Ethos Foundation, a collaboration between more than 250 Swiss pension funds is partnering with Swiss cantonal lender Banque Cantonale Vaudoise (BCV) to launch Ethos Climate ESG Ambition, to invest in companies backing the energy transition.
The global equity fund is the first of Ethos’ eight funds which is Article 9 compliant. Launched on June 25, 2024, it adheres to Ethos’s Positive Impact Methodology, emphasising investments in sectors that promote environmental or social objectives while maintaining good governance practices.
Vincent Kaufmann, CEO of Ethos explained that stock picking will be a crucial aspect of the fund’s strategy: “This fund is based on our Positive Impact Methodology. Only around 100 of the 2,000 companies in the initial investment universe made it through our analysis process. These companies demonstrate a high level of climate ambition and are the only ones that can be selected for the fund portfolio.”
BCV's asset management team will be tasked with identifying the best opportunities, constructing a portfolio of around 50 companies. Eric Chassot, CIO for Equities and a fund manager at BCV, added: “This new fund gives private and institutional investors a chance to tap into growth opportunities among companies serving markets around the world whose products and services make a direct or indirect contribution to the ecological transition and to combating climate change.”
The fund will be CHF denominated and registered in Luxembourg using the MSCI Global Large Cap as a benchmark.
The recent launch follows a strategic partnership which Ethos and BCV announced in October 2020, aimed at providing private and institutional investors with sustainable and responsible investment products. This partnership covers six funds, which are managed by BCV Asset Management with Ethos serving in an advisory role.
