualitative research generated by the investment manager’s large, dedicated team of in-house ESG specialists.
The investment manager’s responsible investment philosophy is to invest in the transition to a more sustainable future and, in particular, to promote the relative merits of engagement over divestment. The investment manager will therefore seek to identify and invest in companies that are either focused on delivering sustainability solutions, exhibit the highest standards of corporate behaviour (when measured against national and international norms) or are transitioning and evolving to become more sustainable and responsible.
--------------------
More details of the changes can be found in our sample policyholder notification, which has been issued by email or post to impacted policyholders, and in the Aviva Investors shareholder notification for the underlying funds. Both of which can be found opposite.
Should you have any questions regarding these changes, please contact the Investment Marketing Team.
