AXA IM’s SDR-labelled funds now total £1.2 billion in AUM, representing nearly 15% of its UK fund range.
Two of its fixed income strategies are among the first to adopt the FCA’s new SDR ‘Sustainability Improver’ label.
The labelled funds aim to support the transition to net zero by 2050, aligning financial performance with ESG priorities.
AXA Investment Managers (AXA IM) has taken a pioneering step in the fixed income space by adopting the UK’s Sustainability Disclosure Requirements (SDR) ‘Sustainability Improver’ labels for two of its carbon transition strategies.
The AXA Carbon Transition Global Short Duration and AXA Carbon Transition Sterling Buy and Maintain Credit funds are among the first fixed income products to carry the SDR label, marking a milestone in the integration of sustainability within bond portfolios.
“Bond investors are in a unique position to capitalise on the investment opportunities driven by the transition to a lower carbon economy,” said Jane Wadia, Head of Sustainability, Core Products & Clients at AXA IM. “This has been proven by the success of our fixed income carbon transition strategies, and the demand we are seeing from UK-based clients.”
The SDR-labelled funds form part of AXA IM’s broader ESG offering, which now totals approximately £1.2 billion in assets under management across both fixed income and equities. This figure represents nearly 15% of its UK domiciled fund range.
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The current SDR-labelled lineup includes:
Four Sustainability Improver strategies (two fixed income, two equity), and
One Sustainability Impact strategy (focused on people and planet).
These strategies are designed to help investors align their portfolios with long-term climate and sustainability goals—without compromising on performance.
“Our focus continues to be on empowering clients with a comprehensive suite of products,” Wadia added. “These range from traditional investments that consider ESG factors as part of the investment process, to sustainability-driven strategies, enabling them to align their portfolios with both financial objectives and sustainability priorities.”
Notably, the carbon transition framework used for these SDR-labelled funds is also applied to AXA IM’s broader segregated fixed income portfolios, serving a wide base of UK institutional investors.
By integrating SDR guidance and ESG rigor into fixed income products, AXA IM is reinforcing its position as a leader in sustainable bond investing.
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