Sustainable Finance Disclosure Regulation (SFDR)

This page includes all information related to our implementation of Sustainable Finance Disclosure Regulation:

• Consideration of sustainability risk policies in investment decision making
• No consideration of adverse impacts of investment decisions on sustainability factors
• Integration of sustainability risk in remuneration policies
• Sustainability-related disclosures for funds and mandates
• Disclosures in periodic reports

Consideration of sustainability risk in investment decision making

Liontrust does not have a single firm-wide policy for consideration of sustainability risk in investment decision-making.  Policies are instead applied at an individual investment team level.  Details of how each investment team managing products captured by the SFDR consider sustainability risk in their investment decision making processes can be found below:

• Sustainable Investment team (Equities)
• Sustainable Investment team (Fixed Income)
• Global Fixed Income team
• Global Fundamental team
• Economic Advantage team
• Cashflow Solution team

No consideration of adverse impacts of investment decisions on sustainability factors

As permitted under article 4 1(b) of the SFDR, Liontrust is not a financial market participant that is required to consider the principal adverse impacts of investment decisions on sustainability factors.

Integration of sustainability risk in remuneration policies

Liontrust has in place a remuneration policy, which is designed to:

• Facilitate common, uniform and consistent application of relevant regulatory provisions on remuneration;

• Ensure remuneration practices do not encourage risk taking (including sustainability risks), which is inconsistent with the firm’s risk appetite or the risk profile of the funds; and

• Develop, implement and maintain a culture of ensuring the client’s best interests are met.

 
This Policy is one of the core tools which LGF uses to implement and comply with best practice, create a sustainable and responsible remuneration strategy, and to eliminate and mitigate against behaviours which could lead to failure to act in the client’s best interest. 

For further information on the policy, please contact us.

Transparency on products which promote environmental or social characteristics or have sustainable investment as their objective

The following funds have been classified as Article 9 products under the SFDR, having sustainable investment as their investment objective:

• Liontrust GF Sustainable Future European Corporate Bond Fund

• Liontrust GF Sustainable Future Pan European Growth Fund

• Liontrust GF Sustainable Future Global Growth Fund

• Liontrust GF Sustainable Future Multi-Asset Fund
  Liontrust GF Sustainable Future US Growth Fund
  
  

The following funds have been classified as Article 8 products under the SFDR, which promote environmental or social characteristics:

• Liontrust GF Absolute Return Bond Fund
• Liontrust GF High Yield Bond Fund
• Liontrust GF Strategic Bond Fund

Information on the methodologies used to assess, measure and monitor the environmental or social characteristics or the impact of the sustainable investments selected for the funds, including data sources, screening criteria for the underlying assets and the relevant sustainability indicators used to measure the environmental or social characteristics or the overall sustainable impact of the funds can be found on their respective fund pages in the fund literature overlay under 'Sustainability-related disclosures'.

For further information on the sustainable investment objective of the funds noted above and how the objective is attained, please see the relevant fund supplement and annex in the prospectus, found here.

Liontrust Investment Partners LLP also acts as delegated Investment Manager on Article 9 products which are operated by ABN Amro.

Transparency of the promotion of environmental or social characteristics and of sustainable investments in periodic reports

SFDR requires Liontrust to provide periodic reporting to investors on whether the environmental, social characteristics or sustainable investment goal of a fund, as set out in the pre-contractual disclosures were met.

This information can be found in the Fund’s annual reports with reference periods starting from 31 March 2021.