The fund is registered in more than 10 countries.

AXA Investment Managers has launched the AXA World Funds Framlington Digital Economy fund. Jeremy Gleeson will be the lead manager of this new Luxembourg-domiciled SICAV, with assistance from the AXA IM Framlington Equities’ thematic team.

The fund will invest in companies operating in the digital economy sector and will be managed by Framlington Equities, AXA IM said in a statement.

The investment team will focus on identifying companies that facilitate different parts of the online consumer journey, including companies that enable digital transformation. The companies in the investment universe will cover:

1. Discovery of the product – e.g. online marketing and advertising such as search engine and social media;
2. Decision making – e.g. e-commerce, web portals and mobile app companies;
3. Delivery of the product(s) – e.g. companies that help facilitate payments (fintech) and logistics;
4. Digital data and enablers – e.g. specialist companies who assist businesses with their digital migration.

The team will aim to invest in globally listed stocks in both developing and emerging markets and across the market cap spectrum. The portfolio will typically have approximately 40-60 holdings.

The AXA WF Digital Economy Fund is registered in UK, Austria, Belgium (retail only), Germany, Denmark, Spain (retail only), Portugal (retail only), Finland, France, Italy, Netherlands, Norway and Sweden.

“The digital era is still in its infancy when you consider that only 9 per cent of global retail sales are transacted online, and internet retailing is expected to grow at an average rate of 14 per cent over each of the next 5 years,” said Gleeson. “The constant advances in technology continue to have an impact on our everyday lives. We are only at the beginning of this digital journey and we believe this represents a huge opportunity for investors.”

Gleeson added: “There are two significant drivers in play here, the more obvious one being the ability to access products and services via connected devices. The smartphone that many of us carry around with us all the time is providing a gateway to how we as consumers get information, and make purchase decisions. The other driver is more subtle – demographics. Millennials, defined as those under the age of 35, have grown up with the internet always being there and with the option to shop online. They are also just entering their peak spending years. Businesses need to prepare themselves to cater for this digitally savvy segment of the population.”