Update to investment policy of Artemis Positive Future Fund

Updated 1 August 2022

The fund’s investment strategy and key features have not changed as a result, nor will any of the fund’s portfolio holdings need to be sold as a result of the amendments.

What has changed?

The fund’s alcohol, tobacco and gambling exclusions have been amended so that companies which derive more than 5% revenue from each business activity are excluded, rather than 10% currently.

The fund’s nuclear power exclusion has been widened to include companies which mine uranium, generate nuclear power or which supply key nuclear-specific products and services.

The fund’s fossil fuel exclusion has been widened to include companies owning oil and gas reserves, engaging in conventional and unconventional oil and gas production and processing, owning thermal coal reserves, mining of thermal coal or generating thermal coal-based electricity.

Two new exclusions are now included:

• Biodiversity and land use: Companies that the manager determines to be implicated in severe controversies related to the company’s use or management of natural resources; and
• Companies that the manager determines to be in breach of the United Nations Global Compact principles on human rights, labour rights, the environment and anti-corruption.

There are no changes to the fund’s other exclusions.

Investors should note that companies involved in such business activities or implicated in such controversies would not be considered part of the fund’s investable universe since the launch of the fund, given the requirement that investee companies must meet the manager’s criteria for positive environmental and social impact. Therefore, none of the fund’s portfolio holdings need to be sold as a result, nor is there any change in the fund’s investment strategy and the operation and/or manner in which the fund is being managed following these changes. All other key features of the fund remain the same.

The shareholder letter attached below shows the updated investment policy section of the fund.

Why has Artemis made these changes?

Following a recent review of the fund’s exclusions detailed in the prospectus, it was felt appropriate to update the language and, in certain cases, reduce the revenue threshold for an exclusion to become effective. It is our view that lowering the revenue thresholds and widening the list of exclusions can be done comfortably without requiring any changes to the manner in which the fund is managed.

Contact

If you are uncertain about the details of this change, we recommend that you consult a professional adviser.

For further information, please contact our Client Services team on 0800 092 2051 (outside the UK +44 1268 445 401) between 8am and 6pm Monday to Friday, or by email at [email protected].

Affected share classes