JP Morgan Asset Management has launched a new fund with stocks that are acting on climate change.
In Brief:
This is the asset manager’s first themed offering in the UK.
Natural language processing (NLP) will be used to screen 13,000 companies for their climate impact.
Around 50-100 holdings will end up in the fund.
What does this mean?
JP Morgan is using an AI tool names ThemeBot to screen the funds, analysing data including news articles and regulatory filings. This will be backed by a research team of 90 people, and the method could then be used to create other thematic funds.
