“With this fund we are offering an investment solution that supports the fight against climate change and at the same time offers attractive return potential in green corporate bonds,” explains Christian Trixl, CEO of Amundi Switzerland.
Amundi announces the launch of Amundi Funds Euro Corporate Short Term Green Bond, a green corporate bond strategy open to institutional and retail investors. This approach is fully in line with the Crédit Agricole Group’s social project.
The fund invests exclusively in green bonds issued by international companies that aim to finance projects that respect the environment and climate and aim to have a measurable and positive impact on the environment. All green bonds selected in the portfolio are aligned to the Green Bond Principles (GBP) and each year the fund will report on the tonnes of CO2 emissions avoided thanks to the implementation of the green projects funded. In addition, the fund aims to protect investors from the risk of rising interest rates through dynamic duration management.
The creation of this fund follows Amundi’s launch of a number of fixed income funds and initiatives aimed at promoting green bond development in various market segments and geographies: Amundi Responsible Investing Impact Green Bonds in 2016, Amundi Planet Emerging Green One – one of the world’s largest green bond fund for emerging markets – 2018 the Green Credit Continuum programme, which aims to improve market access for small companies through green investments in bonds, safe assets and private debt, launched jointly by Amundi and the European Investment Bank in 2019, and finally Amundi Responsible Investing Just Transition for Climate in 2021. The newly launched fund, Amundi Funds Euro Corporate Short Term Green Bond, is managed by Amundi’s Corporate Credit team, an experienced team with over 30 years’ experience in bond management companies and since 2013 a Pioneer in the green bond market. The team manages EUR 37 billion in green bonds and has extensive experience in ESG integration and managing climate solutions on behalf of large international investors.
Responsible investing at the heart of the fund’s approach
A pioneer in responsible investing, Amundi manages more than EUR 834 billion in responsible investing across more than 13,000 issuers rated based on ESG criteria. Amundi’s recognized ESG analysis approach is fully integrated into the fund’s investment process and objectives.
Amundi Funds Euro Corporate Short Term Green Bond is an actively managed solution that incorporates both a top-down and bottom-up investment approach. The fund benefits from in-depth issuer research conducted by the credit research and ESG analysis teams, which total 44 staff, and invests in a selection of companies across a range of sectors including alternative energy and utilities, financial, transport and real estate. The aim of the fund is to offer investors the attractive return potential of corporate bonds and at the same time support the energy transition. In addition, the fund will publish a fully transparent annual impact report on issuer selection processes to ensure the specified ESG criteria are met.
The fund is co-managed by Yaël Muscat, Senior Credit Portfolio Manager at Amundi, Alban de Faÿ, Head of SRI Bond Processes and Hervé Boiral, CFA, Head of Euro Credit.
Amaury d’Orsay, Head of Bond Management at Amundi, comments: “Corporate issuers are increasingly committed to the fight against climate change. This is leading to a growing and increasingly diverse corporate green bond market. Amundi Funds Euro Corporate Short Term Green Bond aims to enable investors to protect their portfolio from rising interest rates while making a positive impact.
“Responsible investing is one of Amundi’s strategic priorities globally and in Switzerland,” adds Christian Trixl, CEO of Amundi Switzerland. “With the Amundi Green Corporate Bond Fund, we are offering our clients in Switzerland an investment solution that supports the fight against climate change and at the same time offers attractive return potential in green corporate bonds.”
The fund is available within the SICAV Amundi Funds Flagship Luxembourg and is currently registered in Luxembourg, Norway, France, Greece, the Netherlands, Austria, the UK, Finland, Sweden, Ireland, Belgium, Germany, Switzerland and Spain.
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