New Fund Hopes to Bridge EM Investment Gap

    Stockholm (NordSIP) – According to the UNCTAD’s World Investment Report 2014, emerging markets require over US$2.5 trillion in additional yearly investments in financial inclusion, food security, access to healthcare, basic infrastructure and climate change mitigation and adaptation to meet the SDGs by 2030.

    In the spirit of the effort necessary to satisfy these needs, abrdn announced the launch of its Emerging Markets Sustainable Development Corporate Bond Fund, which aims to address environmental and social issues without sacrificing returns.

    The Fund is an Article 9 product according to the EU’s Susainable Finance Disclosure Regulation (SFDR). According to abrdm, it is among the first in the Emerging Market Debt marketplace to have a sustainable investment objective, allocating capital to companies that positively contribute towards the UN’s 17 Sustainable Develoment Goals (SDGs).

    The Fund, is managed by Samuel Bevan, Siddharth Dahiya and Kevin Craig of abrdn’s Emerging Market Debt team, and is part of an already established sustainable development range that also includes the Asian Sustainable Development Equity Fund and Emerging Markets Sustainable Development Equity Fund.

    “There are many global challenges that can be tackled by allocating capital towards sustainable development. Our in-depth research and proactive engagement enable us to identify and invest in companies providing sustainable solutions that are positively and materially aligned with the UN’s Sustainable Development Goals. The end product is a diversified portfolio of high-quality issuers from emerging markets that can deliver the dual outcomes of above-market with returns and positive societal impact. This Fund offers mainstream investors the opportunity to align their investments with their moral compass, whilst meeting the development needs of the world,” Samuel Bevan, Investment Director at abrdn said.

    The team conducts engagement activities to drive positive change and increase SDG alignment guided by abrdn’s eight-pillar SDG Investment Framework, launched in 2017. The fund aims to tackle some of the greatest challenges facing the world today, including climate change, growing social inequality, and unsustainable production and consumption.

    “We believe that investors are increasingly becoming much more aware of the challenges that the world faces today and how their money can be invested to truly make an impact. This new strategy is among one of the first in the EMD marketplace to have a sustainable investment objective, complementing abrdn’s already established Article 9 fund range and broadening the pool of our sustainable investment products on offer to our clients,” Siddharth Dahiya, Head of Emerging Market Corporate Debt at abrdn


    Filipe Albuquerque
    Filipe Albuquerque
    Filipe is an economist with 8 years of experience in macroeconomic and financial analysis for the Economist Intelligence Unit, the UN World Institute for Development Economic Research, the Stockholm School of Economics and the School of Oriental and African Studies. Filipe holds a MSc in European Political Economy from the LSE and a MSc in Economics from the University of London, where he currently is a PhD candidate.

    Latest Posts

    Partner content


    NordSIP Insights Handbook

    What else is new?