KUALA LUMPUR (April 28): Hong Leong Asset Management Bhd (HLAM) has launched its first environmental, social and governance (ESG) fund which incorporates ESG principles in security selection through the MSCI ESG Ratings. 

In a statement on Wednesday (April 27), HLAM said the new ESG fund named the Hong Leong Global ESG Fund (HL Global ESG Fund) aims to provide investors with medium- to long-term capital growth through investing in a globally diversified portfolio of companies focusing on ESG criteria in the investment process.

“[The MSCI] ratings are designed to measure a company’s resilience to long-term industry-relevant ESG risks. 

“Combining the capabilities of our investment team with this widely recognised ESG rating provider, [it] demonstrates our commitment to selecting top quality companies that will potentially enhance returns for our investors,” HLAM said.

HLAM added that its investment team will continue to adopt a bottom-up stock picking strategy for the HL Global ESG Fund, which had proven effective and had been validated by industry awards.

Speaking at the launch of the HL Global ESG Fund, HLAM chief executive officer Hoo See Kheng said that the launch represents a milestone for HLAM as investor demand for responsible and sustainable investments increases.

“We are committed to helping our investors achieve their financial objectives while meeting their ethical and sustainability goals. 

“We will continue to grow our sustainable investing solutions and accelerate our investment strategies through active asset allocation and portfolio diversification while managing market volatility in order to generate measurable returns for our investors,” Hoo added.

Meanwhile, the statement also stated that HLAM and Hong Leong Bank Bhd (HLB) will collaborate with The Asli Co, a social enterprise focused on providing sustainable income for Orang Asli or indigenous mothers, in a campaign exclusively for its customers to drive sustainability and create positive social impact. 

HLAM said that during the campaign period, eligible unit trust investors of HLB who invest a minimum amount of RM1,000 in the fund will receive a plant in a handcrafted cement pot by Orang Asli mothers from Kampung Orang Asli Serendah.

HLAM said the new HL Global ESG Fund, priced at RM1.0000 per unit during the initial offer period until May 10, will be distributed through HLAM offices and HLB branches nationwide. The minimum initial investment is RM1,000, while the minimum additional investment amount is RM100.