Sustainability: The heart of our strategy
In a fast changing world, our focus is on achieving long-term sustainable investment returns for our clients.
In line with this, we are committed to integrating sustainable investment practices across our investment strategies. We believe this is in the financial interest of our clients, and of the economy.
Find out more about our Global Sustainability Strategy on bnpparibas-am.com/en/sustainability
The science is unequivocal and the evidence is growing ever stronger, supporting the rationale of adopting a long-term investment focus on sustainability. We present our Global Sustainability Strategy. Also in this issue: do not apply a one-size-fits-all approach to BBB rated debt, but assess the idiosyncrasies; and the outlook for European equities.
Factor investing strategies can maximise portfolio returns while reducing risk. Adding ESG objectives to such strategies adds sustainable investing as a third dimension in addition to the return and the risk.
There is no longer just a single EM group, with poor countries converging to industrialized status slowly and surely over time, and advanced emerging markets graduating to developed countries. With a deeply skilled ESG research team, we have amassed the data and monitoring capabilities to tailor and craft a unique approach suited to the nuances and dynamic realities of emerging markets. The novelty of our approach is that instead of inclusion lists or exclusion lists, we use our composite score on each of the 90 EM countries to determine position sizing for investments in our portfolios. We must look to the future and take a stand on the implications of our enterprise and the long-term viability of our holdings.
The Intelligence Report – 20 May 2019
Investors play an important part in ensuring that the world is not only economically efficient, but also sustainable. Fortunately, as PRI CEO Fiona Reynolds explains, there is progress; this matters for long-term value creation, the environment and society at large. Next, we argue that a factor investing approach including ESG criteria can work in fixed income and raise the curtain on the upcoming European Parliament elections and subsequent changes in Europe’s top jobs.