Schroder ISF* Global Sustainable Food and Water
Investing in food and water systems for a sustainable futureOur approach
Our food and water system will be exposed to unprecedented challenges over the next 30 years. The need to reduce greenhouse gas emissions and adapt to a changing climate whilst improving biodiversity, reducing pollution and waste, and encouraging healthier diets globally has never been greater.
Early estimates suggest that this structural shift will require around $30trillion of capital reallocation by 2050. This is a significant step change in investment rates which we believe will create opportunities for investors across the entire food and water value chain.
Providing focused thematic exposure to the transition to a more sustainable and healthier food system. This article 9 fund invests in multiple investable markets, from farm to fork, including sustainable agriculture, healthy eating and recyclable packaging. ESG & sustainability overlay: all companies are aligned with one of the UN SDGs relating to climate, health and food.
View fund information
Building a sustainable food and water fund
In order to create a food and water system that will be sustainable to feed a global population of over 10 billion by 2050, major investment is required across the whole food and water system. The fund breaks them down into six focus areas.
Water management: water treatment; water infrastructure and utilities; water recycling
Agricultural equipment: advanced farming equipment and technologies; food processing and testing Agricultural inputs: biotech fertilisers and advanced seeds; animal welfare, crop protection and pest control Food production and processing: sustainable farming and fishing; healthy food and drink production Packing distribution and recycling: food trading, transport and storage; sustainable packaging Food retail: sustainable food stores, restaurants and services
Meet the managers
Schroder ISF Global Sustainable Food and Water is managed by Head of Resource Equities, Mark Lacey, and fund managers, Alex Monk and Felix Odey.
Risk considerations
*Schroder International Selection Fund is referred to as Schroder ISF.
- Currency risk: The fund may lose value as a result of movements in foreign exchange rates.
- Derivatives risk: Derivatives may be used to manage the portfolio efficiently. A derivative may not perform as expected, may create losses greater than the cost of the derivative and may result in losses to the fund.
- IBOR risk: The transition of the financial markets away from the use of interbank offered rates (IBORs) to alternative reference rates may impact the valuation of certain holdings and disrupt liquidity in certain instruments. This may impact the investment performance of the fund.
- Liquidity risk: In difficult market conditions, the fund may not be able to sell a security for full value or at all. This could affect performance and could cause the fund to defer or suspend redemptions of its shares.
- Operational risk: Operational processes, including those related to the safekeeping of assets, may fail. This may result in losses to the fund.
- Performance risk: Investment objectives express an intended result but there is no guarantee that such a result will be achieved. Depending on market conditions and the macro economic environment, investment objectives may become more difficult to achieve.
- Sustainability risk: The fund has the objective of sustainable investment. This means it may have limited exposure to some companies, industries or sectors and may forego certain investment opportunities, or dispose of certain holdings, that do not align with its sustainability criteria chosen by the investment manager. The fund may invest in companies that do not reflect the beliefs and values of any particular investor.
- Higher volatility risk: The price of this fund may be volatile as it may take higher risks in search of higher rewards.
- Market risk: The value of investments can go up and down and an investor may not get back the amount initially invested.
Important information:
For professional investors and advisers only. The material is not suitable for retail clients. We define "Professional Investors" as those who have the appropriate expertise and knowledge e.g. asset managers, distributors and financial intermediaries
This information is a marketing communication. This information is not an offer, solicitation or recommendation to buy or sell any financial instrument or to adopt any investment strategy. Information herein is believed to be reliable but we do not warrant its completeness or accuracy. Schroders has expressed its own views and opinions in this document and these may change. The value of investments and the income from them may go down as well as up and investors may not get back the amounts originally invested. Exchange rate changes may cause the value of any overseas investments to rise or fall. Past Performance is not a guide to future performance and may not be repeated. This document does not constitute an offer to anyone, or a solicitation by anyone, to subscribe for shares of Schroder International Selection Fund (the “Company”). Nothing in this document should be construed as advice and is therefore not a recommendation to buy or sell shares.
Subscriptions for shares of the Company can only be made on the basis of its latest Key Investor Information Document and prospectus, together with the latest audited annual report (and subsequent unaudited semi-annual report, if published), copies of which can be obtained, free of charge, from Schroder Investment Management (Europe) S.A.
Issued in March 2023 by Schroders Investment Management Ltd registration number: 01893220 (Incorporated in England and Wales) which is authorised and regulated in the UK by the Financial Conduct Authority and an authorised financial services provider in South Africa FSP No: 48998.