Emerging alternatives Managers have difficulty locating ESG solutions and services

Funds Europe's "Emerging Manager Survey" identifies the shortage of relevant ESG expertise as a hurdle for new managers in the context of a growing need for sustainable solutions.

The Fundamental Equity (FE) division of BlackRock, led by expert financial technology portfolio manager Vasco Moreno, will be responsible for managing the actively managed ETF.

By investing in businesses that are developing cutting-edge technologies that are upending the financial services sector, the fund aims to maximize total return.

The product launched on August 16 with a 0.70% expense ratio.

The fund is the most recent in a line of thematic ETFs offered by BlackRock. Future U.S. Themes ETF, BlackRock Future Climate and Sustainable Economy ETF, and BlackRock Future Tech ETF were all introduced by BlackRock in 2021. BlackRock introduced the Future Innovators ETF and BlackRock Future Health ETF a year earlier. Six ETFs altogether are now part of the thematic platform.

However, the absence of standardisation and capabilities frequently results in a dearth of solutions, especially considering the unique character of alternative investments.

The head of funds at Jersey Finance, Elliot Refson, stated: "Deutsche Bank anticipates that ESG assets will top $100 trillion by 2028, while Bloomberg and PWC have made similar projections.

“These forecasts imply ESG will permeate all areas of alternatives and will become a key aspect of mainstream investments,” he said.

By fLEXI tEAM