According to Emmanuel Hauptmann, who will manage the strategy, the aim of the fund is to combine attractive fundamentals and compliance with ESG criteria to generate alpha.

The portfolio will hold around 100 companies to reduce stock-specific risk.

Hauptmann said: ‘We want to leverage AI to create an in-house infrastructure that measures the level of sustainability of the firms by analysing news.’

The manager said they will apply the same quantitative process they use in their other strategies, but will use it for ESG data.

He said: ‘We will also short-sell stocks that we believe are not doing enough from the point of view of sustainability, to encourage them to change.’

The fund will invest globally and is expected to be launched in the first half of 2020.

Hauptmann said: ‘We are aware that the ESG standards vary greatly from country to country. When it comes to sustainability, Europe is ahead of all the other geographical regions.’