Investment Product and Service Launches

Vanguard to Introduce Environmental Opportunities Fund

Vanguard has announced its plan to launch the Vanguard Global Environmental Opportunities Stock Fund.

The actively managed fund will hold a concentrated portfolio of companies that are involved in the process of decarbonization and derive at least half of their revenue from activities deemed by the fund’s adviser to contribute positively to environmental change. The fund will be managed by Ninety One, an active investment manager with experience in environmental, decarbonization and global investing.

Founded in 1991, Ninety One manages approximately $160 billion globally. The Global Environmental Opportunities Stock Fund takes a structured, research-driven approach to investing that targets companies seeking to accelerate the transition to a low-carbon world. Ninety One’s investment philosophy is focused on the conviction that there are structural growth opportunities resulting from trends in regulation, technology and consumer preferences, which are driving a multi-decade energy transition. The firm believes that companies that successfully navigate this transition are likely to create value for investors over the long term. This will be the first Vanguard fund advised by Ninety One.

The fund is designed for environmentally conscious investors who have a high tolerance for risk and want to augment a broadly diversified portfolio with a satellite position. The fund is expected to launch in the fourth quarter of this year with a competitive expense ratio of 0.75% for investor shares and 0.60% for admiral shares. The fund’s minimum investments are $3,000 for investor shares and $50,000 for admiral shares.

Lincoln Financial and Stadion Money Management Launch StoryLine Dynamic

Lincoln Financial Group has announced the launch of Stadion’s StoryLine Dynamic, a qualified default investment alternative program built in collaboration with Stadion Money Management.

The QDIA program is designed to evolve with plan participants and transition their investments to a more personalized allocation strategy as they near retirement age. Built with Stadion’s technology, this solution combines a target-date fund for younger individuals with Stadion’s StoryLine managed account service for participants age 50 and older.

“This new offering will allow plan sponsors to offer a more robust, customized retirement solution for participants who are not as actively engaged in making investment decisions to help them achieve better retirement outcomes,” says Ralph Ferraro, senior vice president, head of retirement plan services at Lincoln Financial Group.

Through this solution, plan participants can benefit from professional asset allocation that can adapt to their specific needs as they near retirement. According to research from Lincoln Financial, more than a third of plan participants report not understanding what investments to choose or how to manage investments as they age.

Stadion Money Management (recently acquired by Smart, a global savings and investments technology provider) is a managed account provider offering personalized retirement services to plan sponsors and their participants.