4 stocks to harness the biggest investment opportunities available in this generation

Before sustainability investing became the corporate world's darling, the Janus Henderson team had been working on an investment strategy centred around companies that demonstrate compounding earnings growth and world-changing action. They do this by identifying secular growth trends and, more importantly, the companies that have the power and products to lead these trends. In many ways, this line is their north star. 

"In a nutshell, we believe the transition to a more sustainable global economy is one of the biggest investment opportunities of our generation," says Hamish Chamberlayne, Janus Henderson Investors' Head of Global Sustainable Equity and Portfolio Manager behind the Janus Henderson Global Sustainable Equity Active ETF.

It's a strategy that continues to perform strongly even when so much retail hot money (and hype) has been and gone when it comes to the sustainability mega-trend. In the last 12 months alone, the strategy has returned more than 24%. Chamberlayne, who has been managing the strategy for more than 12 years, says that today's lack of hype and attention around ESG investing is not a bad thing:

"We believe the return prospects are better when there isn't too much heat in the market. We've seen that heat come out of the market and that means valuations are much more attractive than they were a few years ago," Chamberlayne points out.

Some of the themes that dominate the fund's holdings might not surprise you - artificial intelligence (AI), for instance, is a long-running theme in the Janus Henderson stable. The fund was invested in NVIDIA (NASDAQ: NVDA) and Microsoft (NASDAQ: MSFT) long before they were ever picked up by the rest of the markets. They also held Tesla for a long time. But others, including the stocks they choose to hold to gain exposure, might surprise you.

In this edition of Livewire's Fund in Focus, we will introduce you to the Janus Henderson Global Sustainable Equity Active strategy, which is also available on the ASX via the ticker ASX: FUTR.

Timecodes

• 0:00 - Introduction
• 0:27 - The strategy's mission and the investment philosophy which underpins it
• 1:29 - Why should investors consider global sustainable equities?
• 2:11 - Why the lack of ESG hype is a good thing for the strategy
• 2:58 - What makes your fund's approach to sustainability different to others?
• 3:49 - The AI theme and two stocks to watch: NVIDIA and Microsoft
• 4:44 - The electrification theme and two stocks to watch: Schneider Electric (EPA: SU) and Prysmian (BIT: PRY)
• 5:37 - Where is one pitfall that ESG-minded investors should be avoiding?
• 6:36 - How can diversified investors use your strategy in their portfolio?

To hear more about Hamish's investment process and how they pick the stocks that go into the strategy, you can catch up with the interview we did with him during Livewire's Listed Series:

Equities

This investor owned Tesla and Nvidia before they soared. Here's how he spots winners

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A portfolio of compounding growth companies

By focusing on companies that have a positive impact on the environment and society, our low-carbon investment approach aims to deliver compounding growth and attractive investment returns. Find out more here, or via the fund profile below. 

ETF

Janus Henderson Global Sustainable Equity Active ETF (FUTR)

Global Shares

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