This “innovative” and actively managed strategy seeks to combine robust financial and ESG analysis within a systematic market neutral framework with the aim of offering investors sustainably aligned, diversified, and uncorrelated returns, the firm said in a statement.

The fund aims to target stable, positive returns, decorrelated from traditional asset classes, by investing in liquid stocks across global developed markets. It Invests long in companies which Candriam recognises as leaders in sustainability and shorts – those identified as less sustainable.

The fund is part of the newly-integrated Candriam Alternative Investments platform, enhancing its suite of innovative investment solutions and strengthening ESG integration within its alternative offering.

The fund is managed by Bart Goosens, global head of quantitative equity and deputy global head of alternative investments, and Dave Benichou, deputy head of quantitative equity. The portfolio management team collaborates with Candriam’s dedicated ESG investment and research team, led by Wim Van Hyfte, global head of ESG investments and research, who oversees the ESG analysis used in the investment process. Both teams, which have more than 20 years’ experience in quantitative equity investing and ESG research respectively, have been collaborating for over a decade, managing a range of long only ESG strategies.

The firm said that this fund is testament to its expertise in ESG, financial analysis and quantitative equity investing. It also adds to Candriam’s commitment to evolving its offering and providing its clients with diversified, sustainable and innovative solutions.

“By combining our differentiated ESG process with the extensive expertise of our quantitative equity team, we provide our clients with access to unique solutions that seeks to offer an attractive risk-return profile, whilst supporting meaningful social and environmental change,” Steeve Brument, global head of alternative Investments, said. “We are confident that the appetite for both alternative strategies and ESG-aligned solutions will continue to grow, and this launch further represents the next step in our efforts to further embed ESG integration within our alternatives solutions.”

The fund is available for distribution in Austria, Belgium, France, Germany, Luxembourg, the Netherlands, Switzerland, and the UK.