Royal London Asset Management has announced its intention to adopt the Sustainability Focus label under the Sustainability Disclosure Requirements (SDR) regime for eight funds in its £11bn sustainable fund range.

The Financial Conduct Authority (FCA) previously introduced four sustainable investing labels to improve sustainable investing in the UK.

The Sustainability Focus label applies to assets with an environmentally or socially sustainable focus and 70 per cent or more of the fund’s assets will be invested in funds and other assets that contribute to positive environmental and/or social outcomes.

The eight funds to adopt this label are the Royal London Sustainable Leaders Trust, Royal London Global Sustainable Equity Fund, Royal London Sustainable World Trust, Royal London Sustainable Diversified Trust, Royal London Sustainable Growth Fund, Royal London Sustainable Managed Growth Trust, Royal London Sustainable Corporate Bond Trust, and Royal London Sustainable Short Duration Corporate Bond Fund.

The eight funds in the sustainable fund range offer a choice of 100 per cent equity to 100 per cent fixed-income funds, including several multi-asset funds, providing investors with a choice of investments mapped against potential risk and returns.   

For over 20 years, the funds have been managed with the same actively managed investment process.

Royal London Asset Management said that it believes that investing in innovative, well-managed companies with strong business models whose products and services have a positive impact on society will be the key driver of returns for its clients.  

Royal London Asset Management said this milestone highlighted its "experience and long-term track record in sustainable investing" and underscored its commitment to helping investors navigate the evolving regulatory landscape.

In addition to this, it suggested that the label demonstrated to its clients how sustainability considerations are integrated into its investment decisions to help clients make informed decisions.  

“Adopting the Sustainability Focus label provides reassurance to our clients regarding the high standards of sustainability practices embedded in our funds,” Royal London Asset Management head of equities, Mike Fox, said.

“We remain committed to ensuring clients benefit from our clear and consistent sustainability-driven approach to investing.

“Sustainable investing is about driving long-term value for our clients, the wider economy and society. By actively investing in companies, we can encourage continuous improvement in their sustainability practices for the benefit of everyone.”  
  

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