Aviva’s global asset management unit Aviva Investors has launched a sustainability-focused multi-asset fund for retail investors in Singapore. The fund aims for long-term sustainable income and targets people planning their retirement.

The Aviva Investors Sustainable Income and Growth Fund (SIG) launched in Singapore will provide a 5 percent natural income with long-term capital growth. The fund comprises a portfolio of 80 to 120 companies drawn from over 25,000 names in the MSCI All Country World Index and the Bloomberg Barclays Global Aggregate Bond Index, according to Aviva.

With regard to the sustainability-focused multi-asset fund launch in Singapore, Charles Wong, head of wholesale, Asia at Aviva Investors told the media that, “The fund seeks to deliver natural income that is sustainable and designed to grow over time, with environmental, social and governance (ESG) embedded into the investment process.”

He added, “In an environment of volatile markets and concerns overgrowth, we believe SIG can play an important role in addressing the need of investors in Singapore for long-term regular income with a responsible investment focus.”

Last month, Aviva Investors launched the Aviva Investors Climate Transition European Equity fund which focuses on the transition to a low-carbon economy. The fund has already received a €100 million seed investment from Aviva France.

The fund’s purpose is to invest in climate-friendly businesses, especially in businesses which earn revenues from good and services that address climate change mitigation. The fund will not invest in companies producing energy from coal, unconventional fossil fuels or thermal coal electricity.

With regard to the Aviva Investors Climate Transition European Equity fund, Aviva Investors CEO Euan Munro said that the failure to act on climate-related risks represents a failure to act in the long-term interests of investors. He pointed out that it is vital that asset managers play their part in providing solutions for clients that will help address climate change.