Fund aims for companies that embrace sustainability values in businessPrincipal Malaysia has introduced the Principal Islamic Global Responsible Equity Fund, a Shariah-compliant investment fund that provides investors with an opportunity to invest across a diversified portfolio of equities while considering sustainability criteria.
The new Principal fund aims to invest in companies that are not only fundamentally attractive but also embrace strong sustainability values in their businesses by demonstrating either good or improving ESG practices. The fund targets to outperform the benchmark MSCI ACWI Islamic Index. On the ESG front, Principal says that it screens the portfolio's exposure to carbon-intensive companies and aims for an aggregate carbon risk level 15% lower than the benchmark index.