Best Ideas: Energy transition and structural themes
Marketing Communication - For Professional Clients Only
Energy transition and structural themes
The energy transition remains the top focus when it comes to ESG. We expect investments into emerging markets to accelerate with the private sector playing a key role. Indeed, to reach the carbon neutrality objective by 2050, global clean energy spending has to increase to $4.5 trillion per year by 2030, with nearly half of this being dedicated to EM. The success of the transition at a global scale depends on its success in this region, as they are the most affected by climate change.
In equities, we are focusing on the decarbonisation of buildings, food waste reduction, sustainable farming and technologies that can boost the transition.
Infrastructure linked to the energy transition should also benefit from government support. Other themes include biodiversity in credit and private debt sustainable-linked financing (green transition, geopolitical realignment driving friend/near-shoring dynamics, and innovation with decent valuations).
Amundi Funds Emerging Markets Equity ESG Improvers |
The fund aims to invest in EM companies at an early stage of their ESG journey, by identifying the potential ESG winners of tomorrow which could benefit from the wave of investors seeking responsible assets. |
|
KBI Global Energy Transition Fund |
The fund aims to capture the opportunities deriving from the growing demand for clean energy at global level by targeting three subsectors: renewable energy (wind, solar, geothermal, biomass), energy efficiency (efficient technologies) and utilities (supply and distribution). |
|
KBI Global Sustainable Infrastructure Fund |
The fund aims to deliver positive returns by investing in global listed sustainable infrastructure companies involved in the provision of water, clean energy and food transportation and storage. |
Discover fund |
KBI Water Fund |
The fund seeks to tap into the potential of the water sector and to provide solutions to global water scarcity, by investing in solid, sustainable companies across the world; Its proprietary investment universe includes water infrastructure, water technology and water utilities. |
Discover fund |
CPR Invest – Climate Action |
The fund seeks to outperform global equity markets over a long-term by investing in companies committed to limiting the impact of climate change in line with the United Nations’ 13th Sustainable Development Goal, “Climate Action”1. |
Discover fund |
Amundi Funds Net Zero Ambition Top European Players |
The fund seeks to deliver attractive risk-adjusted returns versus the MSCI Europe index, with a self-decarbonization target of 10% per year. It adopts a fundamental approach to Net Zero, investing across three different business models: Champions2, Enablers3, and Committed4. |
|
Amundi Funds Impact Green Bonds |
The fund invests exclusively in global green bonds, fixed income securities that direct their proceeds to green projects with measurable and positive impact on the environment. |
Discover our Best Ideas Themes
Bonds’ appeal amid peaking rates
As the growth picture deteriorates, with inflation coming down, investors should price in rate cuts for 2024. In this scenario, owning duration could be rewarding, while timing remains essential.
Seek resilience in equities
In the current scenario, a selective approach should be maintained, while exploring value, quality, dividend-oriented names in developed and emerging markets.
EM winners in a fragmented world
In an environment of weak global demand, the premium in favour of EM vs DM is projected to continue widening. In our view, there are structural factors at play that support EM.
Dynamic asset allocation when tides are turning
The current market framework remains uncertain entering into 2024; starting with a conservative allocation including hedges should be favoured, as well as adding diversification* by investing in alternative assets and strategies (gold, volatility).
*Diversification does not guarantee a profit or protect against a loss.
1
https://sdgs.un.org/goals/goal13
2 Champions – Companies that are already advanced in their CO2 mitigation.
3 Enablers – Companies that produce technologies and innovative products/services that facilitate a path towards a low carbon world.
4 Committed – Companies who are taking corrective actions to tackle climate challenges but need to invest more in decarbonization.
Source of investment views and convictions: Amundi Investment Institute, “2024 Investment Outlook – Steering through turning tides”, “Global Investment Views – January 2024”
Marketing Communication
For Professional Clients Only
This material is provided to Professional Clients, including financial intermediaries, and is not intended for and should not be provided to the public.
This is a marketing communication. Please refer to the prospectus / information document and to the KID/KIID before making any final investment decisions
This document contains information about investment services provided by Amundi group companies or undertakings for collective investment in transferable securities or open-ended umbrella Irish collective asset- management vehicles (the “Funds”) established under the laws of Luxembourg and authorised for public distribution by the Commission de Surveillance du Secteur Financier or the laws of Ireland and authorized for public distribution by the Central Bank of Ireland. The management company of:
• Amundi Funds, Amundi Fund Solutions, First Eagle Amundi and Amundi Index Solutions is Amundi Luxembourg S.A., 5, allée Scheffer, L-2520 Luxembourg;
• CPR Invest is CPR Asset Management, 91-93 Boulevard Pasteur, 75015 Paris, France;
• KBI Funds ICAV and Amundi Fund Solutions ICAV is Amundi Ireland Limited, 1 George’s Quay Plaza, George’s Quay, Dublin 2, Ireland.
This material is for information purposes only, is not a recommendation, financial analysis or advice, and does not constitute a solicitation, invitation or offer to purchase or sell any the Funds or services described herein in any jurisdiction where such offer, solicitation or invitation would be unlawful.
This material has not been submitted for regulatory approval and is solely for issue in permitted jurisdictions and to persons who may receive it without breaching applicable legal or regulatory requirements. The information contained in this document is confidential and shall not, without prior written approval of Amundi Ireland Limited (“Amundi”), be copied, reproduced, modified, or distributed, to any third person or entity in any country.
The Funds described in this document may not be available to all investors and may not be registered for public distribution with the relevant authorities in all countries.
Please note that the management company may decide to terminate the arrangements made for the marketing of its collective investment undertakings in a Member State of the EU in respect of which it has made a notification.
A summary of information about investors’ rights and collective redress mechanisms can be found in English on the regulatory page at https://about.amundi.com/Metanav-Footer/Footer/Quick-Links/Legal-documentation.
Investment involves risk. Investment return and the principal value of an investment in the Funds or other investment product may go up or down and may result in the loss of the amount originally invested. The decision of an investor to invest in the Funds should take into account all the characteristics or objectives of the Funds. Past performance does not predict future results. Investment return and the principal value of an investment in the Funds or other investment product may go up or down and may result in the loss of the amount originally invested. All investors should seek professional advice prior to any investment decision, in order to determine the risks associated with the investment and its suitability. It is the responsibility of investors to read the legal documents in force in particular the current prospectus for each Fund. Subscriptions in the Funds will only be accepted on the basis of their latest prospectus in English or in local language in EU countries of registration, and/or the Key Investor Information Document / Key Information Document (“KIID”/ “KID” available in local language in EU countries of registration) which, together with the latest annual and semi-annual reports may be obtained, free of charge, at the registered office of Amundi Luxembourg S.A. or at www.amundi.lu. In Italy, this documentation is available at www.amundi.it. In Ireland, this documentation is available at www.amundi.ie or, for KBI Funds ICAV, at www.kbiglobalinvestors.com. Information relating to costs and charges of the Funds may be obtained from the KIID/KID.
The performance data do not take account of the commissions and costs incurred on the issue and redemption of units/shares of the Funds.
Information on sustainability-related aspects can be found at https://about.amundi.com/Metanav-Footer/Footer/Quick-Links/Legal-documentation.
In EEA Member States, the content of this document is approved by Amundi for use with Professional Clients (as defined in EU Directive 2004/39/EC) only and shall not be distributed to the public. Amundi Ireland Limited is authorised and regulated by the Central Bank of Ireland. KBI Global Investors Ltd is regulated by the Central Bank of Ireland and deemed authorised and regulated by the Financial Conduct Authority. The nature and extent of consumer protections may differ from those for firms based in the UK. Details of the Temporary Permissions Regime, which allows EEA-based firms to operate in the UK for a limited period while seeking full authorisation, are available on the Financial Conduct Authority’s website. Société Générale, Dublin Branch 3rd Floor, IFSC House, IFS, Dublin 1 is the facilities agent for those sub-funds of Amundi Funds, First Eagle Amundi registered in Ireland.
In the United Kingdom (the “UK”), this marketing communication is being issued by Amundi (UK) Limited (“Amundi UK”), 77 Coleman Street, London, EC2R 5BJ, UK. Amundi UK is authorised and regulated by the Financial Conduct Authority (“FCA”) and entered on the FCA’s Financial Services Register under number 114503. This may be checked at https://register.fca.org.uk/ and further information of its authorisation is available on request. This marketing communication is approved by Amundi UK for use with Professional Clients (as defined in the FCA’s Handbook of Rules and Guidance (the “FCA Handbook”) and shall not be distributed to the public. Past performance is not a guarantee or indication of future results. Amundi Funds SICAV, First Eagle Amundi SICAV, Amundi Index Solutions, CPR Invest SICAV, KBI Funds ICAV and Amundi Fund Solutions ICAV are recognised schemes under the FCA’s Temporary Marketing Permission Regime . Where a fund is an unregulated collective investment scheme under the Financial Services and Markets Act 2000 (the “FSMA”), this marketing communication is addressed only to those persons in the UK who qualify as non-retail clients (Professional Clients or Eligible Counterparties) as set out in the FCA’s Handbook, Conduct of Business Sourcebook 4.12B - “Promotion of non-mass market investments”, as amended from time to time, and thereby fall with an exemption from the restrictions in Section 238 FSMA. This marketing communication must not be relied on or acted upon by any other persons for any purposes whatsoever.
Potential investors in the UK should be aware that none of the protections afforded by the UK regulatory system will apply to an investment in a Fund and that compensation will not be available under the UK Financial Services Compensation Scheme.
In Switzerland, this document is for Qualified Investors (as defined in Swiss Collective Investment Schemes Act of 23 June 2006 as amended or supplemented) use only and shall not be offered to the public. The Representative and Paying Agent for Funds registered for public offering in Switzerland are, in respect of Amundi Funds, First Eagle Amundi and Amundi Index Solutions: Representative - CACEIS (Switzerland) SA and Paying Agent - CACEIS Bank, Nyon Branch both at 35 Route de Signy, Case postale 2259, CH-1260 Nyon; KBI Funds ICAV: Representative – ACOLIN Fund Services AG, Affolternstrasse 56, CH-8050 Zurich and Paying Agent – NPB Neue Privat Bank AG, Limmatquai 1, CH-8001 Zurich. Free copies of the prospectus, key investor information documents, annual and semi-annual reports, management regulations and other information are available at the representative’s address shown above.
In France, a free prospectus is available from Amundi Asset Management, 91-93 boulevard Pasteur -75015 Paris - France - 437 574 452 RCS Paris France or from the centralisateur of the Funds which in the case of Amundi Funds, Amundi Index Solutions and CPR Invest SICAV is CACEIS Bank SA, 1-3 place Valhubert, 75013 Paris and in the case of First Eagle Amundi SICAV is Société Générale, 29 Boulevard Haussmann, 75008 Paris.
In Germany, for additional information on the Fund, a free prospectus may be requested from Amundi Deutschland GmbH, Arnulfstr. 124-126 80636 Munich, Germany (Tel. +49.89.99.226.0). The information and paying agent for Amundi Fund Solutions ICAV is Marcard Stein & CO AG, Ballindamm 36, 20095 Hambourg, Germany.
In Austria the paying agents for Funds registered for public distribution are, in respect of Amundi Fund Solutions: UniCredit Bank Austria AG, Rothschildplatz 1, A-1020 Vienna; Amundi Funds, Amundi Index Solutions and First Eagle Amundi: Société Générale, Vienna Branch, Prinz Eugen Strasse 8 - 10/5/Top 11, A-1040 Vienna; CPR Invest: Raiffeisen Bank International AG, Am Stadtpark 9, A-1030 Wien; and KBI Funds ICAV: Erste Bank der oesterreichischen Sparkassen AG, Am Belvedere 1, A-1100 Vienna.
In Spain, the Funds are foreign undertakings for collective investment registered with the CNMV and numbered Amundi S.F. (493); Amundi Fund Solutions (1333); Amundi Fund Solutions ICAV (1969); Amundi Funds (61) First Eagle Amundi (111); Amundi Index Solutions (1495); CPR Invest (1564) and KBI Funds ICAV (1248). Any investment in the Funds or their respective sub-funds must be made through a registered Spanish distributor. Amundi Iberia SGIIC, SAU, is the main distributor of the Funds in Spain, registered with number 31 in the CNMV's SGIIC registry, with address at Pº de la Castellana 1, Madrid 28046. A list of all Spanish distributors may be obtained from the CNMV at www.cnmv.es. Units/shares may only be acquired on the basis of the most recent prospectus, key investor information document and further current documentation, which may be obtained from the CNMV.
In Chile and Peru, this document is approved for use by Administradora de Fondos de Pensiones/Pension Fund Administrators and other institutional investors.
In Mexico, this document is approved for use with institutional investors. It may not be distributed to third parties or to the public.
In Singapore, this document is provided solely for the internal use of distributors and financial advisors and is not to be distributed to the retail public in Singapore. Investors should read the Singapore information memorandum of the Funds before deciding to invest in the Funds. Distribution occurs through Amundi Singapore Limited, 80 Raffles Place, UOB Plaza 1, #23-01, Singapore 048624 and/or the Funds’ authorised distributors. Amundi Singapore Limited is regulated by the Monetary Authority of Singapore (“MAS”). Certain sub-funds of the Funds are notified as restricted schemes under Section 305 of the Securities and Futures Act 2001 of Singapore (“SFA”) and the Sixth Schedule to the Securities and Futures (Offers of Investments) (Collective Investment Schemes) Regulations 2005 (“Restricted Schemes”). This document shall be construed as part of the Singapore information memorandum of the Restricted Schemes (the "Singapore IM"), which shall be deemed to include and incorporate the prospectus of the Restricted Schemes, any supplement to the prospectus relating to the Restricted Schemes, this document and any other document, correspondence, communication or material sent or provided to eligible participants in relation to the Restricted Schemes from time to time. Accordingly, this document must not be relied upon or construed on its own without reference to and as part of the Singapore IM. Investors should read the relevant Singapore IM before deciding to invest in the Restricted Schemes. The units/shares offered under the Restricted Schemes as set out in the relevant Singapore IM are not authorised or recognised by the MAS and are not allowed to be offered to the retail public. Accordingly, this document and the material contained within, may not be circulated or distributed, nor may the relevant units/shares be offered or sold, or be made the subject of an invitation for subscription or purchase, whether directly or indirectly, to persons in Singapore other than (i) to an institutional investor under Section 304 of the SFA, (ii) to a relevant person pursuant to Section 305(1), or any person pursuant to Section 305(2), and in accordance with the conditions specified in Section 305 of the SFA, or (iii) otherwise pursuant to, and in accordance with the conditions of, any other applicable provision of the SFA. By accepting receipt of this document and any other document or material issued in connection with the offer or sale of the shares/units, a person (within the meaning of Singapore law) in Singapore represents or warrants that person is entitled to receive such document in accordance with the restrictions set forth above and agrees to be bound by the limitations contained herein. Distribution/dividends (if applicable) are not guaranteed unless otherwise stated in the dividend policy for the relevant share class/class contained in the relevant Singapore IM. This document and the Singapore IM is not a prospectus as defined in the SFA and, accordingly, statutory liability under the SFA in relation to the content of prospectuses does not apply, and the offeree/an investor should consider carefully whether the investment is suitable for him. The MAS assumes no responsibility for the contents of this document. This document has not been reviewed by the MAS.
This information is not for distribution and does not constitute an offer to sell or the solicitation of any offer to buy any securities or services in the United States or in any of its territories or possessions subject to its jurisdiction to or for the benefit of any U.S. Person (as defined in the prospectus of the Funds). The Funds have not been registered in the United States under the Investment Company Act of 1940 and units/shares of the Funds are not registered in the United States under the Securities Act of 1933.
This document is not intended for and no reliance can be placed on this document by persons falling outside of these categories in the above-mentioned jurisdictions. In jurisdictions other than those specified above, this document is for the sole use of the professional clients and intermediaries to whom it is addressed. It is not to be distributed to the public or to other third parties and the use of the information provided by anyone other than the addressee is not authorised.
This material is based on sources that Amundi considers to be reliable at the time of publication. Data, opinions and analysis may be changed without notice. Amundi accepts no liability whatsoever, whether direct or indirect, that may arise from the use of information contained in this material. Amundi can in no way be held responsible for any decision or investment made on the basis of information contained in this material
Date of publication: 5 February 2024
Doc ID: #3369071
© 2024 Morningstar. All Rights Reserved. The information, data, analyses and opinions (“Information”) contained herein: (1) include the proprietary information of Morningstar; (2) may not be copied or redistributed; (3) do not constitute investment advice; (4) are provided solely for informational purposes; (5) are not warranted to be complete, accurate or timely; and (6) may be drawn from fund data published on various dates. Morningstar is not responsible for any trading decisions, damages or other losses related to the Information or its use. Please verify all of the Information before using it and do not make any investment decision except upon the advice of a professional financial adviser. Past performance is no guarantee of future results. The value and income derived from investments may go down as well as up.
Lipper is not responsible for the accuracy, reliability or completeness of the information that you obtain. In addition, Lipper will not be liable for any loss or damage resulting from information obtained from Lipper or any of its affiliates. ©Thomson Reuters 2024. All rights reserved.
The Funds or securities referred to herein are not sponsored, endorsed, or promoted by MSCI, and MSCI bears no liability with respect to any such Funds or securities or any index on which such Funds or securities are based. The offering documents of the Funds contain a more detailed description of the limited relationship MSCI has with Amundi and any relevant Funds.