LV=M&G Sustainable Multi-Asset Pn
SRI Style:
Sustainable Style
SDR Labelling:
-
Product:
Pension
Fund Region:
Global
Fund Asset Type:
Multi Asset
Launch Date:
18/11/2019
Last Amended:
Jul 2023
Dialshifter (
):
Fund Size:
£m
ISIN:
GB00BJDQL269
Contact Us:
Objectives:
The Fund aims to provide a total return (the combination of capital growth and income) of 4 to 8% per annum over any five-year period, net of the Ongoing Charges Figure, while applying ESG Criteria and/or Impact Criteria.
There is no guarantee that the Fund will achieve a positive return over five years or any other period and investors may not get back the original amount they invested.
Sustainable, Responsible
&/or ESG Overview:
This Pension product is linked to the "M&G Sustainable Multi-Asset" fund. The following information refers to the primary fund.
Awaiting update from fund manager - fund last updated July 2023
The fund aims to provide combined capital growth and income of 4-8% per year, net of the ongoing charge figure, over any five-year period, while applying ESG Criteria and/or Impact Criteria. No less than 20%, and typically between 20% and 60%, of the fund is invested in companies that have a positive impact on society by addressing major social and environmental challenges, based on M&G’s impact assessment methodology. The approach combines research to work out the ‘fair’ value of assets over the long term with analysis of the economic fundamentals and short-term market reactions to events. There is no guarantee that the fund will achieve a positive return over any period. Investors may not get back the original amount they invested. The approach to sustainable investment is through flexible asset allocation, implemented by investing in securities of companies or governments that uphold high standards of ESG behaviour.
Primary fund last amended:
Jul 2023
Information directly from fund manager.
Fund Filters
Sustainability - General
Funds that have policies that consider (environmental and social) sustainability issues. Strategies vary but are likely to consider environmental issues like climate change, carbon emissions, biodiversity loss, resource management, environmental impacts; and social issues like equal opportunities, human rights, labour standards, diversity and adherence to internationally recognised codes. See fund information.
Find funds that specifically aim to invest (and manage assets) in ways that help to address all or some of the UN's Sustainable Development Goals (SDGs). See https://sdgs.un.org/goals).
Nature & Biodiversity
Fund has a policy which sets out their expectations for how investee assets should manage water
Climate Change & Energy
Funds that avoid investing in companies with coal, oil and gas reserves. See fund information for further details.
Find funds that have policies which say they avoid or limit their investment in the nuclear industry. Strategies vary. See fund information for further detail.
Social / Employment
Find funds that have policies which set out their approach to social issues (e.g. human rights, labour standards, equal opportunities, child labour and adherence to internationally recognised codes such as the UN Global Compact). Funds with social policies typically avoid companies with low standards or work to encourage higher standards. See fund information for detail.
Ethical Values Led Exclusions
Find funds that have policies that set out their position on ethical or 'personal values' based issues. Strategies vary. See fund information for further detail.
Companies are excluded if they are involved in any aspect of the production chain for tobacco products, including cigarettes, vaping, e-cigarettes, chewing tobacco and cigars.
Find funds that avoid companies that manufacture products intended specifically for military use. Fund strategies vary - particularly with regard to non-strategic military products. See fund literature for fund specific details.
Find funds with a written civilian firearms exclusion policy - meaning that they will not invest in companies that make (or perhaps also sell) handguns made for non-military users.
Find funds that avoid investment in companies involved in the production of alcohol. Strategies vary; some funds allow a small proportion of profits to come from this area. See fund literature for further information.
Find funds that avoid companies with significant involvement in the gambling industry. Some funds may allow a small proportion of profits to come from this area. See fund policy for further details.
Find funds that avoid companies that derive significant income from pornography and related areas. Strategies vary. See fund details for further information.
Human Rights
Find funds with policies that exclude companies or other assets where regimes are not democratic, or where people may be oppressed. May use eg. Freedom House research. Strategies vary. See fund literature for further information.
Governance & Management
Find fund options that have policies that relate to corporate governance issues such as board structure, executive remuneration, bribery and/or corporate corruption. These funds will typically avoid companies with poor practices. Strategies vary. See fund literature for further information.
Impact Methodologies
Funds that aim to help or support the delivery of positive social or environmental impacts (or societal/real world outcomes) by investing in companies they regard as beneficial to people and / or the planet. Strategies vary. See fund literature for further information.
How The Fund Works
Find funds that focus on finding and investing in companies with positive / beneficial attributes. This strategy can be applied in addition to exclusion criteria and engagement/stewardship activity.
Find funds where their main 'ethical approach' is to avoid companies by using negative screening criteria. Read fund literature for further information.
Find funds that have 'mapped' (reviewed) their investment selection and management strategies to identify which of the UN Sustainable Development Goals (SDGs) the fund is helping to address.
Find funds that make significant use of internationally agreed 'norms' (e.g. United Nations Global Compact - UNGC - or the UN Sustainable Development Goals - SDGs) as part of their investment selection process alongside additional SRI criteria such as positive or negative stock selection policies and/or stewardship strategies.
Find funds that use internationally agreed standards, conventions and 'norms' to help direct where the fund can and cannot invest (e.g. the UN Global Compact, UN Sustainable Development Goals). Read fund literature for further information.
Find funds that have published explanations of their ethical, social and/or environmental policies online (i.e. fund decision making strategies/ buy/sell &/or asset management strategies).
Intended Clients & Product Options
Finds funds designed to meet the needs of individual investors with an interest in sustainability issues.
Find funds that are available via a tax efficient ISA product wrapper.
Fund Management Company Information
About The Business
Finds fund management companies that have a published company wide stewardship, engagement and / or responsible ownership policy or strategy that covers all investments. Stewardship typically involves encouraging higher ESG standards through voting and dialogue.
Find fund management companies that actively encourage higher 'environmental, social and governance' and/or 'sustainable and responsible investment' practices across investee companies - typically where the aim is to encourage positive change that is aligned with the best interests of investors. Strategies vary. See additional information and options.
Find fund managers that vote all* the shares they own at Annual General Meetings and Extraordinary General Meetings. A commitment to voting shares is a key indicator of 'responsible share ownership' demonstrating their support for or disagreement with management policy. (*situations can legitimately, occasionally occur where voting proves impossible, but in principle all shares should be voted.)
Find fund managers that consider responsible ownership and ESG to be a key differentiator for their business.
Find fund management companies that take sustainability criteria into account when selecting and/or managing all of their property / real estate investments.
Find fund management companies that aim to align all their investments (across all funds) to help meet the aims of the UN Sustainable Development Goals.
Find funds run by fund managers that apply Responsible ownership or 'Stewardship' policies to all or most of their investment assets. This means active involvement (e.g. voting, dialogue) with the companies they invest in across funds (not normally limited to ethical or SRI options.) Read fund literature for further information.
Find fund management companies that consider environmental, social and governance (ESG) issues when deciding whether or not to invest in a company for all / almost all of their funds and other assets. This is increasingly seen as part of sound risk management.
Finds organisations / fund managers that have an in-house (company wide) diversity improvement programme - meaning that they are working to ensure that within their own businesses they employ people from diverse backgrounds - often typically focused on ethnicity and/or sex.
Find fund management companies that encourage the companies they invest in to have strong diversity, race, gender and other equality policies across all assets held, not simply screened or themed SRI/ESG funds. (ie Asset Management company wide).
Collaborations & Affiliations
Find fund management companies that have signed up to the UN backed 'Principles of Responsible Investment'.
Find fund management companies that are members of UKSIF - the UK Sustainable Investment and Finance association
Find fund management companies that have partnered with Fund EcoMarket - meaning that they are helping to improve access to information on sustainable and responsible investment by paying an annual fee to us which enables us to publish information for free. Partner funds are listed ahead of other funds and have their logos displayed.
Fund management entity is a member of the Investment Association https://www.theia.org/
Resources
Find fund management companies that employ people to steer and support fund managers in voting shares at company AGM's and EGMs in ways that are consistent with encouraging higher ESG/sustainability standards.
Find a fund management company that directly employs specialist ESG/SRI/sustainability researchers or analysts. This allows asset managers to discuss environmental, social and governance risks and opportunities directly with companies.
Find fund management companies that makes use of expert external research companies. This can help deliver specialist expertise and means resources are pooled with other investors.
Finds organisations / fund managers that have one or more ESG/sustainability experts on all investment teams or 'desks' (all asset types)
Accreditations
Finds organisations / fund managers that have an A+ PRI rating - meaning they are highly rated according to the 'Principles of Responsible Investment'
Find fund managers that are signatories to the FRC UK Stewardship Code, which sets out a framework for constructive investor / investee relations where fund managers are encouraged to behave like responsible, typically longer term 'company owners'.
Engagement Approach
Find fund management companies that regularly initiate or run industry wide (collaborative) investor projects aimed at raising environmental, social and governance standards amongst investee companies.
Company Wide Exclusions
Find fund management companies (not funds) that avoid investment in 'controversial weapons' across all of their funds and other investment vehicles.
Find fund management companies that avoid investment in fossil fuel companies (e.g. coal, oil and gas) across all of their funds. (and/ or other assets.)
Climate & Net Zero Transition
Fund management organisations that have pledged to reduce their greenhouse gas emissions to ‘net zero’. Strategies vary - this area is changing rapidly.
Find fund management companies that have published a Climate Risk policy or statement that is signed / owned by their Chief Executive.
Find fund management companies that are working with the companies they invest in to encourage reductions in carbon dioxide and other greenhouse gas emissions.
Finds organisations / fund managers that have a company wide carbon transition plan - meaning that they have plotted a path to how they will move away from activities that produce or use carbon based energy sources (that emit greenhouse gases) towards clean, alternative, renewable energy sources.
Find fund management companies that are working to reduce their own (fund management company) carbon/greenhouse gas emissions.
Transparency
Find fund management companies that publish a report detailing their responsible investment ownership - also known as 'Stewardship' - activity.
Fund management companies that publish a full record of how they vote their shares at AGMs (annual general meetings) and EGMs (extraordinary general meetings). Voting strategies have an important role to play encouraging higher environmental, social and governance standards.
Sustainable, Responsible &/or ESG Policy:
The Fund invests in assets that meet the ESG Criteria and/ or Impact Criteria. This is achieved through the use of M&G’s proprietary analysis and/or third party ESG information. Typically, the Fund holds 20%-60% of its Net Asset Value in positive impact assets. It always holds at least 20% of its Net Asset Value in positive impact assets.
The following types of exclusions apply to the Fund’s direct investments:
- Norms-based exclusions: investments that are assessed to be in breach of commonly accepted standards of behaviour related to human rights, labour rights, environment and anti-corruption.
- Sector-based and/or values-based exclusions: investments and/or sectors exposed to business activities that are assessed to be damaging to human health, societal wellbeing, the environment, or otherwise assessed to be misaligned with the Fund’s sector-based and/or values-based criteria.
- Other exclusions: investments assessed to be otherwise in conflict with the ESG Criteria and/or Impact Criteria.
Process:
Investing for impact explicitly targets investments that deliver positive, measurable and material change for society or the environment, in pursuit of one or more of the 17 UN Sustainable Development Goals (SDGs). We believe those investments also have the potential to generate attractive financial returns.
As part of M&G’s impact assessment methodology, M&G (Lux) Positive Impact Fund uses a III framework as a practical means of assessing a security’s suitability for the Fund. This framework, called the III, robustly and consistently applies set criteria and standards for scoring the Impact, Intention and Investment case of each security.
Each ‘I’ score is derived from the assessment and rating of its key drivers, outlined below. The scoring is out of 10 for Investment, Intention and Impact and if the score is below 5 on any one of the three pillars, the security is not included on the watchlist. Once a security has been analysed through the III process and then been deemed potentially appropriate for the watch-list, the wider team will debate its merits. Only when the team is unanimously convinced of the appropriateness of the investment will it enter the watch-list.
The team aims to achieve an optimal balance of quality investments, with a solid, established culture that is consistent with the management's vision and strategy. The team believes that this will enable an investment to effectively create a positive environmental, social or economic impact for the regions and people it serves.
Triple-I framework:
- Investment: we assess the quality and viability of the investment, focusing on opportunities and threats (including the risk of default).
- Intention: we aim to understand the intentionality behind the security/instrument issued by the company.
- Impact: we seek to assess the material impact of the investment towards achieving one or more of the specific UN SDGs. When assessing the ‘Impact’ score of a company, we consider both the ‘materiality’ and the ‘additionality’ of the impact delivered. We define materiality as the percentage of a company’s revenue that contributes to the impact being measured. We consider additionality in terms of whether the impact being measured would be achieved if the company did not exist or were not adequately funded – i.e. could another company equally deliver that impact.
We aim for the positive impact section of the portfolio to represent usually between 20% and 60%. The investments that make up the positive impact section are made up of different asset classes and may come from anywhere in the world where we can find investable opportunities in which we have conviction. This might include listed equities, green social and sustainable bonds, bonds issued by supranationals, and in particular development banks, such as the Inter-American Development Bank, infrastructure investments or collective investment vehicles.
More details on Impact measures and key performance indicators can be found in our annual ESG and Positive Impact review, available on our website.
Across our positive impact holdings we use engagement to affect change in our investee companies on a number of issues, not least supporting responsible corporate behaviour and long-term thinking, but also pushing the company to improve disclosure or set more testing sustainability goals. Engagement also allows for positive reinforcement of the long-term aims of a company, while further supporting a business’ impactful ventures.
Resources, Affiliations & Corporate Strategies:
The central ESG team at M&G Investments is the Stewardship & Sustainability (S&S) team, which currently comprises of 32 M&G employees. Additionally, there are numerous ESG specialists across the floor, embedded in investment teams. At M&G we believe that ESG integration should occur in all parts of our investment business and to reflect this everyone has an objective to this end.
We look to continuously monitor S&S team resourcing levels to ensure the best quality of service is provided to clients. M&G will also ensure and make it the responsibility of all team members to keep up to date with the rapidly changing landscape of ESG to leverage resources effectively.
The S&S team works collaboratively, both directly and via the analysts, to equip managers to make better-informed decisions, knowing the full spectrum of ESG risks that could impact their portfolios, as well as where these risks may be concentrated within certain issuers or holdings. By working in conjunction with the credit and equity analysts on ESG, the S&S team is able to ensure that ESG risks and opportunities are considered throughout the full investment process, as well as in the monitoring of companies.
Rob Marshall, Head of Sustainable Investments at M&G Investments heads up the S&S team and research
Rob Marshall – Head of Sustainable Investments
Rob was appointed Head of Sustainable Investments in July 2022. Prior to that, Rob served as the Global Head of Research since 2019, responsible for leading M&G’s highly regarded Credit and Equity Research teams. During his time with M&G, Rob has worked as an analyst and credit practitioner across Public and Private asset classes.
Rob joined M&G in 2000. He previously worked as a senior analyst in European structured finance for the credit rating agency DCR, and later for Fitch Ratings. Rob holds a degree in Classics from Christ's College, Cambridge.
Rupert Krefting, Head of Corporate Finance and Stewardship
Rupert Krefting joined M&G in March 2016 and was appointed Head of Corporate Finance and Stewardship, Equities. Rupert has worked in investment banking for more than two decades. Most recently, he was at Numis, where he was a director in its corporate broking and advisory business for 8 years. Prior to his move to Numis, Rupert held senior roles at Investec and Panmure Gordon on the advisory side. He is a chartered accountant.
Ben Constable-Maxwell, Head of Sustainable & Impact Investment
Ben joined M&G in 2003 as a senior investment writer covering global and European equities, before joining the investment specialist team supporting the global equity desk. He is now Head of Sustainable and Impact Investing, responsible for sustainable investing at M&G and for developing M&G’s impact investment activities within our Equities business.
Ben has been central to the development of ESG integration within M&G’s investment processes and has supported the development of ESG client solutions across asset classes. He sits on M&G’s Responsible Investment Advisory Forum, which oversees ESG related activities at M&G, and is a member of the UK Investment Association’s Sustainability & Responsible Investment Committee, chairing the Working Group on non-financial disclosures.
Previous to M&G, Ben spent four years with the Equities team at Invesco Perpetual. Ben graduated from the University of Newcastle-upon-Tyne with an Honours Degree in Classics and has been on M&G’s Staff Charity Fund Committee since 2004. With the launch of the M&G Positive Impact Fund, Ben will be taking the Impact lead alongside fund manager John William Olsen.
John Vercoe
John joined as a Manager in the Policy and Disclosure team in January 2021 from 8 Miles, where he was the Head of ESG and Impact for Bob Geldof’s African Mid Cap Private Equity Firm. With 22 years of environmental and social risk experience, John currently Heads up Sustainability for Public Assets at M&G. John is a chartered environmentalist (C.Env), Member of the Institution of Environmental Sciences (M.IES) and Fellow of the Royal Society of the Arts (F.RSA).
The following is a list of Initiatives and signatories of M&G plc and M&G Investments:
M&G plc
- UN Global Compact
- TCFD
- TNFD Forum
- CDP
- ClimateWise
- ShareAction's Workforce Disclosure Initiative (WDI)
- National Equality Index
- Stonewall's Top 100 Employers
- Department of Work and Pensions - Level 3 Disability Confident Leader
- Say on Climate
- Powering Past Coal Alliance
M&G Investments
- 30% Club Investor Group
- Access to Medicine Foundation
- All Party Parliamentary Corporate Governance Group (APPCGG)
- CDP
- Climate Action 100+ (CA 100+)
- Climate Bonds Initiative
- Climate Bonds Initiative - Climate Bonds Industry Working Group for Hydropower Investments
- Climate Bonds Initiative - Climate Bonds Industry Working Group for Bioenergy European Green Securities Steering Committee
- Climate Bonds Initiative - Climate Bonds Industry Working Group for Marine Renewable Energy Investments
- European Fund and Asset Management Association (EFAMA)
- FAIRR (Farm Animal Investment Risk and Return)
- Find it, Fix it, Prevent it
- Global Impact Investing Network (GIIN)
- Green Bond Principles
- IA (Investment Association )
- IA Corporate Reporting and Auditing Group (CRAG)
- IA Remuneration and Shares committee
- IA Responsible Investment committee
- IA Stewardship & Governance Committee
- IA Stewardship Reporting Working Group
- Impact Management Project (IMP) [Now Impact Management Platform]
- Institutional Investors Group on Climate Change (IIGCC)
- International Corporate Governance Network
- Investor Forum
- Net Zero Asset Managers Initiative
- Pre-emption Group
- Transition Pathway Initiative (TPI)
- UK Stewardship Code 2020
- UK Sustainable Investment and Finance Association (UKSIF)
- UN PRI
| Fund Name | SRI Style | SDR Labelling | Product | Region | Asset Type | Launch Date | Last Amended |
|
|---|---|---|---|---|---|---|---|---|
LV=M&G Sustainable Multi-Asset Pn |
Sustainable Style | - | Pension | Global | Multi Asset | 18/11/2019 | Jul 2023 | |
ObjectivesThe Fund aims to provide a total return (the combination of capital growth and income) of 4 to 8% per annum over any five-year period, net of the Ongoing Charges Figure, while applying ESG Criteria and/or Impact Criteria. There is no guarantee that the Fund will achieve a positive return over five years or any other period and investors may not get back the original amount they invested. |
ISIN: GB00BJDQL269 Contact Us: info@mandg.co.uk |
|||||||
Sustainable, Responsible &/or ESG OverviewThis Pension product is linked to the "M&G Sustainable Multi-Asset" fund. The following information refers to the primary fund. Awaiting update from fund manager - fund last updated July 2023
The fund aims to provide combined capital growth and income of 4-8% per year, net of the ongoing charge figure, over any five-year period, while applying ESG Criteria and/or Impact Criteria. No less than 20%, and typically between 20% and 60%, of the fund is invested in companies that have a positive impact on society by addressing major social and environmental challenges, based on M&G’s impact assessment methodology. The approach combines research to work out the ‘fair’ value of assets over the long term with analysis of the economic fundamentals and short-term market reactions to events. There is no guarantee that the fund will achieve a positive return over any period. Investors may not get back the original amount they invested. The approach to sustainable investment is through flexible asset allocation, implemented by investing in securities of companies or governments that uphold high standards of ESG behaviour.
|
||||||||
|
Primary fund last amended: Jul 2023 |
||||||||
|
Information received directly from Fund Manager |
||||||||
|
Please select what you would like to read:
Fund FiltersSustainability - General
Sustainability policy
Funds that have policies that consider (environmental and social) sustainability issues. Strategies vary but are likely to consider environmental issues like climate change, carbon emissions, biodiversity loss, resource management, environmental impacts; and social issues like equal opportunities, human rights, labour standards, diversity and adherence to internationally recognised codes. See fund information.
UN Sustainable Development Goals (SDG) focus
Find funds that specifically aim to invest (and manage assets) in ways that help to address all or some of the UN's Sustainable Development Goals (SDGs). See https://sdgs.un.org/goals). Nature & Biodiversity
Water stewardship policy
Fund has a policy which sets out their expectations for how investee assets should manage water Climate Change & Energy
Fossil fuel reserves exclusion
Funds that avoid investing in companies with coal, oil and gas reserves. See fund information for further details.
Nuclear exclusion policy
Find funds that have policies which say they avoid or limit their investment in the nuclear industry. Strategies vary. See fund information for further detail. Social / Employment
Social policy
Find funds that have policies which set out their approach to social issues (e.g. human rights, labour standards, equal opportunities, child labour and adherence to internationally recognised codes such as the UN Global Compact). Funds with social policies typically avoid companies with low standards or work to encourage higher standards. See fund information for detail. Ethical Values Led Exclusions
Ethical policies
Find funds that have policies that set out their position on ethical or 'personal values' based issues. Strategies vary. See fund information for further detail.
Tobacco and related product manufacturers excluded
Companies are excluded if they are involved in any aspect of the production chain for tobacco products, including cigarettes, vaping, e-cigarettes, chewing tobacco and cigars.
Armaments manufacturers avoided
Find funds that avoid companies that manufacture products intended specifically for military use. Fund strategies vary - particularly with regard to non-strategic military products. See fund literature for fund specific details.
Civilian firearms production exclusion
Find funds with a written civilian firearms exclusion policy - meaning that they will not invest in companies that make (or perhaps also sell) handguns made for non-military users.
Alcohol production excluded
Find funds that avoid investment in companies involved in the production of alcohol. Strategies vary; some funds allow a small proportion of profits to come from this area. See fund literature for further information.
Gambling avoidance policy
Find funds that avoid companies with significant involvement in the gambling industry. Some funds may allow a small proportion of profits to come from this area. See fund policy for further details.
Pornography avoidance policy
Find funds that avoid companies that derive significant income from pornography and related areas. Strategies vary. See fund details for further information. Human Rights
Oppressive regimes (not free or democratic) exclusion policy
Find funds with policies that exclude companies or other assets where regimes are not democratic, or where people may be oppressed. May use eg. Freedom House research. Strategies vary. See fund literature for further information. Governance & Management
Governance policy
Find fund options that have policies that relate to corporate governance issues such as board structure, executive remuneration, bribery and/or corporate corruption. These funds will typically avoid companies with poor practices. Strategies vary. See fund literature for further information. Impact Methodologies
Aims to generate positive impacts (or 'outcomes')
Funds that aim to help or support the delivery of positive social or environmental impacts (or societal/real world outcomes) by investing in companies they regard as beneficial to people and / or the planet. Strategies vary. See fund literature for further information. How The Fund Works
Positive selection bias
Find funds that focus on finding and investing in companies with positive / beneficial attributes. This strategy can be applied in addition to exclusion criteria and engagement/stewardship activity.
Negative selection bias
Find funds where their main 'ethical approach' is to avoid companies by using negative screening criteria. Read fund literature for further information.
Assets mapped to SDGs
Find funds that have 'mapped' (reviewed) their investment selection and management strategies to identify which of the UN Sustainable Development Goals (SDGs) the fund is helping to address.
Combines norms based exclusions with other SRI criteria
Find funds that make significant use of internationally agreed 'norms' (e.g. United Nations Global Compact - UNGC - or the UN Sustainable Development Goals - SDGs) as part of their investment selection process alongside additional SRI criteria such as positive or negative stock selection policies and/or stewardship strategies.
Norms focus
Find funds that use internationally agreed standards, conventions and 'norms' to help direct where the fund can and cannot invest (e.g. the UN Global Compact, UN Sustainable Development Goals). Read fund literature for further information.
SRI / ESG / Ethical policies explained on website
Find funds that have published explanations of their ethical, social and/or environmental policies online (i.e. fund decision making strategies/ buy/sell &/or asset management strategies). Intended Clients & Product Options
Intended for investors interested in sustainability
Finds funds designed to meet the needs of individual investors with an interest in sustainability issues.
Available via an ISA (OEIC only)
Find funds that are available via a tax efficient ISA product wrapper. Fund Management Company InformationAbout The Business
Responsible ownership / stewardship policy or strategy (AFM company wide)
Finds fund management companies that have a published company wide stewardship, engagement and / or responsible ownership policy or strategy that covers all investments. Stewardship typically involves encouraging higher ESG standards through voting and dialogue.
ESG / SRI engagement (AFM company wide)
Find fund management companies that actively encourage higher 'environmental, social and governance' and/or 'sustainable and responsible investment' practices across investee companies - typically where the aim is to encourage positive change that is aligned with the best interests of investors. Strategies vary. See additional information and options.
Vote all* shares at AGMs / EGMs (AFM company wide)
Find fund managers that vote all* the shares they own at Annual General Meetings and Extraordinary General Meetings. A commitment to voting shares is a key indicator of 'responsible share ownership' demonstrating their support for or disagreement with management policy. (*situations can legitimately, occasionally occur where voting proves impossible, but in principle all shares should be voted.)
Responsible ownership / ESG a key differentiator (AFM company wide)
Find fund managers that consider responsible ownership and ESG to be a key differentiator for their business.
Sustainable property strategy (AFM company wide)
Find fund management companies that take sustainability criteria into account when selecting and/or managing all of their property / real estate investments.
SDG aligned aims / objectives (AFM company wide)
Find fund management companies that aim to align all their investments (across all funds) to help meet the aims of the UN Sustainable Development Goals.
Responsible ownership policy for non SRI funds (AFM company wide)
Find funds run by fund managers that apply Responsible ownership or 'Stewardship' policies to all or most of their investment assets. This means active involvement (e.g. voting, dialogue) with the companies they invest in across funds (not normally limited to ethical or SRI options.) Read fund literature for further information.
Integrates ESG factors into all / most (AFM) fund research
Find fund management companies that consider environmental, social and governance (ESG) issues when deciding whether or not to invest in a company for all / almost all of their funds and other assets. This is increasingly seen as part of sound risk management.
In-house diversity improvement programme (AFM company wide)
Finds organisations / fund managers that have an in-house (company wide) diversity improvement programme - meaning that they are working to ensure that within their own businesses they employ people from diverse backgrounds - often typically focused on ethnicity and/or sex.
Diversity, equality & inclusion engagement policy (AFM company wide)
Find fund management companies that encourage the companies they invest in to have strong diversity, race, gender and other equality policies across all assets held, not simply screened or themed SRI/ESG funds. (ie Asset Management company wide). Collaborations & Affiliations
PRI signatory
Find fund management companies that have signed up to the UN backed 'Principles of Responsible Investment'.
UKSIF member
Find fund management companies that are members of UKSIF - the UK Sustainable Investment and Finance association
Fund EcoMarket partner
Find fund management companies that have partnered with Fund EcoMarket - meaning that they are helping to improve access to information on sustainable and responsible investment by paying an annual fee to us which enables us to publish information for free. Partner funds are listed ahead of other funds and have their logos displayed.
Investment Association (IA) member
Fund management entity is a member of the Investment Association https://www.theia.org/ Resources
In-house responsible ownership / voting expertise
Find fund management companies that employ people to steer and support fund managers in voting shares at company AGM's and EGMs in ways that are consistent with encouraging higher ESG/sustainability standards.
Employ specialist ESG / SRI / sustainability researchers
Find a fund management company that directly employs specialist ESG/SRI/sustainability researchers or analysts. This allows asset managers to discuss environmental, social and governance risks and opportunities directly with companies.
Use specialist ESG / SRI / sustainability research companies
Find fund management companies that makes use of expert external research companies. This can help deliver specialist expertise and means resources are pooled with other investors.
ESG specialists on all investment desks (AFM company wide)
Finds organisations / fund managers that have one or more ESG/sustainability experts on all investment teams or 'desks' (all asset types) Accreditations
PRI A+ rated (AFM company wide)
Finds organisations / fund managers that have an A+ PRI rating - meaning they are highly rated according to the 'Principles of Responsible Investment'
UK Stewardship Code signatory (AFM company wide)
Find fund managers that are signatories to the FRC UK Stewardship Code, which sets out a framework for constructive investor / investee relations where fund managers are encouraged to behave like responsible, typically longer term 'company owners'. Engagement Approach
Regularly lead collaborative ESG initiatives (AFM company wide)
Find fund management companies that regularly initiate or run industry wide (collaborative) investor projects aimed at raising environmental, social and governance standards amongst investee companies. Company Wide Exclusions
Controversial weapons avoidance policy (AFM company wide)
Find fund management companies (not funds) that avoid investment in 'controversial weapons' across all of their funds and other investment vehicles.
Fossil fuel exclusion policy (AFM company wide)
Find fund management companies that avoid investment in fossil fuel companies (e.g. coal, oil and gas) across all of their funds. (and/ or other assets.) Climate & Net Zero Transition
Net Zero commitment (AFM company wide)
Fund management organisations that have pledged to reduce their greenhouse gas emissions to ‘net zero’. Strategies vary - this area is changing rapidly.
Publish 'CEO owned' Climate Risk policy (AFM company wide)
Find fund management companies that have published a Climate Risk policy or statement that is signed / owned by their Chief Executive.
Encourage carbon / greenhouse gas reduction (AFM company wide)
Find fund management companies that are working with the companies they invest in to encourage reductions in carbon dioxide and other greenhouse gas emissions.
Carbon transition plan published (AFM company wide)
Finds organisations / fund managers that have a company wide carbon transition plan - meaning that they have plotted a path to how they will move away from activities that produce or use carbon based energy sources (that emit greenhouse gases) towards clean, alternative, renewable energy sources.
In-house carbon / GHG reduction policy (AFM company wide)
Find fund management companies that are working to reduce their own (fund management company) carbon/greenhouse gas emissions. Transparency
Publish responsible ownership / stewardship report (AFM company wide)
Find fund management companies that publish a report detailing their responsible investment ownership - also known as 'Stewardship' - activity.
Publish full voting record (AFM company wide)
Fund management companies that publish a full record of how they vote their shares at AGMs (annual general meetings) and EGMs (extraordinary general meetings). Voting strategies have an important role to play encouraging higher environmental, social and governance standards. Sustainable, Responsible &/or ESG Policy:The Fund invests in assets that meet the ESG Criteria and/ or Impact Criteria. This is achieved through the use of M&G’s proprietary analysis and/or third party ESG information. Typically, the Fund holds 20%-60% of its Net Asset Value in positive impact assets. It always holds at least 20% of its Net Asset Value in positive impact assets. The following types of exclusions apply to the Fund’s direct investments:
Process:Investing for impact explicitly targets investments that deliver positive, measurable and material change for society or the environment, in pursuit of one or more of the 17 UN Sustainable Development Goals (SDGs). We believe those investments also have the potential to generate attractive financial returns. As part of M&G’s impact assessment methodology, M&G (Lux) Positive Impact Fund uses a III framework as a practical means of assessing a security’s suitability for the Fund. This framework, called the III, robustly and consistently applies set criteria and standards for scoring the Impact, Intention and Investment case of each security.
Each ‘I’ score is derived from the assessment and rating of its key drivers, outlined below. The scoring is out of 10 for Investment, Intention and Impact and if the score is below 5 on any one of the three pillars, the security is not included on the watchlist. Once a security has been analysed through the III process and then been deemed potentially appropriate for the watch-list, the wider team will debate its merits. Only when the team is unanimously convinced of the appropriateness of the investment will it enter the watch-list. The team aims to achieve an optimal balance of quality investments, with a solid, established culture that is consistent with the management's vision and strategy. The team believes that this will enable an investment to effectively create a positive environmental, social or economic impact for the regions and people it serves.
Triple-I framework:
We aim for the positive impact section of the portfolio to represent usually between 20% and 60%. The investments that make up the positive impact section are made up of different asset classes and may come from anywhere in the world where we can find investable opportunities in which we have conviction. This might include listed equities, green social and sustainable bonds, bonds issued by supranationals, and in particular development banks, such as the Inter-American Development Bank, infrastructure investments or collective investment vehicles.
More details on Impact measures and key performance indicators can be found in our annual ESG and Positive Impact review, available on our website.
Across our positive impact holdings we use engagement to affect change in our investee companies on a number of issues, not least supporting responsible corporate behaviour and long-term thinking, but also pushing the company to improve disclosure or set more testing sustainability goals. Engagement also allows for positive reinforcement of the long-term aims of a company, while further supporting a business’ impactful ventures.
Resources, Affiliations & Corporate Strategies:The central ESG team at M&G Investments is the Stewardship & Sustainability (S&S) team, which currently comprises of 32 M&G employees. Additionally, there are numerous ESG specialists across the floor, embedded in investment teams. At M&G we believe that ESG integration should occur in all parts of our investment business and to reflect this everyone has an objective to this end.
We look to continuously monitor S&S team resourcing levels to ensure the best quality of service is provided to clients. M&G will also ensure and make it the responsibility of all team members to keep up to date with the rapidly changing landscape of ESG to leverage resources effectively.
The S&S team works collaboratively, both directly and via the analysts, to equip managers to make better-informed decisions, knowing the full spectrum of ESG risks that could impact their portfolios, as well as where these risks may be concentrated within certain issuers or holdings. By working in conjunction with the credit and equity analysts on ESG, the S&S team is able to ensure that ESG risks and opportunities are considered throughout the full investment process, as well as in the monitoring of companies.
Rob Marshall, Head of Sustainable Investments at M&G Investments heads up the S&S team and research
Rob Marshall – Head of Sustainable Investments Rob was appointed Head of Sustainable Investments in July 2022. Prior to that, Rob served as the Global Head of Research since 2019, responsible for leading M&G’s highly regarded Credit and Equity Research teams. During his time with M&G, Rob has worked as an analyst and credit practitioner across Public and Private asset classes. Rob joined M&G in 2000. He previously worked as a senior analyst in European structured finance for the credit rating agency DCR, and later for Fitch Ratings. Rob holds a degree in Classics from Christ's College, Cambridge.
Rupert Krefting, Head of Corporate Finance and Stewardship Rupert Krefting joined M&G in March 2016 and was appointed Head of Corporate Finance and Stewardship, Equities. Rupert has worked in investment banking for more than two decades. Most recently, he was at Numis, where he was a director in its corporate broking and advisory business for 8 years. Prior to his move to Numis, Rupert held senior roles at Investec and Panmure Gordon on the advisory side. He is a chartered accountant.
Ben Constable-Maxwell, Head of Sustainable & Impact Investment Ben joined M&G in 2003 as a senior investment writer covering global and European equities, before joining the investment specialist team supporting the global equity desk. He is now Head of Sustainable and Impact Investing, responsible for sustainable investing at M&G and for developing M&G’s impact investment activities within our Equities business. Ben has been central to the development of ESG integration within M&G’s investment processes and has supported the development of ESG client solutions across asset classes. He sits on M&G’s Responsible Investment Advisory Forum, which oversees ESG related activities at M&G, and is a member of the UK Investment Association’s Sustainability & Responsible Investment Committee, chairing the Working Group on non-financial disclosures. Previous to M&G, Ben spent four years with the Equities team at Invesco Perpetual. Ben graduated from the University of Newcastle-upon-Tyne with an Honours Degree in Classics and has been on M&G’s Staff Charity Fund Committee since 2004. With the launch of the M&G Positive Impact Fund, Ben will be taking the Impact lead alongside fund manager John William Olsen.
John Vercoe John joined as a Manager in the Policy and Disclosure team in January 2021 from 8 Miles, where he was the Head of ESG and Impact for Bob Geldof’s African Mid Cap Private Equity Firm. With 22 years of environmental and social risk experience, John currently Heads up Sustainability for Public Assets at M&G. John is a chartered environmentalist (C.Env), Member of the Institution of Environmental Sciences (M.IES) and Fellow of the Royal Society of the Arts (F.RSA).
The following is a list of Initiatives and signatories of M&G plc and M&G Investments: M&G plc
M&G Investments
|
||||||||