Ambienta X Environmental Mid Cap Fund

Fund description

The Ambienta X Environmental Mid Cap Fund is a specialised equity long only UCITS based on a structural, long-term fundamental conviction on European Mid Cap sustainability focussed stocks.

The fund targets 100% investment in companies whose products and services have a positive impact on resource efficiency and/or pollution control, as measured by the proprietary Ambienta Sustainability Index scoring methodology. Environmental sustainability is assessed as a potential indicator of competitive advantages and value enhancement. In addition, comprehensive ESG due diligence is performed on every portfolio company and on every new potential investment.

This thematic approach is combined with active fundamental research, applying an investment process that Ambienta originally developed and successfully implemented in private equity to construct a portfolio of 25-35 individual mid-cap (market cap typically between $500m and $10bn) stocks that we identify as sustainability champions. This focus enables a limited overlap with other ESG funds or ESG ETFs.

The Investment Team

The fund is managed by Fabio Pecce and Francesco Cavallo, who are supported by a team of partners, seasoned professionals and investment analysts, embracing the same ethos and values. The team leverages the over decade-long experience of Ambienta’s Sustainability & Strategy team leveraging thematic knowledge across asset classes.

Fabio Pecce

Chief Investment Officer and Partner, Ambienta X

Francesco Cavallo

Senior Investment Analyst and Deputy PM on EMC and Partner, Ambienta X

Sofia Savvantidou

Senior Investment Analyst, Ambienta X

Nicholas Durack

Investment Analyst, Ambienta X

The Investment Universe

The fund focuses on investments in liquid, listed European and US companies with a market capitalisation of less than US$10bn, which have sustainability-driven competitive advantages and are priced at attractive valuations. The portfolio selection process selects 25-35 high conviction stocks from a focus list, which is derived from Ambienta’s investable universe of over 1,000 sustainable, publicly listed companies.

Sustainability

Environmental sustainability trends, namely Resource Efficiency and Pollution Control, represent a theme that cuts across traditional sectors, shape industries and value chains and ultimately drive risks and opportunities for companies and investors. Sustainability, similarly to digitalization, is and will permeate society for decades to come. Providing sustainable solutions to global environmental issues is a strong source of competitive advantage. Ambienta consistently focuses on understanding and getting ahead of these trends, to foster investment ideas generation, improve local team origination effectiveness, unlock fruitful relationships with entrepreneurs and managers and ultimately deliver strong financial returns for investors across our businesses.

Ambienta’s Sustainability and Strategy team is our dedicated division to both develop investment ideas and support investment cases discussion across our asset classes, and build our proprietary sustainability measurement approaches.

Our lens
May 23, 2024
Greenwashing in fashion – A roadblock on the path towards a sustainable textile industry
Our lens
October 9, 2023
Rewiring the Automotive Industry: a first step into a bigger revolution
Our lens
February 11, 2023
Electrifying Industrial Heat: A Trillion Euro Opportunity Hiding in Plain Sight
Our lens
October 26, 2022
The Comeback of Wood Construction
Our lens
January 11, 2022
Making Sense of the Most Essential Yet Undervalued Natural Resource
Our lens
July 29, 2021
The EU’s Revamped Carbon Pricing Policy

Key Facts

Fund Inception
April 2022
Base currency
EUR (€)
Strategy
Long-Only
SFDR
Article 9
Fund Domicile
Ireland
Administrator
Morgan Stanley Fund Services (Ireland)
Dealing Frequecy
Daily
Valuation Day
Daily
Notice Period
T-4

Daily NAV

Class DB (EUR) Accumulation
€ 119,37
Class DR (EUR) Accumulation
€ 120,60
Class DL (EUR) Accumulation
€ 1.374,20
Class DT (EUR) Accumulation
€ 1.390,02
Class M0 (EUR) Accumulation
€ 110,81

As at May 23, 2024. Fund Inception date: April 29, 2022

Synthetic Risk and Reward Indicator (SRRI)

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Lower Risk
Lower Rewards
Higher Risk
Typically Higher Rewards
The SRRI may not be a reliable indicator of the Fund’s future risk profile. The risk category shown is not guaranteed and may shift over time. The lowest category does not mean a ‘risk free’ investment.

Resources

SFDR product disclosure Ambienta X