Erste Asset Management Investment Blog

Responsible Investment Universe

Responsible Investment Universe
Responsible Investment Universe
iStock
Erstellt von | Veröffentlicht am | Themen: Sustainability
Schlagwörter:
Beitrag teilen:

The definition of the investment universe is the most important step in the construction of a fund.

Admitted June – August 2018

Unilever N.V. (sector: Personal Products), EAM ESG rating 08/2018 of C+, is a British-Dutch group and one of the biggest producers of consumer goods with 400 brands across 14 categories. The product portfolio includes globally known brands such as Axe, Dove, Knorr, Lipton, and Omo.

  • 😊 Strategy to ensure sustainable water consumption in agricultural production along the value chain
  • 😊 The majority of the bigger locations with significant environmental footprint have a certified environmental management system in place
  • 😊 Good structures for the implementation of the right of freedom of association and collective bargaining
  • 😢 Significant share of products that are associated with health issues such as obesity, diabetes, etc. Slow expansion of the range of organic and/or healthier products

Basque Government (Sustainability Bond) (Municipal/county bond), EAM ESG rating 08/2018 of B-. Issue by the Basque Autonomous Community to promote the sustainable and efficient financing of ecological, economic, and social challenges in the region according to Agenda 2030, the Sustainable Development Goals (SDGs) of UNO.

  • 😊 Validated framework that is based on the guidelines of the Principles of Green Bonds, Social bond, and Sustainability Bond of 2017
  • 😊 Issue proceeds exclusively earmarked for projects in the areas of affordable living, access to education and healthcare, job creation, renewable energy, public transportation, energy efficiency, measures for the adjustment to climate change etc.
  • 😊 Annual reporting on the use of funds via the website of the Autonomous Government planned

Excluded

BRF S.A. (sector: Packaged Foods & Meats), EAM ESG rating 08/2018 of C-, a group in the food industry that resulted from the merger of the foodstuff producers Perdigão and Sadia, headquartered in Brazil. The company is one of the world’s biggest producers of poultry and poultry products. In addition, the range of products also includes margarine, sweets, sandwiches, mayonnaise, and pet food.

  • 😢 Exclusion due to fall in the ESG rating below the required threshold
  • 😢 Insufficient efforts to ensure sustainable water consumption in the company and the sustainability of agricultural production along the value chain
  • 😢 Lacklustre efforts to guarantee ethical animal housing in the company and at suppliers
  • 😢 No indicators of measures aimed at the promotion of sustainable agriculture in the company and throughout the supply chain
  • 😊 Slow adjustment to healthcare and nutritional aspects in production (less trans fats, sugar, natrium etc.)

 

Sources:

Unilever N.V.
Website AT, ISS-oekom, MSCI ESG

Basque country
Agenda 2030 Baskenland (page 138 in English), Sustainalytics Second-Party Opinion Basque Government Sustainability Bond

BRF S.A
Website, FORM 20-F (Annual Report), Website AT, ISS-oekom, MSCI ESG

 

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

DOSSIER

RESPOND TO THE ARTICLE

Senior Research Analyst, Erste Asset Management

WICHTIGE RECHTLICHE HINWEISE

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.

We are not permitted to directly or indirectly offer, sell, transfer, or deliver this financial product to natural or legal persons whose place of residence or domicile is located in a country where this is legally prohibited. In this case, we may not provide any product information, either.

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.

Erste Asset Management GmbH is affiliated with the referring Sparkassen banks and Erste Bank.

Please also read the “Information about us and our securities services” published by your bank.

Subject to misprints and errors.

MEHR ZUM THEMA