According to Bloomberg, record flows of capital into sustainability strategies in the retail markets is evidenced by the fact that sustainability funds have weathered the current COVID-19 crisis remarkably well relative to fund performance across the board. This supports our view and is confirmed by the market that ESG funds are holding up well globally.
The ESG team weaves in the philosophical investment beliefs in the investment process in crafting signals which is unique to our business. . A real value add with suitability metrics in the investment of quality companies that are socially, environmentally and governance conscience.
The components that go hand in hand in resulting in a portfolio that encompasses these attributes at any point in time are – good returns on equity, high return on assets, well capitalised and a high free cashflow yields while the team takes measured long positions at a good price.
The launch of this innovative fund hinges on a deep belief in sustainable companies as the only impactful way of gaining a competitive edge over the long term that relates to a good financial performance in a risk cognisant portfolio.