Aegon has revamped its fund range, to improve the sustainability credentials of its master trust.
While these changes do not affects it default fund — the LifePath Flexi —it will mean there is more of a focus on EGS considerations within its range of self-select funds.
Aegon Master Trust (AMT) has more than £4bn of assets under management and this redesign gives members more investment choice, particularly of funds which focus more directly on sustainable investing and climate issues.
The enhanced fund range includes 16 new funds, bringing the overall total to 28. This includes 26 funds that have various levels of environmental, social and governance (ESG) considerations embedded into their design.
The range also caters for members that wish to diversify across asset classes, providing access to a wider choice of investments. More regions for equity investment are available, offering diversification and choice on a global scale.
The entire fund range has also been white labelled, with fund names simplified to help make investment selection easier.
Aegon says this change should help bridge the saver ‘intent vs action’ gap’. This was identified in previous research which found that 57 per cent of savers said they wanted to invest some of their savings sustainably, but only 31 per cent actually do so.
Aegon chief investment officer Tim Orton says: “From both an investment and sustainability point of view, these changes improve the choice and ease of selection for those looking beyond their AMT scheme’s default option.
“The research we conducted shows many investors remain in their employer’s default fund and don’t make active investment decisions, but do have strong views on issues of sustainability or social justice.
“We’ve taken this feedback on board and updated the AMT offering to reflect the ever-evolving needs of our customers. This updated range demonstrates our strength in the workplace market and allows our members a much easier way to access a suite of globally diversified sustainable funds.”
Aegon Master Trust self-select fund range in full
Funds with a specific focus on sustainability built into their objective or investment process:
Aegon Global Climate Focus Equity (AMT)
Aegon Global Short Term Sustainable Bond (AMT)
Aegon Global Sustainable Government Bond (AMT)
Aegon Global Sustainable Equity (AMT) – previously named Aegon Baillie Gifford Positive Change (BLK)
Aegon Global Sustainable Multi-Asset Growth (AMT) – previously named Aegon Ninety-One Global Multi-Asset Sustainable Growth (BLK)
Aegon Global Sustainable Multi-Asset Balanced (AMT) – previously named Aegon BlackRock Market Advantage (BLK)
Funds which integrate exclusionary criteria – exclusions including but not limited to controversial weapons, nuclear weapons, civilian firearms, and UN compact violators:
Aegon Global Small Cap Equity Tracker (AMT)
Aegon Emerging Markets Equity Tracker (AMT)
Aegon Europe ex-UK Equity Tracker (AMT)
Aegon Japan Equity Tracker (AMT)
Aegon Pacific ex-Japan Equity Tracker (AMT)
Aegon US Equity Tracker (AMT)
Aegon UK Corporate Bond Tracker (AMT)
Aegon Retirement Income Multi-Asset (AMT)
Aegon Global Listed Infrastructure (AMT)
Aegon Cash (AMT)
Aegon Global Islamic Equity Tracker (AMT) – previously named Aegon HSBC Islamic Global Equity Index (BLK)
Aegon Developed Markets ex-UK Equity Tracker (AMT) – previously named Aegon BlackRock World (ex-UK) Equity Index (BLK)
Aegon Developed Markets Equity Tracker (AMT) – previously named Aegon HSBC Developed World Sustainable Equity Index (BLK)
Aegon UK Equity Tracker (AMT) – previously named Aegon BlackRock UK Equity Index (BLK)
LifePath Flexi
LifePath Retirement
LifePath Capital
Funds which integrate ESG considerations within their overall investment process:
Aegon Global Absolute Return Bond (AMT)
Aegon Global Strategic Bond (AMT)
Aegon UK Property (AMT)
Funds that fall into asset classes in which few solutions integrate ESG considerations within their investment process:
Aegon UK Government Bond Tracker (AMT) – previously named Aegon BlackRock Over 15 Years Gilt Index (BLK)
Aegon UK Index-Linked Government Bond Tracker (AMT) – previously named Aegon BlackRock Over 5 Years Index-Linked Gilt Index (BLK)