Natixis Global Asset Management filed a registration statement with the Securities and Exchange Commission for the first series of target-date mutual funds in the U.S. that follow a sustainable investing approach, according to an announcement.
The Natixis Sustainable Future Funds will include 10 funds with time horizons ranging every five years from 2015 to 2060.
“Our research shows that most people want to invest in companies that are ethically run, have a positive social impact, and have strong environmental track records,” said John Hailer, CEO for the Americas & Asia and head of Global Distribution, in a statement.
In the firm’s 2016 Global Survey of Individual Investors, a majority stressed the importance of investing in companies that are ethically run (83%), have a positive social impact (70%) and have good environmental records (70%).
Its 2016 Retirement Plan Participant Study2 found that 71% of millennials saying they would be more willing to contribute to their retirement plan if they knew their investments were doing social good.
The funds will select securities based on environmental, social and governance (ESG) criteria with respect to such issues as fair labor, anti-corruption, human rights, fair business practices and mitigation of environmental impact, and it will seek a diversified portfolio of investments that contribute to a more sustainable future.
Ed Farrington, Natixis’ executive vice president for retirement strategies, believes the firm’s new ESG offering could get more investors to save for retirement.
“Comprehensive retirement plans that offer a wider range of choices, especially investments that reflect workers’ values and beliefs, encourage an increased level of saving that would help investors reach their retirement goals,” Farrington said in a statement.
The proposed funds will be advised by NGAM Advisors, L.P. and sub-advised by Natixis Asset Management U.S., LLC (Natixis AM U.S.). Among other investment constituents, the funds will incorporate equity and fixed income allocations that leverage the ESG expertise of Mirova, an affiliate of Natixis AM U.S., which has managed responsible investment solutions for almost 30 years. Natixis has also selected Wilshire Associates as a sub-advisor to provide glide path design and portfolio allocation services.
Hartford Funds Reduces Fees on Strategic Beta ETFs
Hartford Funds will cut fees on four of five strategic beta exchange-traded funds by an average 14%, effective January 1, 2017, according to press release.