Stonehage Fleming Investment Management (SFIM), the investment arm of family office Stonehage Fleming, has rolled out sustainable portfolios in response to increased demand from investors.
Initially, the new Global Sustainable Investment Portfolios (GSIP) will prioritise equities, fixed income, alternatives, as well as cash.
The asset allocation and risk-adjusted targets of the new proposition, according to SFIM, will be akin to its mainstream portfolios but with low overlap.
The low overlap is said to be the result of fund managers having to overcome varied obstacles, including governance approach and impact methodologies.
SFIM CEO and head of investments Graham Wainer said: “Equity investments will constitute the largest position in GSIP, but we are also excited by the opportunities within fixed income, which has been largely overlooked by ESG investors to date.
“Bond investors have longer time horizons than their equity peers, and more nuanced relationships with management teams and, critically, with governments. This will be an important asset class for GSIP.”
The new offering will incorporate the existing multi-asset investment process of the group, while also taking a socially responsible approach.
SFIM director Mona Shah said: “By launching our Global Sustainable Investment Portfolios, we are helping clients to achieve their maximum impact potential in line with their values.
“The managers we select will pass a high threshold of qualitative and quantitative analysis, of both their investment processes and their ESG credentials.”