ESG fund duo scoop Morningstar UK Fund Awards

Two ESG funds have been recognised in the Morningstar UK Fund Awards

Two ESG funds have been recognised in the Morningstar UK Fund Awards as offering the most value to investors

Royal London’s Sustainable Leaders Trust, managed by Mike Fox since November 2003, was awarded Best UK Equity Fund, and the Rahtbone Ethical Bond Fund, managed by the firm’s head of fixed income Bryn Jones, won the Best GBP Bond Fund category.

Morningstar said the annual awards recognise retail funds and their parent firms for adding the most value for investors. Eligible funds require a five-year performance track record and Morningstar a quantitative methodology to select winners and weightings to one-, three-, and five-year performances are factored into the methodology. The firm also applies a qualitative overlay.

Jonathan Miller, director of manager research ratings, UK, further explained: “The objective of the quantitatively driven Morningstar Fund Awards is to identify those funds and fund groups that have added the most value within the context of their risk/return profiles over the past year and over the longer-term.

“Our 2020 winners, across equity, fixed-income and multi-asset categories, demonstrated impressive consistency against a challenging and rapidly changing economic environment.”

The full list of winners of the 2020 Morningstar UK Fund Awards are:

Fund Category Awards: Winners:  
Best Europe Equity Fund Fidelity European Fund
Best Global Equity Fund   Ardevora Global Equity Fund GBP
Best UK Equity Fund Royal London Sustainable Leaders Trust Class
Best UK Small/Mid-Cap Equity Fund MI Chelverton UK Equity Growth Fund
Best GBP Bond Fund Rathbone Ethical Bond Fund Institutional
Best GBP Allocation FundKames Diversified Monthly Income Fund GBP
Fund House Awards: Winners:
Best Equity Fund House   Baillie Gifford
Best Fund House: Overall Baillie Gifford

Royal London’s Fox commented on the win: Sustainable investing has come of age as a core investment proposition, demonstrating companies with socially useful products and services, and high ESG standards, perform better over the long-term. The award is recognition of this, and the long track record of the fund.”

Rathbones’ Jones acknowledged that a responsibly invested fund was recognised among mainstream awards: “We are pleased to receive such a prestigious reward. This is as result of a sound investment process, and an extremely hard working and dedicated team. This award would not be possible without the input from the fixed income team, our colleagues at Rathbone Greenbank Investment and throughout the wider business.

“All of this is more evident as I type this from my kitchen table whilst in lockdown. Furthermore, it is heart-warming to see an Ethical fund winning an award amongst a shortlist of standard funds.”


Natalie Kenway

Natalie is editor in chief at MA Financial covering ESG Clarity, Portfolio Adviser and International Adviser. She was previously global head of ESG insight for ESG Clarity and has been an investment journalist...