Erste Asset Management

All that glitters is not gold

All that glitters is not gold
All that glitters is not gold
(c) WWF
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In order to produce gold, bauxite, copper, nickel, tin, tantalum, wolfram, and other metallic commodities, forests are cleared, rivers poisoned, people exploited, and entire ecosystems destroyed. Irresponsible production practices in mining have become one of the most significant threats to the environment of our times.

Why are some commodities referred to as conflict minerals?

Metal commodities have become an integral part of our lives. They are in cars, houses, mobile phones, and are also appreciated as investment. However, the globally growing consumption, driven by the rapid distribution of electronic items, has for years now caused rising demand with a bitter aftertaste: human rights violations, armed conflicts, hazardous working conditions, and environmental destruction are a daily occurrence in the production of these commodities across the entire value chain. That’s why they are called conflict minerals.

Where are these conflicts caused by mining most visible?

When vast stretches of land are transformed – especially when large areas of forest are cleared for surface mining. In Brazil alone, almost 10% of Amazonas rainforest disappeared from 2005 to 2015. At the same time, people are invading areas where nature was previously untouched. Streets, rail tracks, dams, and power lines are built in order to create the infrastructure for the mining operations.

Mining thus destroys a growing area of settlement and agriculture – a development with catastrophic consequences for mankind and nature.

About the author:

Georg Scattolin holds a Master in Zoology and Ecology from Vienna University. Prior to joining the WWF in 2005, he had gained experience in the fields of zoology, ecology, environmental education, and environmental protection through various activities at Vienna University, Natural History Museum Vienna, and the International Commission for the Protection of the Danube.

2005 to date: employed at WWF Austria. 2006: Deputy Head of the Team for Sustainable Consumption at WWF Austria; 2006-2008: Head of WWF Austria Engagement with marine issues and sustainable soy in the international team of WWF Austria; 2008-2011: Head of Sea Programme, stationed for six months at Papua New Guinea 2009/10; 2011-2019: Head of International Programme of WWF Austria; project participation in Latin America, South East Asia, in the South Pacific and in the Mediterranean region. From 2019 onwards: Head of Programme Field Global Solutions (International, Climate & Energy, Diet & Consumption).

 

Legal note:
Prognoses are no reliable indicator for future performance.

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Legal disclaimer

This document is an advertisement. Unless indicated otherwise, source: Erste Asset Management GmbH. The language of communication of the sales offices is German and the languages of communication of the Management Company also include English.

The prospectus for UCITS funds (including any amendments) is prepared and published in accordance with the provisions of the InvFG 2011 as amended. Information for Investors pursuant to § 21 AIFMG is prepared for the alternative investment funds (AIF) administered by Erste Asset Management GmbH pursuant to the provisions of the AIFMG in conjunction with the InvFG 2011.

The currently valid versions of the prospectus, the Information for Investors pursuant to § 21 AIFMG, and the key information document can be found on the website www.erste-am.com under “Mandatory publications” and can be obtained free of charge by interested investors at the offices of the Management Company and at the offices of the depositary bank. The exact date of the most recent publication of the prospectus, the languages in which the key information document is available, and any other locations where the documents can be obtained are indicated on the website www.erste-am.com. A summary of the investor rights is available in German and English on the website www.erste-am.com/investor-rights and can also be obtained from the Management Company.

The Management Company can decide to suspend the provisions it has taken for the sale of unit certificates in other countries in accordance with the regulatory requirements.

Note: You are about to purchase a product that may be difficult to understand. We recommend that you read the indicated fund documents before making an investment decision. In addition to the locations listed above, you can obtain these documents free of charge at the offices of the referring Sparkassen bank and the offices of Erste Bank der oesterreichischen Sparkassen AG. You can also access these documents electronically at www.erste-am.com.

N.B.: The performance scenarios listed in the key information document are based on a calculation method that is specified in an EU regulation. The future market development cannot be accurately predicted. The depicted performance scenarios merely present potential earnings, but are based on the earnings in the recent past. The actual earnings may be lower than indicated. Our analyses and conclusions are general in nature and do not take into account the individual characteristics of our investors in terms of earnings, taxation, experience and knowledge, investment objective, financial position, capacity for loss, and risk tolerance.

Please note: Past performance is not a reliable indicator of the future performance of a fund. Investments in securities entail risks in addition to the opportunities presented here. The value of units and their earnings can rise and fall. Changes in exchange rates can also have a positive or negative effect on the value of an investment. For this reason, you may receive less than your originally invested amount when you redeem your units. Persons who are interested in purchasing units in investment funds are advised to read the current fund prospectus(es) and the Information for Investors pursuant to § 21 AIFMG, especially the risk notices they contain, before making an investment decision. If the fund currency is different than the investor’s home currency, changes in the relevant exchange rate can positively or negatively influence the value of the investment and the amount of the costs associated with the fund in the home currency.

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Please consult the corresponding information in the fund prospectus and the Information for Investors pursuant to § 21 AIFMG for restrictions on the sale of the fund to American or Russian citizens.

It is expressly noted that this communication does not provide any investment recommendations, but only expresses our current market assessment. Thus, this communication is not a substitute for investment advice, does not take into account the legal regulations aimed at promoting the independence of financial analyses, and is not subject to a prohibition on trading following the distribution of financial analyses.

This document does not represent a sales activity of the Management Company and therefore may not be construed as an offer for the purchase or sale of financial or investment instruments.

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