risks.

The following risks may be materially relevant but may not always be adequately captured by the summary risk indicator and may cause additional loss: Concentration risk, Emerging market risk and Active management risk.

Planetary transition

the defining mega trend of the 21st century 


The global economy is transitioning to a model that leverages the vast value-creation potential of sustainability. This shift to what we believe will be a ‘CLIC®’ economy that is Circular, Lean, Inclusive and Clean will change industries, disrupt profit pools and impact all investors.

Please note before 1 May 2023, the fund was previously named LO Funds – Climate Transition.

Source: LOIM Research projections.

Introducing LO Funds – Planetary Transition

the market opportunity.

It’s being driven by the transformation of three major systems and the pricing of externalities, offering opportunities to capture green alpha.Within these system changes, will see major disruptions across industries in the years to come. We believe businesses that are responding to existential challenges across energy, land and oceans, materials and carbon could thrive.

Source: LOIM Research, June 2023

1 We refer to “Green Alpha” where companies are likely to perform better financially in an environmentally-aligned scenario, compared to consensus. To assess green alpha, we assess market tipping points linked to emerging regulation, cost-down curves, and the pricing in of environmental externalities. Based on this analysis, we aim to describe, quantitatively or qualitatively, total addressable market (TAM) potential. Where companies are exposed to TAMs that are likely materially in excess of market consensus, we consider such companies to be exposed to green alpha. Although we believe there are investable opportunities related to these transitions, there can therefore be no guarantee of excess performance.

our strategy.

With the economy being rewired, Planetary Transition is our multi-themed sustainable global equity strategy. We invest in companies that are accelerating transitions across our Planetary Boundaries. This is a high conviction portfolio of companies that, in our view, will benefit from new growth avenues and enhanced profitability.

With a broad-based exposure driven by bottom-up stock selection, LOIM Planetary Transition showcases our best sustainability stock ideas from a carefully researched universe.

Our investment philosophy is focussed – we deploy our investment roadmaps leading us to sustainable stock ideas, as we seek to pinpoint those companies with the potential to offer investors excess economic returns.

 

case studies.

why us?

investment process.

investment team.

LOcom_AuthorsAM-Rabattu.png
Didier Rabattu
Co-Lead PM,
Equity CIO

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Alina Donets
Lead PM Circular Economy,
Lead PM Biodiversity

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Pascal Menges
Head of Macro & Investment
Process

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Paul UDALL
Co-Lead PM,
Planetary Transition

LOcom-AuthorsAM-Walsh.png LOcom-AuthorsAM-Burke-Smith.png LOcom_AuthorsAM-Nguyen.png
Conor Walsh
Co-PM Circular Economy,
Lead PM New Food Systems
Peter Burke-Smith
Co-PM
Planetary transition
Thuy-Mai Nguyen
Macro & Investment Process

 

portfolio characteristics.

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insights.

Clear all
What if the Inflation Reduction Act were repealed?
investment viewpoints Planetary Transition
investment viewpoints Planetary Transition Sustainable Equities

What if the Inflation Reduction Act were repealed?

USD 670 billion or USD 130 bn? We assess the potential impacts of the US Presidential election on federal energy-transition funding. 

Sustainability watch: loss and damage fund, offshore wind, and cleantech
investment viewpoints Institutional
investment viewpoints Institutional Sustainability Wholesale Planetary Transition

Sustainability watch: loss and damage fund, offshore wind, and cleantech

A selection of stories from December that reflect the fast-moving pace of the sustainability transition.

COP28: delivering on food, nature and energy
investment viewpoints Institutional
investment viewpoints Institutional Planetary Transition Sustainable Circular Economy Future Electrification New Food Systems TNZ equities

COP28: delivering on food, nature and energy

Our key takeaways from COP28 include significant agreements on nature, food and energy systems, plus insights from Lombard Odier’s re-NATURE hub.

Sustainability shortfall: cyclical or structural?
investment viewpoints Institutional
investment viewpoints Institutional Planetary Transition

Sustainability shortfall: cyclical or structural?

The performance of sustainability stocks in 2023 does not reflect the market’s judgement on the transition, in our view. On the contrary, we believe it is largely linked to cyclical factors.

Debunking 10 myths about electric vehicles
investment viewpoints Institutional
investment viewpoints Institutional Wholesale Future Electrification Planetary Transition Transition materials

Debunking 10 myths about electric vehicles

Misconceptions persist about electric vehicles. We debunk 10 of the most common myths using analysis based on science, engineering, and market research.

Nuclear energy: still dividing opinions
investment viewpoints Institutional
investment viewpoints Institutional Wholesale Equities Planetary Transition

Nuclear energy: still dividing opinions

There are good reasons to be cautious about nuclear energy. However, it offers clear benefits if handled the right way. We do not believe that eliminating the technology is the only answer. 

Do biofuels have a role in a sustainable world?
investment viewpoints Institutional
investment viewpoints Institutional Wholesale Investment strategies Planetary Transition

Do biofuels have a role in a sustainable world?

What place do biofuels have in the energy transition, given their complex sustainability record? We explain how they can play a transitional role in hard-to-abate sectors like aviation. 

Transition investing for today’s economic revolution
investment viewpoints Asset Management
investment viewpoints Asset Management Investment strategies DC DB Banks Wholesale Official institutions Third party asset managers Geronne Independants Institutional Consultants Insurance Fund of funds Endowments Equities Circular Economy Future Electrification Planetary Transition New Food Systems

Transition investing for today’s economic revolution

Energy, land and oceans, and materials systems are being revolutionised, bringing sustainable solutions to mass markets. Forward-thinking investors should assess the potential opportunities.

important information.

Lombard Odier Funds (hereinafter the “Fund”) is a Luxembourg investment company with variable capital (SICAV). The Fund is authorised and regulated by the Luxembourg Supervisory Authority of the Financial Sector (CSSF) as an Undertaking for Collective Investments in Transferable Securities UCITS under Part I of the Luxembourg law of the 17 December 2010 implementing the European directive 2009/65/EC, as amended (“UCITS Directive”). This marketing document particularly relates to Climate Transition, a Sub-Fund of LO-Funds (hereinafter the “Sub-Fund”). The Management Company of the Fund is Lombard Odier Funds (Europe) S.A. (hereinafter the “Management Company”), a Luxembourg based public limited company (SA), having its registered office at 291, route d’Arlon, 1150 Luxembourg, authorised and regulated by the CSSF as a Management Company within the meaning of EU Directive 2009/65/EC, as amended; and within the meaning of the EU Directive 2011/61/EU on Alternative Investment Fund Managers (AIFMD). The purpose of the Management Company is the creation, promotion, administration, management and the marketing of Luxembourg and foreign UCITS, alternative investment funds (“AIFs”) and other regulated funds, collective investment vehicles or other investment vehicles, as well as the offering of portfolio management and investment advisory services. Lombard Odier Investment Managers (“LOIM”) is a trade name. 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Before making an investment in the Sub-Fund, an investor should read the entire Offering Documents, and in particular the risk factors pertaining to an investment in the Sub- Fund. We would like to draw the investor’s attention toward the long-term nature of delivering returns across the economic cycle and the use of financial derivative instruments as part of the investment strategy may result in a higher level of leverage and increase the overall risk exposure of the Sub-Fund and the volatility of its Net Asset Value. Investors should take care to assess the suitability of such investment to his/her particular risk profile and circumstances and, where necessary, obtain independent professional advice in respect of risks, as well as any legal, regulatory, credit, tax, and accounting consequences. There can be no assurance that the Sub-Fund’s investment objective will be achieved or that there will be a return on capital. Past performance is not a reliable indicator of future results. 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It should not be assumed that the relevant Sub-Fund will invest in any specific securities that comprise any index, nor should it be understood to mean that there is a correlation between such Sub-Fund’s returns and any index returns. Target performance/risk represents a portfolio construction goal. It does not represent past performance/risk and may not be representative of actual future performance/risk. The information and analysis contained herein are based on sources considered to be reliable. Lombard Odier makes its best efforts to ensure the timeliness, accuracy, and completeness of the information contained in this marketing communication. Nevertheless, all information and opinions as well as the prices, market valuations and calculations indicated herein may change without notice. Source of the figures: Unless otherwise stated, figures are prepared by Lombard Odier Asset Management (Europe) Limited. The tax treatment depends on the individual circumstances of each client and may be subject to change in the future. Lombard Odier does not provide tax advice and it is up to each investor to consult with its own tax advisors. Austria: Paying agent: Erste Bank der österreichischen Sparkassen AG Belgium: Financial Services Provider: CACEIS Belgium S.A. The Sub-Fund is not appropriate for Belgian retail investors unless the investment subscription is more than EUR 250,000. Please contact your financial advisor to identify the impacts of the Belgian tax “TOB” (“Taxe sur les Operations Boursières”) on your transactions as well as the impacts of the withholding tax (“Précomptes mobiliers”). Lombard has an internal Complaints Management Service. You can lodge a claim via your Relationship Manager or directly to Lombard Odier (Europe) S.A. Luxembourg, Belgium Branch, Claim Management Service, Avenue Louise 81, Box 12, 1050 Brussels, Fax; (+32) 254308. Alternatively, you can address your complaint free of charge to the national complaint service in Belgium, OMBUDSMAN: Noth Gate II, Boulevard du Roi Albert II, no 8, Boite 2 2, 1000 Brussels, Tel: (+32) 2 545 77 70, Fax: (+32) 2 545 77 79, Email: Ombudsman@ Ombudsfin.be. Germany: German Information and Paying agent: DekaBank Deutsche Girozentrale Italy: Paying agents: Société Générale Securities Services S.p.A., State Street Bank International GmbH - Succursale Italia, Banca Sella Holding S.p.A., Allfunds Bank S.A., Italian Branch, BNP Paribas Securities Services, CACEIS Bank Italy Branch Liechtenstein: Paying agent – LGT Bank AG. Luxembourg: Custodian, central administration agent, registrar, transfer Agent, paying agent and listing agent: CACEIS Bank, Luxembourg Branch Netherlands: Paying agent: Lombard Odier Funds (Europe) S.A. 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