Goldman Sachs Asset Management (GSAM) has launched the Goldman Sachs Global Environmental Impact Equity Portfolio, which seeks to generate long-term capital appreciation by providing investors exposure to global companies aligned to key environmental themes.
Goldman Sachs Asset Management (GSAM) has launched the Goldman Sachs Global Environmental Impact Equity Portfolio, which seeks to generate long-term capital appreciation by providing investors exposure to global companies aligned to key environmental themes.The Portfolio will focus on companies that the team believes can support greater environmental sustainability and are well positioned to benefit from long-term demand tailwinds. This includes companies aligned to and driving five key environmental themes:
• Clean Energy
• Resource Efficiency
• Sustainable Consumption & Production
• Circular Economy
• Water Sustainability
The Portfolio will be managed by GSAM’s Global Equity team, led by Alexis Deladerrière, using a time-tested, bottom-up investment approach that integrates material ESG and impact related factors into the decision-making process. The team will leverage GSAM’s 80-strong Fundamental Equity team and 40-person ESG & Impact investing and strategy teams.
Luke Barrs, Head of GSAM Fundamental Equity Client Portfolio Management in EMEA, says: “Against a backdrop of growing challenges related to climate change and unsustainable environmental practice, we are starting to see government, business and consumer behaviour adapt. Despite these recent efforts, the world remains likely to overshoot the vast majority of key environmental targets.
“As such, there is a growing need for corporate sector innovation to help alleviate these challenges and put the world on a path to greater environmental sustainability. For companies that can successfully provide new solutions to these problems, there are significant demand tailwinds that we believe can support long-term capital appreciation. We believe those companies that can help drive greater environmental sustainability are poised to perform well.
“Each of our five core environmental impact themes is underpinned by some of the most powerful transitions we are seeing in economies today – the rise of alternative energy, the growth of electric and autonomous vehicles and the evolution of smart cities among them. Momentum will only continue to gather behind these themes, creating a series of long-term, dynamic investment opportunities for investors.”
Alexis Deladerrière, Head of International Developed Markets, Fundamental Equity, says: “Within this strategy, the combination of proprietary, bottom-up research and detailed insight on companies’ ESG practices, coupled with direct engagement with management on areas of material risk, aims to equip our teams to build holistic, multilateral perspectives on the companies in which we invest and on their ability to deliver environmental impact.”
The Portfolio is a new sub-fund of the UCITS-qualifying Luxembourg-domiciled Goldman Sachs Funds SICAV. The Portfolio is offered to both institutional and retail clients and is registered for sale across a range of European countries.