Environmental, Social and Governance (ESG)
Our investment strategy is driven by the belief that long-term sustainable and successful businesses incorporate and manage all relevant factors whether they be economic, financial, operational, environmental, social or governance related. Where material to a particular investment opportunity and consistent with a strategy’s investment goals and objectives, we seek to consider environmental, social and/or governance factors that we believe may influence risks and rewards as an element of our investment research and decision making processes. However, such environmental, social and/or governance factors are not by themselves determinative to an investment decision.
Our investment team uses a proprietary ESG ratings framework to generate ESG scores for businesses in our portfolios as well as portfolio scores. We have identified three to five key ESG issues that we believe are relevant and material for each sector. Examples of issues considered are: