AEW, the real estate investment and asset manager, is to be among the first asset managers to adopt an FCA Sustainability Impact label for one of its funds.
AEW is adopting the new Sustainability Impact label, under the the finance regulator’s voluntary Sustainability Disclosure Requirements (SDR) regime, for its UK Impact Fund (UKIF) , starting 31 July 2024, the earliest date that such labels are available for use.
The FCA introduced four new labels for funds with sustainable characteristics under the SDR regime in 2023: Sustainability Focus, Sustainability Improvers, Sustainability Impact and Sustainability Mixed Goals.
Working closely with Eversheds Sutherland, AEW’s UKIF has cleared the FCA fund authorisation process for the adoption of new disclosures and will adopt the Sustainability Impact label on the first day that it is available.
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Under the Sustainability Impact label requirements, AEW’s UKIF is committed to achieving sustainability and impact objectives.
Headquartered in Boston, AEW is one of the world’s largest real estate asset managers, with €78.8bn of assets under management as at 31 March 2024.
AEW portfolio manager Edward Long said: “Our UK Impact Fund is committed to creating a positive impact for people, place and planet, while helping clients achieve their return objectives.
“With the support of the Fund’s investors, we have worked closely over the past two years with The Good Economy, Eversheds Sutherland and the FCA to align the Fund with the SDR regime, ensuring that the place-based impact investing strategy we have adopted meets the new stringent criteria.
“Our thanks to all our partners for their commitment to this project which allowed AEW to be among the first to adopt the new ‘Sustainability Impact’ label.”
In November last year, the FCA unveiled new sustainability disclosure requirements to improve consumer trust and ensure claims aren’t misleading.
