Munro Partners and GSFM have launched the Munro Climate Change Leaders Fund (MCCL) on the Australian Securities Exchange (ASX), marking the partnership’s second fund to be quoted on the ASX.
The actively managed fund would seek to maximise long-term capital appreciation, by investing primarily in a concentrated long-only portfolio of companies focused on decarbonisation and climate change solutions located anywhere in the world.
Nick Griffin, Munro Partners founding partner and chief investment officer, said the fund invested primarily in listed equities across a range of industries and countries whose earnings prospects should improve with increased investment and focus on decarbonisation.
“The investment strategy is designed to identify sustainable growth trends that are under-appreciated and mispriced by the market, and invest in the resulting winning stocks,” Griffin said.
“Globally, the move to a green economy and decarbonisation will shape markets and lives. We are only at the early stage of a growth trend in decarbonised investing and the race to net zero, and the fund will help investors to gain access to these early opportunities.
“MCCL invests across four sub-trends of interest including clean energy, clean transport, the circular economy, and energy efficiency. All of these areas cover large swathes of the global economy, and the opportunities are significant.”
The fund would hold between 15 and 25 stocks at any one time. The minimum suggested time frame for investment would be at least five years. The exchange traded fund had a flat management fee of 0.9% per annum of the net asset value (NAV) of the fund.
The unlisted units of the MCCL fund were launched in October 2021.
MCCL would be co-led by Griffin and Munro partner and portfolio manager, James Tsinidis.
GSFM is the responsible entity and distributor of the MCCL fund, as well as the Munro Concentrated Global Growth Fund, and the Munro Global Growth Fund in the Australian and New Zealand markets.
GSFM chief executive officer, Damien McIntyre, said the growing move to decarbonisation and the strength of the green economy presents many opportunities for investors, but it is also about picking the right ones to bolster portfolios.
“The Munro team has an enviable track record of identifying s-curves in its focused areas of interest, and investing in early-stage opportunities, to the benefit of investors,” McIntyre said.
“This latest fund is designed for investors seeking a long-term exposure to a portfolio of high quality global growth and climate change focused equities with the potential for capital gains.
“The decision to provide ASX quoted units was made to provide investors with a simpler way to access the Munro Climate Change Leaders Fund.”