Sustainable Global Equity

A fundamental investing approach, aiming to deliver financial outperformance across changing market environments.

The Investment Week Best Newcomer Sustainable Equity winner category was open to active equity funds with a sustainable objective and between a one-year and three-year track record as at 31 January 2024. It was awarded to a portfolio within the strategy. The entrants are judged by a panel of sustainable investment experts from across the industry who decide the shortlists and award winners. The awards were announced in September 2024 and open to funds that are available to UK retail/wholesale investors.

Our deep ESG, impact and engagement expertise has contributed to sound long-term investment decisions, positioning the fund to thrive in a less accommodative macro environment. Watch the video to learn more.

Not all themes are worth following...

How are we supporting the shift to a more sustainable future?

Our research-driven investment process is designed to capture the best opportunities across global equity markets.

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Life sciences

Life sciences: Healthcare treatment and innovation

Multiple drivers for growth are evident in the healthcare sector, creating significant opportunity both in terms of societal outcomes and financial returns. These include ongoing population growth, higher life expectancy, and continuing innovation.

We are particularly focused on three key areas: preventable diseases, biologics, and tools and services.

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Buildings and construction

Buildings and construction: Energy efficiency

Buildings accounted for 37% of global greenhouse gas emissions in 2022, along with 34% of global energy demand. A rising global population, technological innovation and increased adoption of building codes all herald a transformation in the way the construction sector addresses its carbon footprint.

By 2060, the world’s building stock is set to more than double; in combination, these factors create huge potential to support the creation of a more sustainable built environment while achieving strong financial returns.

Technology

Technology: Artificial Intelligence (AI)

Generative AI has the potential to automate a wide range of complex and labour-intensive tasks that would otherwise be prohibitively expensive, time-consuming, or even impossible. According to research by Accenture, 98% of global executives see AI foundation models playing an important role in their organisation’s strategies in the next three-to-five years.

Federated Hermes has a full AI and data governance engagement framework in place, enabling us to capture new AI-linked opportunities while mitigating the potential reputational, regulatory, and financial risks for companies.

Not all funds are built like ours...

How do we do it?

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Research

Through thematic research, careful screening and organic idea generation, we identify the most compelling stock ideas across global equity markets.

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Diversified holdings

The portfolio blends high growth Impact stocks with overlooked value in Improver names, and a backbone of quality leaders.

Valuation and re‑evaluation

A high-conviction, low-turnover strategy designed to capture mispricing and see through short-term volatility.

Portfolio managers

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Martin Todd

Martin Todd, CFA

Portfolio Manager, Sustainable Global Equity, Impact Opportunities, Federated Hermes Limited

Henry Biddle

Henry Biddle, CFA, ACA

Portfolio Manager, US SMID, Federated Hermes Limited

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Product information

For the latest information – including factsheets, key facts, identifiers and ratings.

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