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Triodos and Cheviot debut on EIA most used asset managers list



At the end of 2012, we surveyed Ethical Investment Association (EIA) members for the third year in a row, and this week have been reporting on the asset managers that they use most often. After covering the top four (EcclesiasticalKamesJupiter, F&C) and fastest risers, we’re now onto the highest new entrants: Triodos and Cheviot.

Founded in 1980, Netherlands-based Triodos Bank is one of the longest established pure play sustainable banks in Europe and featured in last year’s Guide to Sustainable Banking. Triodos finances companies that it thinks add cultural value and benefit both people and the environment. The name, Triodos, or ‘tri hodos’, is translated from Greek as ‘three-way approach’. Triodos is also the only commercial bank in the UK to provide an annual list of all the loans the bank has made. Its UK operation is based in Bristol.

Triodos’ Enterprise Investment Scheme (EIS) Green Fund was launched in 2008 and invests predominantly in the UK in renewable energy, energy efficiency, sustainable living, low-carbon products and waste recycling and reduction. It has raised £3.1m and is specifically targeted at high net-worth individuals. The fund does not provide start-up or seed funding, but targets companies requiring growth capital. The EIS is a highly tax efficient way of investing in fast growth, innovative companies but is only for the most experienced or well-advised investor.

Triodos debuts at 16 in our ranking of most popular asset managers, with 27% of EIA advisers using them. You can also invest directly in Triodos Bank, which enjoyed a record number of new customers in 2012. In November, it was forced to extend an investment share offer it had opened, because of “unprecedented demand” from customers.

Meanwhile, Cheviot is a more conventional asset manager founded in 2006 as a breakaway of investment staff and support staff from UBS. In January this year it agreed to merge with Quilter & Co. to create a discretionary investment firm with £12 billion of assets under management.

The EIRIS-rated Cheviot Climate Asset Fund invests in companies that have found opportunities in the convergence of climate change, resource scarcity and population shifts (including energy, food, health and water). The fund was launched in 2010 and currently manages £20m. Over one year, the fund has delivered 14.09% against the sector of 9.03%.

Cheviot debuts at 17 with 23% of EIA advisers using it.

Both are members of UK Sustainable Investment and Finance Association (UKSIF) and Triodos is a signatory of UN-backed Principles for Responsible Investment.

Blue & Green Tomorrow has interviewed a number of specialist ethical financial advisers in the past, and they’re located all across the country. Have a look here to find the one nearest to you.

Further reading:

Ecclesiastical most popular fund provider among EIA members

Kames ranks highly for ethical financial adviser recommendations

Jupiter and F&C poll in top four amongst EIA members

Rapid rise in financial adviser usage of Royal London and WHEB

Responsible investment bodies: what is the EIA?

The Guide to Sustainable Investment 2012 (NEIW edition)

Simon Leadbetter is the founder and publisher of Blue & Green Tomorrow. He has held senior roles at Northcliffe, The Daily Telegraph, Santander, Barclaycard, AXA, Prudential and Fidelity. In 2004, he founded a marketing agency that worked amongst others with The Guardian, Vodafone, E.On and Liverpool Victoria. He sold this agency in 2006 and as Chief Marketing Officer for two VC-backed start-ups launched the online platform Cleantech Intelligence (which underpinned the The Guardian’s Cleantech 100) and StrategyEye Cleantech. Most recently, he was Marketing Director of Emap, the UK’s largest B2B publisher, and the founder of Blue & Green Communications Limited.