What is thematic investing?

Thematic investing refers to investment strategies that look to capitalise on long-term macro trends and structural changes, rather than short-term fluctuations. These trends can be technological, geopolitical, environmental, macroeconomic or social in nature.

That’s the rough definition, but what makes LGIM’s approach to thematic investment unique? At LGIM, thematic investing means looking beyond traditional sector approaches to discover the companies driving or benefitting from the economies of tomorrow.

Examples of thematic investing

Thematic investing is about identifying those opportunities that are created by structural and foundational changes in our lives, our work and our society. Examples of such opportunities that feature in the fund include:

  • Investing in water technology
  • Investing in sustainable energy
  • Investing in AI technology
  • Investing in healthcare technology
  • Investing in the battery value chain

Our approach to thematic investing

It is little wonder that thematic investment strategies have risen in popularity in recent years, thanks to their ability to capitalise on structural and foundational changes in the way we live and work.

As the number of thematic investment strategies has proliferated, we wanted to make it easier than ever to access these long-term growth opportunities by creating a single point of entry to a diversified, risk-balanced index of companies involved in multiple long-term themes.

How does this shape our approach to thematic investing? We combine the investment universes of our existing individual thematic strategies with a quantitative model that balances exposure to different themes, and the ability to add or remove themes over time. Because of this, the Legal & General Global Thematic Fund can help investors looking to get a return from long-term drivers of change without having to pick and choose between themes.

Matthew Griffin

Matthew Griffin, described as “The Adviser behind the Advisers” and a “Young Kurzweil,” is a world-class futurist and strategic adviser helping to build Centennial companies. He is the founder of the 311 Institute, a global Futures and Deep Futures consultancy working across the next 50 years, and the World Futures Forum and XPotential University, two philanthropic organisations whose mission is to reduce global inequality and ensure the benefits of the future are accessible to everyone, irrespective of their abilities or background. He is also the author of the Codex of the Future series.

matt griffin

Exposure to long-term growth themes

The world is forever changing, and it takes knowledge and expertise to know how to invest in green energy, healthcare and other long-term drivers of change. Here are just some of the structural trends that we monitor so that we can inform you of the best potential investment opportunities.

Meet our Global Thematic team

Howie Li

Howie Li

Head of ETFs
Aanand Venkatramanan

Aanand Venkatramanan

Head of ETF Investment Strategies
lgim - shared - image library - people - IMG - SIMPLE - david barron

Dave Barron

Head of Index Equity & Smart Beta

We scour the globe for the specialist experts on individual themes – from investing in sustainable energy to knowing how to invest in water. This helps us understand the investment implications and opportunities as themes evolve over time.

We collaborate with industry-leading partners such as ROBO Global and Global Water Intelligence to deliver unique investment strategies to our clients, ensuring that they capture the best-in-class opportunities from companies either driving, or benefitting from, these thematic changes.

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Get in touch

If you are a financial adviser and would like to contact our sales support team please call 03450708684 or email on the link below

Key risk

The value of any investment and any income taken from it is not guaranteed and can go down as well as up, and investors may get back less than the amount originally invested.

The risks associated with each fund or investment strategy should be read and understood before making any investment decisions. Further information on the risks of investing in this fund is available in the prospectus at https://fundcentres.lgim.com/uk/ad/fund-centre/