Notification of changes to the underlying fund of R44 Allianz Total Return Asian Equity
23 Aug 2023
We have received notification from the representatives of Allianz Global Investors Fund (SICAV) (the “Company”) of the following upcoming changes to the underlying fund of our R44 Allianz Total Return Asian Equity mirror fund (the “Affected Mirror Fund”). These changes will take effect from 29 September 2023 (the “Effective Date”).
Changes to the investment objective and investment restrictions
The Company has advised that in order to increase the integration of Environment, Social and Governance (“ESG”) factors consideration in the investment process, changes to the investment objective and investment restrictions of the underlying fund of the Affected Mirror Fund will be implemented from the Effective Date. Please refer to the Appendix opposite for a comparison of the current and updated investment objective and investment restrictions.
Changes to investment strategy
From the Effective Date the investment strategy of the underlying fund of the Affected Mirror Fund will be adopting the Sustainability Key Performance Indicator Strategy (Relative) (“KPI Strategy (Relative)”).
After repositioning, in addition to the current investment objective to seek long-term capital growth by investing in the equity markets of the Republic of Korea, Taiwan, Thailand, Hong Kong, Malaysia, Indonesia, the Philippines, Singapore and the PRC, the underlying fund of the Affected Mirror Fund will also seek to outperform its Benchmark by at least 20% in minimising the portfolios weighted average of the investee companies’ annual greenhouse gas emissions intensity in terms of annual sales over its Benchmark (“Sustainability KPI”) with the adoption of the KPI Strategy (Relative).
With the adoption of the KPI Strategy (Relative), a minimum of 80% of the portfolio of the underlying fund of the Affected Mirror Fund, shall be evaluated by the “Weighted Average GHG Intensity (Sales)”. Portfolio in this respect does not comprise derivatives and instruments that are non-evaluated by nature (e.g., cash and Deposits).
Please refer to the Appendix for details of the minimum exclusion criteria applicable to KPI Strategy (Relative).
Apart from the changes mentioned above, the other current investment policy and restrictions of the underlying fund of the Affected Mirror Fund will continue to apply.
Should you have any questions regarding these changes, please contact the Investment Marketing Team.
For more information regarding Allianz Global Investors funds visit https://www.allianzgi.com