Positive momentum was reasserted in August, and the Fund recorded a 1.07% gain (C Accumulation GBP). A significant majority of underlying holdings contributed positively to performance with UK listed renewable energy generators continuing to drive upside while being offset to an extent by weakness across some core North American exposures.

The Renewables Infrastructure Group (+3.6% total return in August), Greencoat Renewables (+4.2% GBP-adj.), Gresham House Energy Storage (+7.0%), Foresight Environmental Infrastructure (+3.8%) and NextEnergy Solar (+4.9%) were all strong contributors during the period. Except for Gresham House Energy Storage, these companies all went ex-dividend during August with income forming a major component of the return profile. An anomaly among US and Canadian exposures, HA Sustainable Infrastructure Capital (+3.8 % GBP adj.) also performed well after reporting strong results for H1 2026 and upgraded full year earnings guidance.

Other US and Canadian exposures lost value owing largely to an upwards shift in yields and expectations for higher interest rates in the region – a dynamic that has continued into September. Against this backdrop, Northland Power (-4.1% GBP-adj.), Brookfie ld Renewables Corp. (-3.0% GBP-adj.) and Clearway Energy Inc. (-0.6%, GBP adj.) were among the main detractors to performance. Meridian Energy (-2.9% GBP-adj.), a hydroelectric operator and electricity retailer in New Zealand, also lost value. 

Heading into the winter months, natural gas inventories are at historically low levels across Europe while sustained disruption in the Middle East continues to constrain supply. These dynamics are likely to keep gas prices – and by extension electricity prices – firm in the region, while a concerted effort to replenish inventories could lead to a surge in winter power prices. This is borne out, for example, in the price of UK electricity futures over the winter 2026/27 season and could prove a strong tailwind for generators held within the portfolio.

Holdings in Foresight Environmental Infrastructure, Greencoat UK Wind, HA Sustainable Infrastructure Capital, and The Renewables Infrastructure Group were reduced at the margins. Conversely, capital was deployed into Clearway Energy Inc. on share price weakness and on a cum-dividend basis. During the period, cash was bolstered through the receipt of proceeds from the completion of Drax’s acquisition of Bluefield Solar Income and Brookfield’s acquisition of Boralex.