Natixis Investment Managers has launched its first range of ESG fund of funds, which will be under the management of Nicolas Bozetto and the firm's multi asset portfolio management team with support from in-house ESG experts.
The Luxembourg-domiciled UCITS range consists of the Natixis ESG Conservative, Moderate and Dynamic funds, with each reflecting varying risk categories, and will have exposure to 14 funds from five of Natixis's affiliated managers.
While the range is only currently available for sale in Belgium, France, Netherlands and Spain, further registrations are expected in July, with the UK set to be among those to be announced, Investment Week understands.
The investment process starts by filtering for appropriate funds using a quantitative screen from an independent third-party provider, while before qualitative assessments are done from both an ESG perspective and a classic fund selection angle.
An in-house risk management and tactical asset allocation process will also be used to manage the portfolios to meet defined risk and return objectives.
Natixis has produced a proprietary selection methodology, called "Conviction & Narrative", which provides "clarity to the client around the ESG-related investment convictions that are central to the manager's investment strategy", the firm said.
Head of multi-asset portfolio management at Natixis Investment Solutions James Beaumont explained: "These funds give clients access to a wide range of ESG strategies across all asset classes in a risk-controlled manner.
"Our affiliates' broad capabilities across the whole ESG spectrum give us an enviable breadth of investment opportunities, whilst having our process challenged by Natixis's in-house ESG experts to stay true to our core beliefs."
Head of CSR and ESG at Natixis IM Harald Walkate said: "We have launched a new ESG fund range at a time when we believe the importance of ESG has never been more visible.
"We believe in ESG that makes a difference by helping to identify risk and drive financial performance"