Sustainable, Responsible &/or ESG Policy:

Investment objective and style

The fund aims to achieve capital growth over the long term by investing in sustainable investments. It will invest at least 70% of its assets, in equities of companies that are headquartered, listed or do most of their business in the United States. 

The fund aims make sustainable investments in companies that contribute to environmental or social objectives which are aligned with one or more United Nations Sustainable Development Goals. 

The fund offers exposure to US companies contributing to sustainability through their activities and offering attractive potential for long-term capital growth. The fund will be diversified in terms of sectors and market capitalisation, and will typically exhibit a growth bias. Stock selection and the focus on sustainable investments are expected to be the principal drivers of long-term performance. 

The fund is actively managed. Alex and Matt will, when selecting investments for the fund and for the purposes of monitoring risk, reference the S&P 500 Index as its constituents best represent the characteristics the fund is seeking to gain exposure to.Fund performance can be assessed against the S&P 500 index over the long term. The reference index is not used for stock selection or portfolio construction purposes. 

They have a wide range of discretion relative to the index. While the fund will hold assets that are components of the index, it may also invest in issuers, sectors, countries and security types that are not included in, and that have different weightings from, the index in order to take advantage of investment opportunities. It is expected that over long time periods, the fund’s performance will differ from the Index. However, over short time periods, the fund’s performance may be close to the index, depending on market conditions.

Shareholders’ attention is drawn to the fact that the index does not integrate environmental and social considerations. Instead, the fund promotes environmental and social characteristics by adhering to the Fidelity Sustainable Family Framework, as described in the prospectus.

Alex and Matt have an investment philosophy based on identifying the most important social and environmental issues and deploying capital towards companies driving positive societal and environmental change, which can deliver strong returns over time and enable positive, sustainable outcomes through the development and sales of their products or services. Taking an active investing approach gives them the ability to engage and influence the companies they invest in, and to act like owners.

Sustainability characteristics

Alex and Matt aim to invest in companies that can contribute to positive sustainability changes, while also delivering attractive long-term returns. A holistic analysis of both financial and sustainability metrics can add value to security selection over time. 

• The fund is classified as Article 9 under Sustainable Finance Disclosure Regulation (SFDR).
• The fund integrates sustainability analysis into its investment process and has a sustainable investment objective. 
• The fund aims to achieve capital growth over the long term by investing in Sustainable Investments.
• The fund aims to invest in sustainable investments that contribute to environmental or social objectives which are aligned with one or more United Nations Sustainable Development Goals.
• The fund excludes companies involved in the production and/or distribution of controversial weapons, the use of which is prohibited by international treaties or conventions (including cluster munitions, landmines, biological weapons, chemical weapons, blinding laser weapons, incendiary weapons, non-detectable fragments) and nuclear weapons for non-signatories of the Treaty on the Non-Proliferation of Nuclear Weapons.
• The fund also excludes issuers which Alex and Matt consider having failed to conduct their business in accordance with accepted international norms, including as set out in the United Nations Global Compact.
• The fund employs further exclusions for production and/or distribution of tobacco, weapons and thermal coal, Arctic Oil and Gas and Oil Sands, and may employ further exclusions at the discretion of the investment manager
• The fund is required to exclude companies involved in the following activities subject to revenue thresholds and transitional criteria: weapons, coal, unconventional oil and gas, conventional oil and gas, power generation, and may employ further exclusions at the discretion of Alex and Matt.
• The fund employs further exclusions for production and/or distribution of tobacco, weapons and thermal coal, and may employ further exclusions at Alex and Matt's discretion.

Alex and Matt have a wide range of discretion over the composition of the fund’s portfolio. It may take exposures that are not included in, and that have different weightings from, the benchmark. Therefore, there are no restrictions on the extent to which the fund’s performance may deviate from that of the benchmark. They may set internal guidelines which, in turn, may reference deviations from the benchmark. Lastly, portfolio construction which meaningfully incorporates risk management should lead to more consistent and predicable outcomes for clients.

Process:

Investment approach — owning ESG enablers 

In actively managing the fund, the Alex and Matt identify investment ideas, relying on a combination of Fidelity’s research, third-party research, inputs from quantitative screens and company meetings to help narrow the investment universe. Stock research and selection focuses on assessing ESG profile and SDG alignment fundamentals through rigorous bottom-up financial analysis and valuation to select stocks with strong investment return potential.

Every investment aims to address one or more sustainability issues and are closely aligned to the 17 United Nations (UN) Sustainable Development Goals (SDGs). ​Alex and Matt map each of the SDGs to three investible buckets, with stocks in the portfolio also categorised under these three themes:

• Sustainable lives.
• Sustainable communities.
• Sustainable ecosystems.

The investment process of the fund can be broken down into following six different stages:

• Exclusions and screens
• Sustainable Investment (SI) Assessment
• Idea generation
• Research and selection
• Portfolio construction and risk management
• Active ownership

Exclusions and screens

The starting investable universe of the fund consists of approximately 500 US companies in the fund’s index. For FF Sustainable US Equity Fund, Alex and Matt aim to exclude companies whose activities or failures cause environmental or social harm. 

The exclusions which are applied to the strategy include:

Firm wide exclusions: The firm wide exclusion framework screens for issuers with involvement in the various categories of controversial weapons, the use of which is prohibited by international treaties or conventions. These include cluster munitions, landmines, biological weapons, chemical weapons, blinding laser weapons, incendiary weapons, non-detectable fragments. We also screen for nuclear weapons for non-signatories of the Treaty on the Non-Proliferation of Nuclear-Weapons, specifically manufacturers of nuclear weapons, warheads, whole nuclear missiles, and /or nuclear fissile materials; manufacturers of components and delivery platforms developed and/or significantly modified for exclusive use in nuclear weapons; and issuers that provide support services related to nuclear weapons.

Fund exclusions: These apply to issuers who fail the Ten Principles of the United Nations Global Compact (UNGC), the OECD Guidelines for Multinational Enterprises, the UN Guiding Principles for Business and Human Rights, Responsible Business Conduct and the International Labour Organization (ILO) Conventions as identified by ISS-Ethix and MSCI and reviewed by Fidelity. This research is complemented by Fidelity’s forward-looking assessment of a company and any changes to its practices.

The above DNSH activities are excluded in the Sustainable Global Equity Fund at the indicated revenue threshold, along with the controversies and principal adverse impacts: For more details on Fidelity’s Sustainable Investing Framework please see: https://fidelityinternational.com/sustainable-investing-framework/ . *Qualifying criteria apply.

Companies that meet these criteria are then eligible for further consideration and sustainable investment assessment. 

Sustainable Investment Assessment

The investible universe is defined using our Sustainable Investment (SI) assessment based on below criteria:

• Enabling environmental or social objectives. There are 3 possible routes to achieve this. The first is to have >50% of revenues aligned to the EU Taxonomy. The second is to have >50% of revenues aligned to UN Sustainable Development goal, as determined by Fidelity’s SDG tool. The third is to have a validated Science Based Target Initiative (SBTi) target consistent with a 1.5 degree or lower scenario.
• Do Not Significant Harm. We have a set of screens that identify issuers assessed to be causing harm. These are based on revenues from certain activities, controversies, and the worst performers on sustainability screens. (See exclusions section above).
• Minimum safeguards and good governance. This is covered by setting a minimum ESG rating threshold, fundamental analysis as well as the measures above.

Our Sustainability Team has built a proprietary SDG tool that is used to measure a company's SDG alignment. It works by taking FactSet’s RBICS dataset, which breaks down an issuer's revenues across approximately 1800 different categories, and then maps these different revenue streams to SDGs, looking at the underlying targets and indicators to determine whether a specific business activity is making a contribution or not.

Idea generation

Alex and Matt have a pluralistic approach to idea generation, leveraging the breadth and depth of our US Research Team, as well as analysts assigned to companies in other regions as needed. and approximately 38* dedicated ESG specialists). The team also uses the Fidelity proprietary SDG tool (to identify companies making a meaningful impact to UN Sustainable Development Goals), company meetings and conferences and third-party research (sector and thematic research, consultants / industry experts’ meetings), and quantitative screens to help narrow the universe.

*Source: Fidelity International, as at 31 March 2024.

Research and selection 

The research and selection process consists of three stages: (1) Sustainability - finding companies that enable a more sustainable economy, (2) Fundamentals - rigorous bottom-up financial analysis and (3) Valuation - selecting underappreciated stocks with attractive risk-rewards. 

Typically, stock positions will not exceed 5% in absolute terms. Stock selection is the key contributor to tracking error, which is not expected to exceed 10% per stock. Portfolio beta is also monitored to ensure overall fund positioning is aligned with the size of the risk / return opportunities implied by the team’s stock analysis.

Risk management

Alex and Matt monitor risk at stock and portfolio level on a daily basis using various risk tools put at his disposal. They are also subject to independent multi-level institutional checks and balances in place at Fidelity. 

At the stock level, they undertake a thorough analysis of the fundamental and sustainability risks of a company and the investment thesis. They also constantly monitor ongoing developments at company and sector level, a process that includes regular meetings with company management, a process which includes engagement on sustainability issues. 

At the total portfolio level, Alex and Matt assess intra-stock correlations and focuses on calibrating position sizes in order to avoid unintended or concentration risks. They undertake daily monitoring of the risk profile of the fund using our Barra-based model. They use a proprietary stock correlation analysis to optimise the risk profile of the fund. 

Alex and Matt participate in a Quarterly Fund Review (QFR) chaired by the relevant Chief Investment Officer (CIO), which is also attended by a member of the Portfolio Construction and Risk Team. This review covers portfolio construction, liquidity, positions, trading activity, characteristics, style and risk in considerable detail.

Our risk oversight process now includes a Quarterly Sustainability Review (QSR) for sustainable funds. This review is supported an approximately 20-page data pack covering a range of ESG data points, including; rating profiles and disparities (Fidelity and MSCI), engagement, voting, exclusions, carbon and climate data and Principle Adverse Impacts (PAIs). The QSR discussion is currently led by the Sustainability Team, in active dialogue with our portfolio managers, our CIO, the Investment Director, and data analysts. 

The QSR is designed to further strengthen the authentic integration of sustainability throughout our range of strategies, by providing a regular and structured forum for each fund to thoughtfully discuss and debate key sustainability aspects of the portfolio and its holdings, including whether the fund is meeting its sustainability objectives and how the strategy may seek to improve and monitor its outcomes. 

Although not the primary point of compliance or regulatory monitoring, the QSR provides an avenue for additional checks on and discussion of these issues. The QSR works as part of our established QFR process.

The risk management processes described above are further bolstered by independent risk oversight checks and controls. These include daily monitoring of portfolio guidelines and constraints (considering regulatory requirements) by the Compliance function, and monthly Investment Risk Committees' (IRCs) evaluations of portfolio risk exposures and their alignment with expectations.

Active ownership

Alex and Matt aim for sustainability focused meetings with all companies held within the fund at least once annually, in order to deliver improved ‘real world’ sustainability outcomes as well as improved long-term outcomes for shareholders. Alex and Matt along with the analysts and sustainable investing specialists will engage with the companies where needed to monitor and encourage improvement in a company’s ESG performance (including any shortcomings identified during the research process). These interactions also help us to identify best practices that can inform other engagements and our investment process. As part of our active ownership, we communicate our voting practices and discuss areas of divergence with our holding. The failed engagements on material issues will also result in divestment. 

Exclusion framework

Typically, stock positions will not exceed 5% in absolute terms. Stock selection is the key contributor to tracking error, which is not expected to exceed 10% per stock. Portfolio beta is also monitored to ensure overall fund positioning is aligned with the size of the risk / return opportunities implied by the team’s stock analysis.

Resources, Affiliations & Corporate Strategies:

At Fidelity, we are dedicated to achieving the best possible risk-adjusted returns for our investors. We believe that high standards of corporate responsibility generally make good business sense and have the potential to protect and enhance investment returns. Consequently, we integrate ESG issues into our research and investment decision-making process; we believe it has the potential to affect the long-term value of the investment.

Our integrated ESG approach is relevant across all asset classes, sectors and markets in which we invest.

ESG integration is carried out at the fundamental research analyst level within our investment teams, primarily through the implementation of Fidelity's proprietary ESG Rating. This rating leverages our internal research capabilities and our engagement with companies to inform our view on a company’s sustainability credentials. Please refer to our response to question B6 for detailed information on Fidelity’s proprietary ESG Rating and other proprietary tools that support our internal research process.

The cornerstone of our investment approach is bottom-up research. As well as studying financial results, our portfolio managers and analysts are dedicated to carrying out additional qualitative analysis of potential investments. They visit companies in person, examining everything that could have an effect on its business, from the shop floor to the boardroom. Customers and suppliers also come in for scrutiny. In this way we can develop a 360-degree view of every company in which we invest and ESG factors are regularly considered in this research process.

Our approach to integrating ESG aspects into our investment processes is detailed in the following policies, with all documents accessible via the following website: https://professionals.fidelity.co.uk/sustainable-investing/our-policies-and-reports:

Sustainable Investing Principles: The document sets out the guiding principles and minimum requirements for Fidelity’s sustainable investing activities across asset classes and geographies. The Sustainable Investing Principles build on our beliefs to set out our sustainable investing frameworks, our approach to sustainable client solutions, exclusions, investment stewardship and engagement, the integration of ESG risks and opportunities across our investment management process, and an overview of compliance with regional sustainability regulations.

Exclusion Framework: Our Exclusion Policy forms part of our sustainable investment policy and defines the main requirements for an effective exclusion framework applicable throughout the organisation.

Engagement Policy: Our Engagement Policy sets out how Fidelity undertakes stewardship and shareholder engagement across our listed equity and fixed income holdings.

Voting Policy: Our sustainable investing voting principles and guidelines document provides information on how we exercise ownership rights through voting to improve sustainable business behaviour and client returns.

Climate Investing Policy: Our Climate Investing Policy details how we plan to work with stakeholders to reduce climate risk across all investment strategies in a way that aligns with our foundation in active, bottom-up research.

We use a combination of internal and external resources.

Internal

The bulk of the engagement and analysis is carried out by our research analysts who strive to go beyond studying just financial results and look to incorporate ESG and other factors into a measured viewpoint. They are supported by our team of 38* sustainable investing specialists who engage with companies on issues like corporate governance (for example, board structure, executive remuneration), shareholder rights (for example, election of directors, capital amendments), changes to regulation (for example, green house gas emissions restrictions, governance codes), physical threats (for example, extreme weather, climate change, water shortages), and so on. Our sustainable investing specialists engage with senior management of investee companies as well as their Socially Responsible Investment (SRI) / ESG professionals. They access external ESG-themed research as well as the company ratings based on ESG factors that an external vendor produces.

Fidelity has developed a proprietary ESG Rating Framework, leveraging our internal research and interactions with issuers. The rating is designed to generate a forward-looking and holistic assessment of ESG risks and opportunities. Analysts qualify the direction of change of companies’ ESG performance (positive, neutral or negative trajectory). The ESG ratings and full company reports are accessible on our centralised research management system, Fidelity Insight, so that each analyst has a first-hand view of how each company under their coverage is rated according to ESG factors. In addition, ESG ratings are included on our analyst research notes. These notes are published internally on Fidelity Insight and form an important part of our investment decision.

Fidelity has also developed an SDG mapping tool, which provides the percentage of an entity’s or portfolio’s alignment with each SDG, and where relevant the underlying targets and indicators. This provides a quantitative, transparent, and consistent approach to measuring the alignment of portfolios against the underlying targets and indicators behind the SDGs.

Additionally, we have been developing our proprietary Climate Rating which utilises our fundamental research capabilities to identify climate risks, net zero investments and targets for transition engagement within the Fidelity investment universe. It assesses which companies are in the best position to transition to net zero, or have a positive trajectory towards transition.

The Climate Rating is designed to complement our broader ESG Ratings, which already incorporate climate change factors.

Climate Ratings have been assigned to over 2,000 issuers so far, with the objective to further scale up this coverage over time. We will use various approaches, including the Climate Rating, to set individual fund decarbonisation targets appropriate to each fund’s investment strategy and universe. We will gradually increase targets to reach 100% alignment with the Paris Agreement in every fund by 2050.

Carbon emissions data is available via Insight and is accessible to all analysts and portfolio managers. This data includes (but is not limited to) portfolio carbon emissions and intensity, weighted average carbon intensity, top emitting holdings, emissions attribution analysis, scenario analysis, physical risk assessment, fossil fuel reserves and green/brown share of electricity generation (from held utilities).

*Source: Fidelity International, as at 31 March 2024. Excludes China AMC resources.

External

Fidelity is a signatory to many industry initiatives such as the Principles for Responsible Investing (PRI), UK Stewardship Code and the Japanese Stewardship Code. We are also active members of the Asian Corporate Governance Association, Assogestioni, the UK Sustainable Investment and Finance Association, the UK Investor Forum and many other trade and industry bodies around the world.

Fidelity uses a number of external research sources globally that provide ESG-themed reports, research, ratings and data on themes such as corporate involvement in verified or alleged failures to respect international norms, for example the Ten Principles of the United Nations Global Compact (UNGC) as well as on carbon emission, fossil fuel and power generation. The coverage of companies varies by provider and the providers currently cover more than 10,000 companies globally.

We also subscribe to a number of corporate governance and voting advisory services, including products supported by Institutional Shareholder Services (ISS) and Glass Lewis, to MSCI for ESG data and to ISS for carbon footprint metrics.

We constantly explore new data sets and approaches that can provide enhanced insights into companies.

Sustainable Investing Team

Fidelity has a Sustainable Investing Team, which includes sustainability and stewardship professionals covering various subject matter areas and competencies. The Sustainable Investing Team is part of Fidelity’s Investment Team and it supports Fidelity’s investment analysts and portfolio managers to monitor, analyse, and engage with investee companies.

Fidelity’s Sustainable Investing Team has expanded to 38* members (2020: 13 members) to meet the growing demands for sustainable research, thought leadership and support for analysts and portfolio managers. The scope of the team’s work now covers a broad array of activities related to ESG integration, engagement, policy, product development and sales and marketing, as well as proxy voting.

Located in seven locations across Europe and the Asia Pacific region the Sustainable Investing Team covers a broad range of skills, including research, policy, climate science and governance. The team has a broad range of professional experience and diversity of tenure. Some specialists of the team have worked in similar roles throughout their career, while others have transitioned to sustainability over the course of their career development. The team is also diverse in terms of gender and national origin. When adding new members to the team, we have prioritised improving the team’s skillset to support our organisational stewardship objectives, as well as supporting the development of young talent in the firm, through our graduate intake.

The continued build out of our Sustainable Investing Team ensures that we remain able to meet the evolving needs of our clients and other stakeholders. New members have brought skills to complement and add to the existing capabilities of the team, including legal expertise, thematic expertise (for example, climate), client and distribution expertise and additional governance expertise.

The team will continue to evolve based on our sustainable investing strategy and aim to service all areas of the business. For example, we are planning to hire experienced asset class leads, growing the breadth and depth of our sustainable investing process and product offering. Fidelity’s investment analysts are responsible for researching companies under their coverage, leveraging the expertise of the Sustainable Investing Team as appropriate. Under this approach, ESG is fully integrated in the investment process. This collaboration has improved quality and outcomes of engagement across asset classes.

*Source: Fidelity International, as at 31 March 2024. Excludes China AMC resources.

Oversight of ESG at Fidelity

The following individuals and teams are responsible for maintaining and integrating Fidelity’s ESG policies:

• The board members of FIL Limited (the ultimate holding company of the group that trades as Fidelity International) have oversight and accountability for sustainable investing. The Sustainable Investing Team reports to the board on its activities at least once per year. The board approves any changes or amendments to our Sustainable Investing Principles, including our voting guidelines.
• A Sustainable Investing Operating Committee (SIOC) was formed in 2017. The purpose of the group is to ensure a comprehensive oversight of all ESG matters within the company across all jurisdictions and business areas. The group is comprised of members of our senior management team representing all asset classes. The SIOC meets monthly to review any ESG company policy changes, industry developments, client requirements, new product innovations and regulatory updates, and will ensure the alignment of all active ESG initiatives across the company. Ad-hoc meetings may be called to address pressing issues that may arise that need addressing in advance of the next scheduled meeting.
• Andrew McCaffery, our Global Co-Chief Investment Officer Fixed Income, Multi Asset and Private Assets (and a member of our Global Operating Committee (GOC)) also has oversight and accountability for our sustainable investing strategy and activities globally.
• Jenn-Hui Tan, our Chief Sustainability Officer, oversees Fidelity’s strategy and policies on engagement, voting and ESG integration across our active product range. He manages our dedicated Sustainable Investing Team that is comprised of 38* sustainable investing specialists, based in London, Singapore, Hong Kong, Shanghai, Melbourne, Sydney and Tokyo, who work closely with the investment management teams globally across all asset classes. They are responsible for consolidating our approach to ESG integration, engagement and voting.
• Our heads of research are also directly involved in the implementation of sustainable investing principles and procedures in the company. Specifically, our global head of research has final approval on which external ESG research vendors we engage.
• Fidelity’s research analysts have overall responsibility for analysing and rating the ESG performance of the companies and buildings in which we invest. Our portfolio managers are also active in analysing the potential effects of these factors when making investment decisions, ensuring that each stock in the final portfolio adheres to the strategy’s and clients’ ESG requirements.
• The Compliance Monitoring Team monitors the portfolios with screening criteria systematically through hard-coded restrictions in the investment guidelines.

*Source: Fidelity International, as at 31 March 2024. Excludes China AMC resources.

Industry collaboration

Fidelity recognises the importance of networks and information platforms to share tools, pool resources, and make use of investor reporting as a source of learning. Fidelity is a member or signatory to the following:

• #10000 Black Interns
• 30% Club Australia
• 30% Club Hong Kong
• 30% Club Investors Group
• 30% Club Japan
• 40:40 Vision
• Asia Investor Group on Climate Change (AIGCC)
• Asia Securities Industry and Financial Markets Association (ASIFMA)
• Asia Research & Engagement (ARE)
• Asian Corporate Governance Association (ACGA)
• Assogestioni
• BBBA Talent Accelerator
• Black North Initiative
• Black Young Professionals
• Bright Network Women in Leadership
• Catalyst After School Programme (CASP)
• CDP (formerly Carbon Disclosure Project)
• Climate Bonds Initiative (CBI)
• Climate Investment Summit (CIS)
• Coalition for Climate Resilient Investment (CCRI)
• Corporate Governance Forum (CGF)
• Council for Sustainable Business (CSB)
• Disability:IN
• Diversity Project
• Edinburgh Airport Sustainability Pledge
• Environment management system standard ISO 14001
• European Public Real Estate Association (EPRA)
• European Sustainable Investment Forum (EUROSIF)
• Farm Animal Investment Risk and Return (FAIRR)
• Finance for Biodiversity
• Finance for Biodiversity Pledge
• Glasgow Financial Alliance for Net Zero (GFANZ)
• Global Standard on Responsible Corporate Climate Lobbying
• Green Finance Industry Taskforce Singapore
• Green Praxis biodiversity
• Hong Kong Green Finance Association (HKGFA)
• Hong Kong Principles of Responsible Ownership (Stewardship code)
• Inspiring More Sustainability (IMS)
• Institutional Investors Group on Climate Change (IIGCC)
• International Corporate Governance Network (ICGN)
• International Regulatory Strategy Group (IRSG)
• Investment Association (IA)
• Investor Agenda
• Investor Forum (in the UK)
• Investor Group on Climate Change (IGCC)
• Investors Against Slavery and Trafficking Asia-Pacific (IAST Asia Pacific)
• Japanese Stewardship Code
• LGBT Great
• Lord Mayor's Appeal
• Lord Mayor's Appeal - We Can Be (Previously 'She Can Be')
• Maastricht University & (GRESB)
• Mental Health First Aid Training (MHFA)
• MSDUK
• (Minority Supplier Development UK)
• Natural Capital Investment Alliance (NCIA - part of Sustainable Markets Initiative)
• Net Zero Asset Managers Initiative (NZAMI) (led by IIGCC)
• One Planet Asset Manager initiative (OPAM) [One Planet Sovereign Wealth Fund (OPSWF)]
• OutBritain
• Partnership for Carbon Accounting Financials (PCAF)
• Point Zero Carbon Programme
• Powering Past Coal Alliance (PPCA)
• President’s Challenge Enabling Employment Pledge and Enabling Mark
• Principles for Responsible Investing (PRI)
• Purposeful Company
• Race at Work Charter
• Responsible Investment Association Australasia (RIAA)
• Social Enterprise UK (SEUK)
• Social Mobility Foundation (SMF)
• Stonewall
• Sustainable Trading
• Taiwan Stock Exchange’s Stewardship Principles for Institutional Investors
• Taskforce on Nature-related Financial Disclosures (TNFD) Forum
• Trans in the City - Campaign Trans Rights are Human Rights
• Transition Pathway Initiative (TPI)
• World Benchmarking Alliance (WBA)
• UK Stewardship Code
• (Financial Reporting Council (FRC))
• UK Sustainable Investment and Finance Association (UKSIF)
• European Sustainable Investment Forum (EUROSIF)
• UN Climate Change Conference (COP26)
• UNFCCC - Signatory to COP26 Financial Sector Commitment on Eliminating Agricultural Commodity-Driven Deforestation
• (Initiative re-named to Forest Sector Deforestation Action FSDA)
• Valuable 500
• Veteran Owned UK
• WeConnect International (Social Enterprise UK)
• WEF Stakeholder Capitalism Metrics
• Women in Finance Charter
• Women on Boards
• WorkWell Leaders

Dialshifter

Our organisation is helping to support the Paris Climate Agreement and the Race to Net Zero by…

We take a pro-active approach to minimising our own environmental footprint. We are committed to achieving net zero emissions by 2030 for Fidelity International’s operational emissions (including all Scope 1, 2 and 3 emissions we have direct control over). Our focus will be on the reduction of emissions through operational changes and investment in operational efficiencies, on-site renewals and purchasing of renewable energy whilst offsetting those we are unable to eradicate.

The goal at Fidelity is to conduct current and future business operations in a sustainable manner which helps create a better future for the environment. Fidelity ensures Environmental Sustainability is managed as any other critical business activity in an integrated, systematic way. The framework is designed to ensure Pollution Prevention, Carbon Reduction, Waste minimisation, responsible use of resources and compliance with legislation through good practice and continuous improvement.

Fidelity’s Commitment: 

• Manage Environmental Sustainability requirements in a systematic way aligned to the environmental management system standard ISO 14001;
• Develop carbon, Natural Resources and Waste data systems to effectively monitor and analyse performance; 
• Continuous improvement through setting realistic objectives to ensure sustainability management is improved in line with resources;
• Complying with legal and other mandatory requirements in relation to sustainability issues;
• Providing adequate control of environmental risks arising from our work activities and operations, including Pollution Prevention;
• Develop an environmentally sustainable culture where every employee can contribute towards Fidelity International goal to create a better future for the environment;
• Ensure effective communication and consultation on Environmental Sustainability with employees keeping them informed, motivated, and suitably trained;
• Ensure that business strategies, via the Environmental Sustainability Group, integrate Environmental Sustainability requirements;
• Reduce our consumption of resources (energy, water, materials, packaging), where feasible;
• Minimise Waste through a commitment to the Waste hierarchy to reduce, re-use, recover or recycle Waste, where feasible;
• To pursue Energy Efficiency in the design, maintenance, management and operation of our owned/operated buildings;
• Seek to use products that have the least possible environmental impact; and
• Reviewing and revising this policy, as necessary, at regular intervals.

Reports on environmental performance are produced covering a range of areas including energy management, carbon footprint, waste reduction, water usage and recycling. This data is collated on a monthly basis and communicated to Senior Management on a regular basis.

Our environmental management policy is based around our ability to obtain regular, accurate information on our environmental performance, not only in energy use and waste management, but also areas such as monitoring our carbon emissions in (for instance) air travel.

We receive regular reports from our incumbent service providers, and collate these for review. We then hold regular meetings with them to investigate areas for improvement. Where the meetings produce ideas which may help reduce the environmental impact of our operations, they are implemented and monitored. Where successful, they are incorporated into our procedures.

Fidelity’s corporate sustainability team have initiated carbon footprinting for a number of offices in recent years and are consolidating that in 2020 to produce global carbon emissions for Fidelity’s activities.

SDR Labelling:

Not eligible to use label