Redpoint Investment Management has been awarded a $50 million Socially Responsible Investing (SRI) mandate within JANA’s SRI Australian Share Trust.
Redpoint chief executive and senior portfolio manager Max Cappetta said the incorporation of sustainability issues in equity portfolios has increasingly been in demand from clients.
Damien McIntyre, chief executive of Redpoint parent company GSFM, echoed Mr Cappetta, commenting the ongoing economic, social and health impacts had reinforced a desire for many investors to consider responsible investment factors.
“Across our suite of fund managers, there is a notable increase in investors demanding sustainability be embedded throughout their investments,” he said.
The JANA SRI Australian Share Trust aims to exclude investments in companies with “meaningful exposure” to activities including manufacture of controversial weapons, production of alcohol and tobacco, gambling operation or manufacture and extraction of carbon intensive fossil fuels.
Redpoint, which is quantitative-led, now manages around $8 billion for institutional and retail clients.
“Redpoint’s approach has always been to assist clients to express their principled positions via their investments,” Mr Cappetta said.
“Excluding companies from investment on sustainability grounds introduces risk which must be managed while also allowing for value-add through stock selection when the excluded capital is reinvested across other companies.”
Sarah Simpkins is a journalist at Momentum Media, reporting primarily on banking, financial services and wealth.
Prior to joining the team in 2018, Sarah worked in trade media and produced stories for a current affairs program on community radio.
You can contact her on [email protected].