Private bank to ‘redefine wealth management’ using ESG

With launch of two funds and a model portfolio

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Switzerland-based SP Hinduja Banque Privée has launched a suite of products for investing with a focus on environment, sustainability and governance, as well as offering clients a model portfolio aligned with ESG objectives.

The bank said the products are “aimed at the next generation of global, entrepreneurial investors who understand that ESG standards of companies are a key driver for long-term value creation and business sustainability”.

Double offering

The SPH Global ESG Fund invests in a concentrated portfolio of high-quality companies in developed markets with stable income generation potential, and strong ESG risk management in place.

SPH employs a combination of rigorous ESG analysis using multiple ESG data sources, quality assessment, and fundamental research.

The SPH Climate Change Fund takes a combined top-down and bottom-up stock selection approach.

The fund simultaneously protects against the significant downside ESG risks of climate change, and captures the upside of investing in companies that are creating innovations and solutions at the intersection of climate resilience and shared economic prosperity.

It will focus on the following sectors in both developed and emerging markets:

  • Alternative energy
  • Energy efficiency
  • Green real estate
  • Sustainable water
  • Pollution prevention

Both funds and the ESG-aligned model portfolio will be available to new and existing clients from the end of August.

Heightened awareness

Chief executive Karam Hinduja said: “Since its foundation, SP Hinduja Banque Privée has understood that there is a correlation between the long-term financial sustainability of companies and the ESG standards they practice.

“This correlation is strongest today with our generation’s heightened awareness of cause-and-effect and the deep interconnectedness of our world.

“Therefore, we have introduced two funds that value the ESG practises of companies together with their financial performance to provide our clients with exposure to companies with sustainable performance.

“Our two new funds are designed to combine the highest standards in ESG assurance with market-beating returns that match our clients’ ambitions.”

Set up in 1994, SP Hinduja Banque Privée describes itself as a family-owned Swiss private bank with India roots.

It has offices in Geneva, Zurich and Lugano, as well as a presence in Dubai, London and India.