Candriam has introduced the Candriam Equities L ESG Market Neutral Fund, aimed at providing diversified and uncorrelated returns while focusing on sustainable investments. The fund combines financial analysis with environmental, social, and governance (ESG) criteria to identify investment opportunities that align with financial goals and sustainability. The fund employs a market-neutral approach, targeting both long and short positions. It invests in companies with strong ESG practices and solid financials while taking short positions in those with weaker ESG and financial profiles.
This strategy is based on the premise that companies with robust ESG standards and sound financials are likely to create long-term value, whereas companies with weak fundamentals and poor ESG practices are likely to underperform. Candriam uses a leading ESG model to evaluate the sustainability of companies. Companies with strong financials and good ESG records will be selected for long positions, while companies with poor financial results and negative ESG results will be shorted. The financial equity team uses a proprietary framework to evaluate companies based on value, quality, growth, market sentiment and volatility. Finance Bart Goossens, Head of Global Metrics and Vice President of Alternative Investments, and Dave Benichow, Vice President of Metrics. Their work is supported by Candriam’s ESG and Quantitative Equity teams. Steve Brument, global head of alternative investments at Candriam, emphasized the company’s focus on incorporating ESG principles into its investment strategies. The new fund is part of Candriam’s efforts to expand its diversified investment offering with ESG-linked solutions that meet the growing demand for sustainable investment. The fund is available in several European countries, including Luxembourg, Belgium, France, Italy, Germany, Austria, Switzerland, the United Kingdom and the Netherlands.