In addition to her current role, Maria Municchi is deputy manager of the M&G Episode Income Fund and M&G Income Allocation Fund (Lux). Maria initially joined M&G in 2009 and was part of the Multi Asset and Convertibles teams providing support as investment specialist.
Prior to his current role, Steven Andrew joined M&G in 2005 as a member of the portfolio strategy & risk team, before moving to the Multi Asset team. In 2010, Steven was appointed manager of the M&G Episode Income Fund, and three years later, he became manager of the M&G Income Allocation Fund (Lux) upon its launch.
In addition to her current role, Ana Cuddeford is the investment specialist covering M&G’s multi-asset fund range and the M&G Global Convertibles Fund. She joined M&G in 2013 from FTSE Group. Prior to that, Ana spent 16 years in equity sales, the last 11 of which were at financial group Citi.
The decisions about which investment vehicles to use for the ESG part of the fund – the asset allocation – are what’s expected to provide the key drivers of returns. Once screening is complete, the fund managers decide whether to invest in equities, fixed income, cash, currencies or infrastructure, for example.
We look to achieve positive, impactful investment through listed equities (shares), bonds, listed infrastructure and other collective investment vehicles, that deliver positive, measurable and material change for society or the environment.
Part of our framework for selecting candidates for the fund, is targeting investments in pursuit of one or more of the specific UN Sustainable Development Goals (SDGs). Since these are the issues that matter most for people and the planet, companies that contribute towards achieving them can be judged to have a positive impact.
The M&G Sustainable Multi Asset Fund aims to:
Provide a combination of capital growth and income of 4-8% per annum, net of the ongoing charge figure over any five-year period, while considering environmental, social and governance (ESG) factors.
How is the fund invested?
The fund invests in a range of assets, including company shares, bonds and convertibles from anywhere in the world. The fund invests directly, via derivatives or through other funds. Assets are selected that meet the fund manager’s ESG (using an ESG-screening approach) or impact criteria. 10-30% of the fund is invested in companies that have a positive impact on society by addressing the world’s social and environmental challenges, based on M&G’s impact assessment methodology.
Companies deemed to be in breach of the United Nations Global Compact principles and/or involved in industries such as the production of tobacco or controversial weapons are excluded from the investment universe. At least 70% of the fund is exposed to sterling. The fund may also invest in property or gold (via derivatives or through other funds) and cash or assets that can be turned into cash quickly. The fund may also invest via derivatives and use derivatives to reduce the risks and costs of managing the fund.
The Fund’s benchmark
A benchmark is a target which the fund seeks to outperform. This fund is actively managed and it has no specific benchmark. Investors can assess the performance of the fund by its objective to provide a total return of 4 to 8% per annum over any five-year period. The fund's annual report for each financial year will include details of the fund’s performance in relation to its objective.
Further details of the risks that apply to the fund can be found in the fund's Prospectus.
Visit our Fund Centre to see how this fund has performed, view up to date share prices and view your share class options.
For objective financial advice on all of our products and services, we recommend that you speak to a financial adviser. Here you can find a financial adviser if you don’t already have one.
The value of any fund's assets will go down as well as up. This will cause the value of your investment to fall as well as rise and you may get back less than you originally invested.
Before you invest it’s important to remember that all investments carry the chance of losses, of course, but the risks always relate to what it is you’re investing in
For example, the fund is exposed to different currencies. Derivatives are used to minimise, but may not always eliminate, the impact of movements in currency exchange rates. There is also no guarantee that the fund will achieve a positive return over any period, and you may not get back the amount you originally invested.
The value and income from the fund's assets will go down as well as up. Ultimately this will cause the value of your investment to fall as well as rise. There is no guarantee that the fund will achieve its objective and you may get back less than you originally invested.
The fund may use derivatives to profit from an expected rise or fall in the value of an asset. Should the asset’s value vary in an unexpected way, the fund will incur a loss. The fund’s use of derivatives may be extensive and exceed the value of its assets (leverage). This has the effect of magnifying the size of losses and gains, resulting in greater fluctuations in the value of the fund.
It is also important to note that investments in bonds are affected by interest rates, inflation and credit ratings. It is possible that bond issuers will not pay interest or return the capital. All of these events can reduce the value of bonds held by the fund.
Investing in emerging markets involves a greater risk of loss due to greater political, tax, economic, foreign exchange, liquidity and regulatory risks, among other factors. There may be difficulties in buying, selling, safekeeping or valuing investments in such countries.
In exceptional circumstances where assets cannot be fairly valued, or have to be sold at a large discount to raise cash, we may temporarily suspend the fund in the best interest of all investors. In addition, the fund could lose money if a counterparty with which it does business becomes unwilling or unable to repay money owed to the fund.
Operational risks arising from errors in transactions, valuation, accounting, and financial reporting, among other things, may also affect the value of your investments.
Further details of the risks that apply to the fund can be found in the fund's Prospectus.
Please note the following:
This fund allows for the extensive use of derivatives.