Standard Life has adopted the ‘Sustainability Improvers’ label under the Financial Conduct Authority (FCA’s) Sustainability Disclosure Requirements (SDR) regime for customers invested in its Future Advantage fund range.
It means it has, altogether, invested close to £30bn via sustainability focused investment funds.
In December 2024, Standard Life announced it received the regulatory green light to be the first mainstream provider to adopt the ‘Sustainability Improvers’ label.
Standard Life is also investing in these labels across its pension defaults offered to workplace, and retirement income customers using investment pathways.
Its research has shown that 79% of intermediaries’ advised clients expect their pension provider to be investing responsibly on their behalf.
Standard Life head of retail intermediary and private client distribution Warren Bright said: “We have worked hard to be one of the first in the off-platform market to embrace the FCA’s new Sustainability Improvers label across a majority of assets in our core multi asset fund range for advisers.
“With our Future Advantage solution targeting a sustainability objective, our approach is intended to improve investment outcomes while providing high levels of transparency through enhanced disclosures.
“It’s an iterative process where we expect future developments to be part and parcel of our focus.
“In line with the Sustainability Improvers label, our underlying funds are being invested mainly in transitioning companies.
“We’re optimising outcomes: enhancing how we manage climate-related risks and opportunities, while establishing a more explicit alignment towards net zero by 2050.
“The changes we are making are explicitly designed to deliver good investment outcomes and allow advisers to access responsible investment options on behalf of their clients.
“These evolved component funds are designed to give broad market returns.”
Standard Life said by embedding the new labelling regime, its investment team has focused on ensuring that its core solutions continue to deliver good customer outcomes while complying with an evolving regulatory landscape.
Standard Life is aiming to reduce its carbon footprint of equity and corporate bond investments by 7% a year, and by 50% by 2030, reaching net zero by 2050.
