Candriam, an asset management company focused on sustainability, has launched Candriam Equities L ESG the market’s neutral investment fund. By investing in companies that are known to be long-term leaders and short-term companies that are considered less stable, the new fund offers consistent, positive returns that are not associated with traditional asset classes. Condrim said the fund’s strategy is based on the belief that companies with strong financial health and strong ESG standards create long-term value. Conversely, companies with weak financial foundations and weak ESG performance may lose value. The fund is aimed at investors interested in a diversified and measured investment approach that follows ESG criteria. The fund’s investment strategy involves simultaneously assessing financial and ESG criteria to identify long and short opportunities. It takes long positions in companies that are leaders in sustainability and have solid financials, and short positions in companies identified as less sustainable, with weak financial and ESG profiles. The investment process begins with a selection of the most liquid stocks in global developed markets.
Candriam’s ESG team evaluates each company’s ESG credentials using its proprietary model, while the Quantitative Equity Team scores each company’s financial attractiveness using a separate framework that considers value, quality, growth, market sentiment, and volatility. Steeve Brument, Global Head of Alternative Investments at Candriam, said that the fund combines Candriam’s proprietary ESG process with the expertise of its Quantitative Equity team, offering an alternative strategy with a favorable risk-return profile while promoting positive social and environmental change. The fund is available for distribution in Luxembourg, Belgium, France, Italy, Germany, Austria, Switzerland, the United Kingdom and the Netherlands. It will be chaired by Bart Goossens, Global Head of Metrics and Vice President of Futures Investments, and Dave Benichow, Vice President of Metrics.