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Royal London Sustainable Leaders Trust

15 December 2021

3 minute read

Sustainable investing is not just about avoiding the companies you don’t like. It’s about investing in the companies that are making a change. Companies which are supporting the transition to a more sustainable society. And there are plenty of such opportunities in the UK.

Who's it for? All investors

When many investors think about investing to make a difference, they think about ethical investing. This invariably involves screening out and not investing in companies which are involved in activities that are at odds with ethical and socially responsible values.

However, sustainable investing is more than that. Sustainable investing looks to invest in companies that are making a difference. Companies that are having a positive impact on society and have strong environmental, social, and governance (ESG) credentials.

But it’s also important to look for companies that have the potential to outperform and make strong returns over the long term. This is the approach behind the Royal London Sustainable Leaders Trust – a fund that invests in sustainable companies based in the UK.

The approach at Royal London

The team at Royal London look for companies that are innovative and responsible, that have a strong, long-term potential for growth, and aim to positively benefit society. This means companies involved in fields such as healthcare, cloud computing, artificial intelligence, and urban regeneration. Companies that are leading the transition to a low-carbon economy, or driving social and economic development. The team is constantly on the search for the leaders in their fields, with excellent management teams and strong franchises.

The opportunity

Royal London believes that markets often undervalue companies that can have a positive influence on society and the environment. This opens up opportunities to invest, and the Royal London Sustainable Leaders Trust aims to exploit these inefficiencies. The result is a fund that combines positive solutions for the environment and society, together with potentially attractive opportunities for long-term investing returns.

If you’re thinking of investing in a UK equity fund with the aim of delivering capital growth, and feel a focus on those companies that have a positive benefit on society and the environment is important, this fund could be worth considering. In addition to the Royal London Sustainable Leaders Trust, there are also three more funds on the Barclays Funds List that have a sustainable approach to investing. Find out more information on these funds.

If choosing the right fund for your portfolio is a challenge – with funds investing in all kinds of areas you’re unfamiliar with – another fund you might consider is the Barclays Multi-Impact Growth Fund. This fund is an award-winning1 ‘fund of funds’ meaning that it doesn’t directly invest in companies but invests in a selection of other specialist funds which Barclays’ experts consider to be ‘best in class’ impact funds.

Take a closer look at the Barclays Multi-Impact Growth Fund.

Correct at the time of publishing.

To diversify your investment, you may like to consider our own Barclays Ready-made Investments (RMI). The RMI are just one example of a range of diversified funds which allow you to select the level of risk you are most comfortable with. These Barclays multi-asset funds invest in passive funds across a range of asset classes and regions, offering a globally diversified solution for investors. Ready-made Investments are not the only funds that we offer and they won’t be appropriate for everyone.

Past performance of the fund and its manager are not a reliable indicator of their future performance.

We don’t offer personal investment advice so if you’re unsure you should seek that independently.

Funds are designed for the long term so you should only consider them if you can stay invested for at least five years.

These are our current opinions but the future, as ever, is uncertain and outcomes may differ.

Plan & Invest is a service which creates and manages a personalised Investment Plan just for you. Whether your long-term goal is your child’s university education, retirement or just building a nest egg, all you have to do is tell us a bit about yourself and then, if your application is successful and you’re ready to invest, let our experts select and manage your investments (minimum investment is £5000).

Read the Assessment of Value report [PDF, 3.2MB] for funds run by Barclays.

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