ESG

In our investment processes, our portfolio managers consider relevant ESG factors in their investment decisions. The ESG analysis enables them to identify opportunities and risk elements among our potential investment targets that may not be understood by all market participants, providing a relative advantage.

We utilize our stewardship responsibility through voting and corporate engagement to encourage companies and decision-makers to enhance their performance in sustainability matters. This assists us in managing risks in the short and long term, enhances our knowledge and understanding as investors, and generates positive externalities – all of which ultimately benefit our clients.

We expect companies to fulfill their fundamental obligations regarding human and labor rights, protect the environment, and ensure anti-corruption measures wherever they operate, in line with the UN Global Compact principles. We collaborate with companies in areas where they fall short and exclude the most egregious lawbreakers. We also have a range of sector policies that define the conditions for investing in specific sectors and guide our screening requirements and engagement efforts.

We believe that a better world is one with an economic model that encompasses a successful energy transition, is more environmentally sustainable, and is fairer and more inclusive – our ‘3Es’, critical prerequisites that are the focus of our sustainability efforts. We also believe that institutional investors – both asset managers and capital owners – have the opportunity and responsibility to take actions to contribute towards achieving the UN Sustainable Development Goals and the Paris Agreement.

Leading by example is crucial in achieving positive outcomes. As a sustainable asset manager, our corporate practices and communication should align with or exceed the standards we expect from the companies we invest in. To achieve this, we have a fourfold approach to integrating sustainability into our operational activities and community endeavors: reducing our operational CO2 emissions and landfill waste, achieving a more gender-balanced workforce, and directing our community initiatives towards youth inclusion.