Toronto-based NEI Investments, a division of Northwest and Ethical Investments LP, has added two new funds to its product lineup: a thematic fund that focuses on investments that will benefit from an aging population; and a global equity fund.
The thematic fund, NEI Generational Leaders Fund, seeks long-term capital growth by investing in companies that provide services or products to those who are 65 years of age or older. Companies have identified this demographic as one that provides a “lasting growth opportunity,” according to an announcement by the firm.
The global population of those who are 60 years of age and older is expected to more than double between 2015 and 2050, reaching slightly less than 2.1 billion, according to NEI, which cites the statistic from a United Nations report on worldwide aging trends.
“In the financial industry, we talk all the time about the growing demographic of retirees and their need for income solutions and cash flow to support those retirement years,” says John Kearns, CEO of NEI Investments, in a statement. “In simple terms, this fund focuses on what this group does with that cash flow — seeking out companies well positioned to provide their product and service needs.
“What I find most interesting about this solution,” Kearns adds, “is that, while the senior generation can self-identify with it, the investment opportunity is not limited to them. Investors of all ages can participate in this high-growth mega trend.”
The new fund will be sub-advised by Paris-based Amundi Asset Management Ltd., through its wholly owned subsidiary CPR Asset Management.
NEI is also launching NEI Global Value Fund, which looks to achieve long-term capital growth by investing primarily in global equities that exploit market inefficiencies. This fund will be sub-advised by Copenhagen-based Maj Invest Asset Management Fondsmæglerselskab A/S (Maj Invest).
“Maj Invest adds further depth to NEI’s roster of third-party sub-advisors and even greater expertise and resources within global markets,” NEI states in its announcement. “Maj manages more than US$9.3 billion globally, primarily for institutional clients.”
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