Environment, social and governance (ESG) integration

Responsible investing includes taking environmental, social and governance (ESG) factors into consideration. We believe this will also reduce long-term risks and improve risk-adjusted returns. All our investments are made with full consideration of all factors, including ESG factors.

We will:

• analyse financial information and ESG information
• identify material financial factors and ESG factors
• assess the potential impact of material financial factors and ESG factors on economic, country, sector and company performance
• make investment decisions that include considerations of all material factors, including ESG factors

ESG Factors

Environmental

We consider how a company’s interactions with the physical environment.

These factors include climate change, greenhouse gas emissions, biodiversity loss, deforestation and waste management.

Social

We consider how business practices impact on the rights, well-being and interests of people and communities.

These factors include human rights, labour standards in the supply chain, and workplace health and safety.

Governance

We consider the governance of a company.

These factors include board structure, executive pay, shareholder rights, transparency, business ethics and conflicts of interest.