CT (Lux) European Social Bond

This is a marketing communication. Please refer to the prospectus of the UCITS and to the KIID before making any final investment decisions.

At a glance

This investment grade credit fund unlocks the full potential of bonds to deliver both financial returns and positive social outcomes.

Key facts

SFDR
Article 8*

Fund Inception date:
23 May 2017

Fund Manager
Simon Bond

Benchmarks notes:
Composite index comprising: 50% ICE BofA Euro Non-Sovereign; 50% ICE BofA Euro Corporate Euroland Issuers

Investing in positive social outcomes

We invested in organisations and bonds delivering and enabling tangible impact.

The decision to invest in the promoted fund should also take into account all the characteristics or objectives of the promoted fund as described in its prospectus. The fund’s sustainability related disclosures can be found here.

Annual Social Impact Report

PDF

CT (Lux) European Social Bond – Impact Report

We believe in

Social Investing Horizontal

Key reasons to invest

  1. Innovative approach:  Using a dynamic social research methodology to guide investment decisions, the portfolio manager actively sources bonds that combine clear social benefits with sound financial attributes.
  2. Strength in partnership: Our strong reputation across both fixed income credit and social investment is enhanced by our social partnership with INCO Group1, an organisation focused on the European social economy and a leader in assessing sustainable social businesses.
  3. Proven track record in social bond investing: We have successfully managed outcomes-focused social bond strategies since 2013, and have over €1 billion invested in a range of strategies for clients in the UK, Europe and the US.
1INCO operates under the auspices of Europe’s leading social enterprise: Groupe SOS and Le Comptoir de l’innovation

Risks to be aware of

This fund is suitable for investors who can tolerate a moderate level of risk in return for solid returns over a medium-term investment horizon. Investors should read the Prospectus for a full description of all risks.

Investment risks: Investment in debt securities, derivatives and currencies.

Associated risks: The fund may be exposed to additional credit, market, interest rate and liquidity risks due to the nature of investing in debt markets.

Investment approach

Outcome-focused approach aligned with SDGs

We use an outcomes-based approach to deliver both social and financial returns, investing in businesses that have a positive social impact predominantly in Europe, accessing a broad social universe of around 2,000 bonds. We actively source bonds from seven key social development fields, targeting the most beneficial projects in the areas of most need, with geography being a key driver.
Alignment of social bond strategy focus with UN SDGs
The UN launched the Sustainable Development Goals (SDGs) in 2015 as a framework of sustainable development priorities and have emerged as a potential guide for investing towards a more sustainable world for investors and governments alike, by signposting global development priorities.

Social assessment methodology directs investments to positive social outcomes

Eligible investments are ranked both by their impact category and social intensity by our Responsible Investment (RI) analysts. Our Investment Grade credit research analysts ensure investment ideas pass rigorous financial tests for inclusion in the portfolio. We actively engage with company managements to understand how their businesses work and take a proactive role with both corporates and governments in the growth and development of the social bond market.
Social Assessment Methodology

Our social partner, INCO Group, brings its expertise and reputation by deepening the research on the social outcomes of potential investments; reviewing, advising and monitoring our social assessments via a quarterly Social Advisory Panel; and producing an independent annual report.

PDF

Social Investment Guidelines

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Fund Manager

Simon Bond
Director of Responsible Investment Portfolio Management

*The Fund is categorised an Article 8 under the EU Regulation 2019/2088 on sustainability related disclosures in the financial services sector (SFDR) and promote environmental or social characteristics as an objective.

Important Information

FOR PROFESSIONAL INVESTORS ONLY (not to be used with or passed on to any third party). Your capital is at risk.
This financial promotion is issued for marketing and information purposes only by Columbia Threadneedle Investments.
The Fund is a sub-fund of Columbia Threadneedle (Lux) I, a Luxembourg domiciled investment company with variable capital (“SICAV”), managed by Threadneedle Management Luxembourg S.A..
The SICAV´s current Prospectus, the Key Investor Information Document (KIID)/Key Information Document (KID) and the summary of investor rights are available in English and/ or in local languages (where applicable) from the Management Company Threadneedle Management Luxembourg S.A., International Financial Data Services (Luxembourg) S.A., your financial advisor and/or on our website www.columbiathreadneedle.com. Threadneedle Management Luxembourg S.A. may decide to terminate the arrangements made for the marketing of the SICAV. Pursuant to article 1:107 of the Act of Financial Supervision, the sub-fund is included in the register that is kept by the AFM. Past performance is calculated according to the BVI method in Germany.
These documents are available in Switzerland from the Swiss Representative and Paying Agent CACEIS Investor Services Bank S.A.. Esch-sur-Alzette, Zurich Branch, Bleicherweg 7, CH 8027 Zurich.
The Fund is categorised an Article 9 under the EU Regulation 2019/2088 on sustainability related disclosures in the financial services sector (SFDR) and promote environmental or social characteristics as an objective. The decision to invest in the promoted fund should take into account all the characteristics or objectives of the promoted fund as described in its prospectus. The fund’s sustainability related disclosures can be found on our website columbiathreadneedle.com.
The Fund is categorised an Article 8 under the EU Regulation 2019/2088 on sustainability related disclosures in the financial services sector (SFDR) and promote environmental or social characteristics as an objective. The decision to invest in the promoted fund should take into account all the characteristics or objectives of the promoted fund as described in its prospectus. The fund’s sustainability related disclosures can be found on our website columbiathreadneedle.com.
The Fund is categorised an Article 6 under the EU Regulation 2019/2088 on sustainability related disclosures in the financial services sector (SFDR) and DOES NOT promote environmental or social characteristics as an objective. Sustainability risks are integrated into the fund’s investment decisions making process for financial Risk Management purposes only.
This material should not be considered as an offer, solicitation, advice or an investment recommendation. An investment may not be suitable for all investors and independent professional advice, including tax advice, should be sought where appropriate. This communication is valid at the date of publication and may be subject to change without notice. Information from external sources is considered reliable but there is no guarantee as to its accuracy or completeness.
In Spain, Columbia Threadneedle (Lux) I is registered with the CNMV under No. 177. The Fund is a non-Spanish collective investment scheme duly registered with the CNMV for marketing in Spain. The fund should be subscribed to through locally authorised appointed distributors. Investors must read the relevant Prospectus and KID for each fund they want to invest before subscribing. All other statutory documentation, as well as the NAV can be obtained from www.columbiathreadneedle.com.
In the EEA and Switzerland: Issued by Threadneedle Management Luxembourg S.A. registered with the Registre de Commerce et des Sociétés (Luxembourg), Registered No. B 110242, 44 rue de la Vallée, L-2661 Luxembourg, Grand Duchy of Luxembourg. In the UK: Issued by Threadneedle Asset Management Limited. Registered in England and Wales, No. 573204. Registered Office: 78 Cannon Street, London EC4N 6AG, United Kingdom. Authorised and regulated in the UK by the Financial Conduct Authority. In the Middle East: This document is distributed by Columbia Threadneedle Investments (ME) Limited, which is regulated by the Dubai Financial Services Authority (DFSA). For Distributors: This document is intended to provide distributors with information about Group products and services and is not for further distribution. For Institutional Clients: The information in this document is not intended as financial advice and is only intended for persons with appropriate investment knowledge and who meet the regulatory criteria to be classified as a Professional Client or Market Counterparties and no other Person should act upon it.
This document may be made available to you by an affiliated company which is part of the Columbia Threadneedle Investments group of companies: Columbia Threadneedle Management Limited in the UK; Columbia Threadneedle Netherlands B.V. in the EEA; Columbia Threadneedle Investments (Swiss) GmbH in Switzerland, acting as representative office of Columbia Threadneedle Management Limited. Certain funds and/or share classes may not be available in all jurisdictions.

© Columbia Threadneedle Investments. Columbia Threadneedle Investments is the global brand name of the Columbia and Threadneedle group of companies.

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