Troy Launches Trojan Ethical Fund for Charlotte Yonge
In the press•Published date 25 March 2019
The Trojan Ethical Fund is a long-only, multi-asset fund which invests according to Troy’s well-established investment process, incorporating the same emphasis on capital preservation and avoidance of permanent capital loss, with the aim of delivering low volatility returns over the long term. The Fund’s asset allocation will be broadly in line with that of the Trojan Fund, and will benefit from Troy’s robust stock selection process, which has long emphasised sustainability of franchise and strong corporate governance, both of which are critical to the avoidance of permanent capital loss.
The Fund complements the £97m Trojan Ethical Income Fund which was launched in 2016 and is managed by Troy’s Head of Responsible Investment, Hugo Ure. As with the Trojan Ethical Income Fund, the Trojan Ethical Fund will adhere to a set of ethical exclusion criteria which are set out below:
- Equities: The Fund will avoid investing in equities which generate a significant portion of their turnover from alcohol, armaments, fossil fuels, gambling, high interest rate lending, pornography and tobacco.
- Government and public securities: The Fund will only invest in the securities issued or guaranteed by the following countries: Canada, France, Germany, Italy, Japan, the United States of America, the United Kingdom of Great Britain and Northern Ireland (commonly known as the “G7”), or by a single local authority or public authority of those countries. The Fund will not invest in the securities of any sovereign issuer which is subject to a sanction issued by either the United Nations or the European Union.
- Precious metals: The Fund will seek to minimise exposure to gold mined prior to 2012 (the date after which it can be ascertained that gold has been sourced in compliance with the London Bullion Market Association’s Responsible Gold Guidance).
Charlotte Yonge, who joined Troy in February 2013, is also Assistant Fund Manager on the £4.1bn Trojan Fund managed by Sebastian Lyon. Commenting, Charlotte Yonge said: “The Trojan Ethical Fund will seek to provide a similar profile of returns to that of the Trojan Fund. The Fund will place strong emphasis on capital preservation and thus will not be constructed with reference to any particular benchmark. As well as deploying Troy’s approach to stock selection and asset allocation, the Fund will adhere to a set of ethical exclusion criteria.”
Troy’s Founder and Chief Investment Officer, Sebastian Lyon added: “Troy has long held that the sustainability and good governance of companies in which we invest is paramount when seeking to provide attractive long-term investment returns with low volatility and a strong degree of capital preservation. The launch of the Trojan Ethical Fund builds upon this ethos and presents an opportunity for investors who require a specific ethical framework to access the strength of Troy’s investment approach.”
Key fund facts:
Fund manager Charlotte Yonge
Fund type UK domiciled UCITS
Launch date 22 March 2019
Offer Period 22 March 2019
Minimum investment £1,000 lump sum; £100 per month
Annual management fee 1.00% (‘O’ Share Class)
0.75% (‘S’ Share Class – registered charities only)
Estimated ongoing charges figure 1.02% (‘O’ Share Class)
0.77% (‘S’ Share Class – registered charities only)