JP Morgan Asset Management (JPMAM) Australia will exclude tobacco stocks from its flagship multi-asset strategy, JPMorgan Global Macro Opportunities Fund, as sustainable investing has become an important factor for a growing number of Australian investors.
The move followed an earlier announcement after the fund said earlier it had excluded controversial weapons producers.
The fund is a part of a global macro thematic strategy with US$9.7 billion assets under management internationally while its Australian version was incepted in 2016 and now has A$246 million.
According to JPMAM, it aimed to capitalise on the major global themes driving asset class returns by investing in companies and other assets across sectors and regions which were considered to “have the potential to benefit from those themes.”
JPMAM Australia’s chief executive, Rachel Farrell, said: “ESG factors have become powerful tools in helping institutional investors assess the quality and risk profile of companies, to help ensure their investments are focused on sustained growth and profitability.”
