Norwich Union Investment Funds is planning to launch an OEIC comprising 6 sub-funds: Corporate Bond, UK Growth, Absolute Growth, Global Growth, Managed and European Growth. (Subject to FSA approval). The funds will be managed by Clare Brook and a 9-strong team, formerly of Henderson Investors who, having worked together for nearly a decade, are renowned as one of the most experienced as well as one of the largest teams in their field. A European and Corporate Bond manager will be working directly with the team.
Norwich Union Investment Funds is planning to launch an OEIC comprising 6 sub-funds: Corporate Bond, UK Growth, Absolute Growth, Global Growth, Managed and European Growth. (Subject to FSA approval). The funds will be managed by Clare Brook and a 9-strong team, formerly of Henderson Investors who, having worked together for nearly a decade, are renowned as one of the most experienced as well as one of the largest teams in their field. A European and Corporate Bond manager will be working directly with the team.
The Norwich Union Fund focuses on companies which provide solutions for today and tomorrows social and environmental issues. Increasingly it is being recognised that forward looking, responsible companies are most likely to produce the attractive returns. From a list of approved companies, the Socially Responsible Investment (SRI) team picks companies with the potential for superior long term growth where this is not reflected in the share price.
Companies committed to sustainable development may be players within emerging industries of the future, such as education, water management, renewable energy and advanced communications, or traditional businesses whose management have adopted practices that contribute to sustainability. The combination of both types of company results in a well diversified portfolio.
Clare Brook, Head of the SRI Team:
"We believe the companies and industries that will perform best in the 21st Century are precisely those that consider how their actions will affect the world in 25 or 50 years' time. We expect companies with such vision to be best placed to seize the opportunities arising from environmental, social and political changes.
The widely held notion that SRI necessarily produces inferior performance is wholly wrong - numerous SRI funds have consistently outperformed their mainstream equivalents. This is not an idealistic approach to investing: environmental and social issues regularly affect stock prices with dramatic results."
Mark Skinner, Sales and Marketing Director, Norwich Union Investment Funds:
"Commitment to sustainable development is increasingly being recognised as a precursor to long term growth and enhanced investment returns. Investors can now access a rigorously researched universe of stocks, selected from some of the most rapidly growing industries, without fear of jeopardising future generations. The rise of SRI cannot be ignored by investors, it will be one of the key forces of the 21st century.
We have an investment team which has over a decade of experience in running socially responsible funds and a proven track record in delivering superior returns. It is a sign of our commitment to be a leader on environmental issues and to demonstrate social responsibility in our corporate activities. We are determined to be the leading player in socially responsible investment activity. "
A focus on sustainable development helps companies improve performance in four ways:
- Firms that constantly innovate to promote sustainable development are most likely to develop new goods and services that satisfy their customers' needs.
- Companies that work to cut down waste and minimise fuel and energy usage for any given level of output, typically benefit from lower operational costs.
- An emphasis on sustainable development is normally consistent with superior risk management.
- A focus on stakeholders - consumers, employees and wider society - normally boosts profitability over the long-term. A company that has good relations with customers, minimises staff turnover and has a valued position in society is in an opportune position to outperform.
The SRI Team adopts a three tier approach to research: thematic research to identify and assess the impact of key environmental and social trends; company analysis to provide a suitable universe of stocks for investment; progressive engagement to promote positive change in corporate behaviour. No company is included in the portfolio unless it has cleared both the environmental/social and the financial hurdles, although the two are rarely contradictory.
The key premise underlying the research and investment approach is that the shift by the world economy from environmentally and socially unsustainable growth to sustainable development will be one of the key forces of the 21st century.
For further information, please call:
IFA Helpdesk 0845 302 2557
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For further information, please contact:
Mark Skinner / Daniel Longden - 020 7809 8625
(Norwich Union Investment Funds)
Louise Hatch / Harriet Moore - 020 7786 4889
(Penrose Financial)
Notes to Editors:
Product name details and launch date subject to FSA approval.
Product Details
The new product is an OEIC containing six sub funds as below:
| AUTIF sector | |
| Corporate Bond | UK Corporate Bond |
| UK Growth | UK All Companies |
| Absolute Growth* | Active Managed |
| Global Growth* | Global Growth |
| Managed | Balanced Managed |
| European Growth | Europe excluding UK |
- direct investments in the OEIC available
- Mini and Maxi ISA investment available
- PEP and ISA transfers available
- Initial charge: 4%
- Annual management fee: 1.5%, 1.0% for the Corporate Bond fund
- Minimum investment: Ł500 lump sum / Ł50 per month
*Pep transfers are not available into the Absolute Growth and Global Growth Funds.
Led by Clare Brook, the Socially responsible investment team is one of the largest, the most experienced in the UK.
Clare and her colleagues have been working together for nearly a decade. In this time, they have grown in reputation and status. Team members are frequently asked for advice by companies, NGOs and government departments. Recently the team was involved with policy making for the new legislation that requires pension fund trustees to disclose their stance on social and environmental issues.
The team has a global perspective and a global reputation, having worked with investment consultants from around the world. Its research efforts focus on the world-wide activities of the companies in which it invests. Members are regularly asked to speak at overseas conferences on SRI issues.
The value of the fund and the income from it may go down as well as up, and the investor may not get back the original amount invested.
Issued by Norwich Union Trust Managers Limited. Norwich Union Investment Funds is the trading name of Norwich Union Trust Managers Limited. Registered in England No 1973412. A member of the Association of Unit Trusts and Investment Funds. Represents only the Norwich Union Marketing Group, members of which are regulated by the Personal Investment Authority. Regulated by IMRO.
Registered Offices: 8 Surrey Street, Norwich, NR1 3NG.