London-based hedge fund manager Trium Capital has launched a new long-short strategy it claims will be green enough to comply with the European Union’s most stringent environmental, social and governance designation, Article 9.
Managed by Joe Mares and Tom Ayres, the fund is a UCITS equity long/short market neutral strategy and aims to deliver long-term returns with low correlation to traditional asset classes while driving positive environmental outcomes and addressing challenges including climate change, waste management and water access.
Trium already has a successful track record in ESG-aligned investments with its Article 8 ESG Emissions Impact Fund – a strategy also managed by Mares – having outperformed 96% of peers last year with a 10.6% gain.
The new fund, which Mares believes has the scope to reach €1 billion in assets, but is expected to launch with about €50 million this spring, is targeting 100% in sustainable investments in the long portfolio, but guarantees a minimum of 90%.
Mares said: “The launch of this fund marks a significant step for Trium and offers investors an attractive return profile alongside a substantial impact in terms of ESG outcomes. There is a compelling opportunity set for this strategy in the current climate and we believe a diversified portfolio in this space can provide reliable long-term returns for investors while maintaining low volatility and correlation to traditional markets.”
