20
%
GLOBAL EQUITY EXPOSURE
Income
Growth and Income Strategy
2
SYNTHETIC RISK & REWARD
Fund Highlights
1
Gains exposure to climate volatility as a theme, and generates potentially positive returns from increasingly variable weather patterns.
2
A concentrated portfolio of well researched, high conviction ideas advised by highly credentialled sector specific team.
3
Provides surgical exposure to sustainable Article 8 themes
4
Provides surgical exposure to sustainable Article 8 themes
Investment Highlights
- Diversification: Exposure across wheat, sugar, soybeans, cotton, cattle and farmland reduces reliance on a single commodity cycle.
- Structural Growth: Rising demand for renewable fuels ( for example bioethanol, SAF, biodiesel ) anchors demand for sugar, corn and oilseeds.
- Pricing Power: Climate volatility amplifies supply shocks, benefiting well-positioned producers with scale and logistics.
- Policy Tailwinds: Blending mandates, subsidies, and renewable energy directives ( for example EU RED II, India’s ethanol program, US RFS ) create predictable demand growth.
Investment Philosophy
- Climate change is disrupting agricultural cycles, creating scarcity and pricing power for producers of vital soft commodities.
- Food producers and farmland owners increasingly form part of the energy transition, as crops double as feedstock for biofuels, biomass and renewable energy.
- We target companies and assets positioned at the intersection of food security and energy security.
- Long-term value creation comes from exposure to inflation-linked, climate-resilient real assets with dual demand drivers.
Portfolio Companies
- Agribusiness processors ( for example ADM, Bunge, Nutrien, Corteva ): Benefit from rising crop prices and weather volatility; some actively engaged in renewable biofuel ingredients.
- Farmland REITs ( for example Gladstone Land, Farmland Partners ): Own hard agricultural assets, benefitting from land value appreciation and dual demand from food and energy transitions.
- Agri-protein producers ( for example JBS, Olam ): Move across food and feed sectors, increasingly investing in sustainable practices and supply chain transparency.
- Biofuel innovators ( for example Verbio, Gevo ): Directly link soft commodities to the energy transition by transforming crop feedstocks into low-carbon fuels.
Reasons to Invest
- Climate Resilience: Benefit from commodities that gain value under climate stress and supply disruptions.
- Dual Demand Drivers: Capture upside from both food security and energy transition trends.
- Inflation Hedge: Agricultural assets historically outperform during inflationary cycles.
- ESG Alignment: Exposure to low-carbon fuels, sustainable agriculture, and carbon credit monetisation.
- Hard Asset Backing: Invest in real, productive assets with intrinsic and enduring value.
Important Information: Capital at Risk. All financial investments involve an element of risk. Therefore, the value of your investment and the income from it will vary and your initial investment amount cannot be guaranteed. The value of your investment and the income from it will vary and your initial investment amount is not guaranteed. Some or all of the Manager’s annual charge for the Fund is taken from capital rather than from income. This increases the income, but reduces the potential for capital growth. Two main risks related to fixed income investing are interest rate risk and credit risk. Typically, when interest rates rise, there is a corresponding decline in the market value of bonds. Credit risk refers to the possibility that the issuer of the bond will not be able to repay the principal and make interest payments. In the event of default, the value of your investment may reduce. Economic conditions and interest rate levels may also impact significantly the values of high yield bonds. All currency hedged share classes of this fund use derivatives to hedge currency risk. The use of derivatives for a share class could pose a potential risk of contagion (also known as spill-over) to other share classes in the fund. The fund’s management company will ensure appropriate procedures are in place to minimise contagion risk to other share class. Using the drop down box directly below the name of the fund, you can view a list of all share classes in the fund – currency hedged share classes are indicated by the word “Hedged” in the name of the share class. In addition, a full list of all currency hedged share classes is available on request from the fund’s management company.
Commodity-Driven Investment Playbook
How The Fund Works
Investment Process
Step 1
Identify defining transition themes
Step 2
Define Global Universe
Step 3
Apply Exclusion Policies
Step 4
Determine industry carbon cost curves
Step 5
Company Analysis
Step 6
Portfolio Construction
Step 7
Calculate Scope 1 and 2 portfolio emissions
