This fund suits investors with a longer-term investment horizon who primarily seek capital growth through exposure to the emerging market equities that make up the MSCI Emerging Markets ESG Leaders Index. These investors can tolerate stock market and currency volatility.
Apart from assets in liquid form and exchange rate swaps, the fund only holds participatory interests in the Old Mutual MSCI Emerging Markets ESG Index Fund, a sub-fund of the Russell Investment Company Plc, which aims to replicate the performance of the MSCI Emerging Markets ESG Leaders Index. Derivatives can be used for efficient portfolio management purposes.
The fund aims to offer exposure to a specific asset class. It holds a higher allocation to both international assets and equities than what is allowed in terms of Regulation 28 of the Pension Funds Act. This fund is therefore not Regulation 28 compliant.