Description

The Vanguard ActiveLife Climate Aware 40-50% Equity Fund is an actively managed multi-asset investment fund provided by Vanguard, with Wellington Management Company serving as the external fund manager. The fund's primary objective is to achieve long-term capital appreciation over more than five years, alongside providing income from its investments. It invests between 40% and 50% of its assets in company shares and 50% to 60% in bonds issued by both companies and government-related entities. The fund maintains a global investment scope, primarily focusing on developed countries, and can allocate across all sectors and industries. A core aspect of its strategy involves climate considerations, requiring at least 70% of its assets to meet specific environmental criteria. These criteria include investing in companies with Scope 1 and 2 carbon intensity at least 25% below their industry average or those with active emissions reduction targets, and sovereign bonds from countries with carbon intensity at least 25% lower than the average of sovereign constituents in its benchmark index. The fund also implements exclusions, avoiding investments in certain companies and sovereign bonds from countries where fuel exports exceed 50% of total exports.