New York City based Morgan Stanley Investment Management (MSIM) has raised more than US$125 million for its first global impact investing fund, the asset management giant announced on Wednesday.

The new fund will invest in private equity funds that aim to deliver financial returns alongside a positive environmental, or social, impact.

PMF Integro Fund I is being launched in partnership with the Morgan Stanley Institute for Sustainable Investing, and will be managed by MSIM’s private market team, AIP Private Markets. It aims to provide investors with exposure to a portfolio that is diversified by geography, theme, and impact outcomes.

“The AIP Private Markets team believes that this approach will maximize commercial returns to investors and increase access to quality jobs, education and healthcare, among other socially beneficial outcomes, for underserved populations,” MSIM says in its announcement. The fund will also target funds that aim to reduce the effects of climate change.

“Sustainable investing is an incredibly important part of our firm’s DNA, and the launch of Integro underscores our commitment to promote sustainable finance solutions while serving the needs of our clients,” says James Gorman, chairman and CEO of Morgan Stanley, in a statement. “From education and healthcare in South Asia, to financial inclusion in South America, the fund epitomizes our belief as a firm that there are opportunities for investors of all types to pursue both positive financial return and sustainable impact.”

The fund will provide institutional and high net-worth clients with a compelling impact investing vehicle, says John Wolak, head of AIP Private Markets.