Toronto-based Mackenzie Financial Corp. on Tuesday announced two new products in response to the growing demand by Canadian investors for sustainable, responsible and impact investments that also offer competitive returns.
Mackenzie Global Sustainability and Impact Balanced Fund will provide Canadian investors with a product that helps their investments have a positive environmental and social impact, and Mackenzie Global Leadership Impact Fund provides investors with an opportunity to impact social and governance change with a focus on promoting the benefits of women in leadership.
Both funds are managed by integrating Environmental, Social and Governance (ESG) evaluations of companies with fundamental analysis into the investment process and will be available for purchase on Oct. 16.
A recent survey of investors, sponsored by Mackenzie and conducted by Environics Research, showed nearly two thirds (63%) of investors agree that sustainable, responsible and impact investing will become more important to their investment portfolio.
"These new products provide options that take into consideration important environmental, social and governance criteria, including the representation of women in the corporate world," says Michael Schnitman, senior vice president product for Mackenzie. "Canadian investors are ready to impact positive social change and want to use their wallets to influence decision making."
Mackenzie Global Sustainability and Impact Balanced Fund combines the strengths of the Mackenzie fixed income team and New York City-base equity subadvisor Rockefeller & Co. The fund aims to deliver attractive risk-adjusted returns while adding features that focus specifically on sustainability and responsibility, such as avoiding investment in issuers with weak ESG practices, emphasizing "best in class" issuers in each sector and around the world from the perspective of ESG factors, and encouraging the growth of issuance in green bonds promoting sustainable environmental practices.
Mackenzie Global Leadership Impact Fund focuses on investing in companies that promote the representation of women in positions of leadership, including executive management and on boards of directors.
The fund's portfolio managers assess potential investments for the following characteristics that define women in leadership: proportional representation of women on boards; proportional representation of women in leadership positions; woman CEO; woman chief financial officer; and whether the company is a signatory to the Women's Empowerment Principles.
The fund is subadvised by Providence, R.I.-based Pax Ellevate Management LLC, a gender lens investing pioneer and leader in impact investing focused on advancing women in leadership.