The problem
A global ETF provider wanted to build an Article 9 fund with broad appeal - something that sat between the concentrated, higher cost active strategies and the broader passive Paris Aligned benchmarks already available. They needed something systematic, cost-efficient, and genuinely sustainable.
The challenges
Building a robust Sustainable Investment Framework from scratch.
Designing an SDG-based investment pillar that could allocate capital across social and environmental objectives simultaneously.
Implementing constraints to target desired outcomes without creating unwanted capacity limitations.
What we built
A fully systematic, passively managed Article 9 strategy built around the UN SDG framework, investing in approximately 100 companies with products or services that tackle climate change, social inequality, and natural capital protection.
A Sustainable Pillar framework that promotes style diversification across sustainable themes.
Factor controls to ensure the portfolio stays within tight active exposure bounds while targeting financial return alongside impact.
The outcome
A strategy that sits in genuinely uncrowded territory, between expensive active and blunt passive, with full SFDR Article 9 classification, systematic implementation, and a construction methodology the client could explain clearly to their own distribution network.