Change to Investment Restrictions on CT (Lux) funds
Columbia Threadneedle (Lux) I (the “SICAV”) has notified us of a change to a number of sub-funds in the SICAV. The change will take effect on 13 August 2025 (the “Effective Date”).
AVAILABLE IN OUR DEFINED FUND RANGE PRODUCTS SHOWN OPPOSITE
Background
The Board of Directors of the SICAV (the “Board”) are amending the exclusion policies of a range of funds, including funds we have in our defined fund range listed below (the “Affected Funds”). The change to the Affected Funds, increases their ability to invest in companies that are involved in the conventional weapons sector.
The Affected Funds will continue to be categorised as promoting environmental or social characteristics under Article 8 of the EU Regulation 2019/2088 on sustainability-related disclosures in the financial services sector (known as the Sustainable Finance Disclosure Regulation or “SFDR”).
The amended exclusion policies will be adopted from the Effective Date.
| ISIN | Fund Name |
|---|---|
| LU1864952335 | CT (Lux) European Smaller Companies 1E Acc EUR |
| LU1864957219 | CT (Lux) Global Select 1U Acc USD |
| LU1832003567 | CT (Lux) Pan European Equities 1E Acc EUR |
| LU1832003724 | CT (Lux) Pan European Equities 1G Acc GBP |
Details of the change
The Affected Funds will continue to promote environmental and social characteristics by integrating a range of responsible investment measures into the investment decision-making process, as well as ensuring that the companies in which the Affected Funds invest follow good governance practices.
However, the Affected Funds are currently excluded from investing in companies that derive more than 10% of their revenue through involvement in conventional weapons, which includes military weapons and civilian firearms. From the Effective Date, these exclusions will no longer apply.
All other features of the Affected Funds will remain unchanged, including the exclusions on companies involved in controversial weapons. More information on the exclusions still in place after the Effective Date can be found at www.columbiathreadneedle.com
Why is this change being made?
The Investment Managers of the Affected Funds believe that there is a strong case for investment in companies involved in the defence industry. Increased governmental spending on defence means it is likely that the number of companies with defence exposure (particularly in the technology and telecommunication sectors) will rise. This is expected to increase the investment opportunities available for the Affected Funds and in turn could enhance their performance returns.
The Affected Funds will continue to be prohibited from investing in companies involved in controversial weapons, including anti-personnel mines, cluster bombs, chemical and biological weapons. These weapons are banned under international conventions and protocols.
The Board do not expect this amendment to the investment policies to result in significant changes to the way in which the Affected Funds are currently managed or their risk profiles.
For more information on the Columbia Threadneedle (Lux) I funds please visit www.columbiathreadneedle.com