ClearBridge Sustainable Infrastructure Fund (INFR)

Overview

The fund described is focused on investing a majority of its assets, specifically at least 80%, in securities issued by companies involved in the infrastructure sector. These companies are selected based on their engagement in infrastructure business activities that align with the fund's sustainability and financial criteria at the time of investment. The consideration of sustainability suggests a forward-looking approach, targeting companies that not only have robust financials but also demonstrate a commitment to environmental or social responsibilities, or governance practices that are sustainable over the long term. Additionally, the fund may leverage borrowings for investment purposes, indicating a strategy that could enhance returns but also entail higher risks. The emphasis on infrastructure places the fund in a sector known for providing essential services, potentially offering stable returns and resilience against economic fluctuations. However, the specific nature of these investments also means that the fund is subject to the regulatory, technological, and market changes that can impact the infrastructure sector.

Products and Services

• Securities Issued by Infrastructure Companies:

These are the primary investment vehicles for the fund, comprising shares or bonds issued by companies engaged in the development, operation, management, or maintenance of infrastructure. This can include utilities (like water, electricity, and gas), transportation (such as airports, ports, and railways), and telecommunication services, among others. The focus is on entities that fulfill key sustainability and financial criteria, ensuring that investments are not only profitable but also responsible.

• Other Investments with Similar Economic Characteristics:

In addition to directly investing in infrastructure companies, the fund explores other financial instruments and assets that demonstrate similar economic characteristics. This might include derivatives, real estate investment trusts (REITs) associated with infrastructure assets, or debt instruments that are linked to the performance of the infrastructure sector. The inclusion of these instruments enables the fund to diversify its investment portfolio, potentially mitigating risk while still aligning with its core focus on infrastructure.