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EdenTree Responsible and Sustainable European Equity B

Bestinvest LogoInvests in companies helping improve society and the environment.

PRICE (INC)

290.2p

PRICE (ACC)

-

INITIAL CHARGE

0%

ANNUAL MANAGEMENT CHARGE

0.75%

ONGOING CHARGE

0.82%

YIELD

2%

1 YEAR
-5.85%

Prices as at 10 Aug 2022.

Fund commentary last updated 11 Feb 2022.

Past performance is not an indication of future performance.

Capital at risk.

The fund aims to achieve long-term capital growth with a reasonable level of income by investing in a diversified range of mainly large-cap European (ex-UK) companies. The management duo of Chris Hiorns and David Osfield seek out companies making a positive contribution to society and/or the environment through sustainable and socially responsible practices. They also want stocks which they consider to be undervalued, are of good quality and which pay a regular and high dividend. The fund has 50 holdings in its portfolio including telecommunications company Nokia and iconic tyre manufacturer Michelin. Hiorns and Osfield’s investment approach combines positive and negative sustainable screens and bottom-up stock selection, analysing strengths such as cashflow and management.

Fund summary

SectorEurope Excluding UK
StructureOEIC
LaunchedSeptember 1999
Size£103m
Yield2%
Charging BasisIncome
Dividends paid30 Apr, 31 Aug

Charges

Standard Initial Charge0%
Initial Charge Via BestInvest0%
Additional Bid/Offer Spread0%
Annual Management Charge0.75%
Ongoing Charges Figure0.82%

Investment Process

The EdenTree investment process combines both Fundamental analysis and Responsible/Sustainable assessments. It begins with the fund managers and the Socially Responsible Investment team (SRI) generating ideas through thematic research, analysis, and company visits. The SRI team then uses both positive and negative screens to assess a potential holding’s sustainable and responsible strengths and weaknesses. On the negative “Avoiding Harm” side the SRI team use a 10% turnover threshold to prevent significant exposure to sectors such as alcohol, gambling, pornography, tobacco, weapons, intensive farming, animal testing for cosmetic or household products and oppressive regimes. On the positive side it looks for good corporate citizens meeting EdenTree’s “Nine Pillars” of Responsible Investing. This includes Business Ethics such as product quality and company conduct; Community encompassing apprenticeships and training; Corporate Governance, Labour, Environmental Management, Human Rights, Education, Health and Urban Regeneration. The construction of the portfolio and financial analysis – looking at areas such as free cashflow, dividend, balance sheet, management quality and valuation – is the responsibility of the management team. They target businesses that are out of favour but intrinsically sound, and where a change in circumstance or economic conditions will bring about a recovery both in company fundamentals and improved investor sentiment. This should then lead to superior returns.

The information on this website is not intended to be advice or a recommendation to buy, sell or hold any investment mentioned. The value of investments and the income from them can go down as well as up and you may not get back the amount invested.

Past performance is not a guide to future performance. View full risk warning