Aberdeen Standard Investment has started marketing of a new closed-ended fund targeting retail investors keen on impact investing.
Marketing of the forthcoming Global Sustainability Trust started on Monday, with a view to raising some £200 million prior to an initial public offering on the London Stock Exchange later in the year.
The fund, which aims to deliver returns while demonstrating a positive environmental or social impact is seeking a return of between 6-8% each year. It will invest in private equity, infrastructure, real estate, natural resources and private credit.
“The launch of the Global Sustainability Trust gives investors a unique opportunity to access private market investments which will seek to deliver measurable positive environmental and social impact,” said Robert Elliott, chairman designate of the trust.
“Importantly the Global Sustainability Trust will also target attractive financial returns over the longer term by taking advantage of Aberdeen Standard’s considerable private markets experience.”
The trust’s portfolio will seek to align with the UN’s sustainable development goals. As such, it will seek investments that have an impact on sustainable energy, food and agriculture, water and sanitation, health and social care, financial inclusion, sustainable real estate, sustainable infrastructure and education and employment.
Roger Pim, global head of Private Markets Product Strategy and Solutions at Aberdeen Standard Investments, said his team’s experience offers access to attractive, unlisted sustainable and impact investments.
He added: “The investment trust structure offers private investors access to a diversified portfolio of opportunities not typically available to them.
“Primarily consisting of private market investments across private equity, infrastructure, real estate, natural resources and private credit, these aim to have a positive environmental and social impact, while targeting attractive financial returns for shareholders.”
Private wealth managers and investment professionals can invest in the Global Sustainability Trust on behalf of their clients through the Initial Placing.