Why mining stocks have a place in this sustainable fund

TL;DR

Simon Holmes explains how sustainable funds differ in risk and investment focus to align with investor values.

Transcript

hello and welcome to our latest insider interview today i have with me simon holmes who is full manager of the sustainable universal map range simon thank you for joining me today thank you for having me so simon free the funds balanced cautious and growth could you fiercely run through how they differ from one another yes well i think what i'm act... Read More

Key Insights

• 🎚️ The Sustainable Universal Map Range offers funds with varying risk levels and equity allocations.
• 🔬 Sustainable investing involves avoiding certain sectors and investing in companies aligned with a sustainable future.
• 🏁 Engagement with companies is crucial for improving sustainability practices and achieving milestones.
• 🥺 Climate change has become a prominent focus in company engagements, leading to investments in climate-friendly stocks like SSE and Orsted.
• 🥺 Engaging with companies to improve their sustainability practices can lead to impactful outcomes and align with investor values.
• ❓ Collective action with other investors, like Climate Action 100, can amplify engagement efforts for better sustainability practices.
• ❓ Mining companies that operate responsibly and prioritize sustainable practices can be included in sustainable portfolios.

Questions & Answers

Q: How do the Sustainable Universal Map Range funds differ in risk and investment focus?

The funds vary in risk levels based on equity allocations, with growth funds having higher equity weights and cautious funds focusing more on fixed income. They all aim to align with sustainable values while balancing active management and low fees.

Q: What are the criteria for investing in companies within the funds?

The framework includes avoiding sectors like tobacco, weapons, and fossil fuels, and companies with poor conduct. Companies must demonstrate ESG qualities, aligning with sustainability themes such as renewable energy, healthcare, and sustainable finance, to be considered for investment.

Q: How does engagement with companies work in the context of sustainable investing?

Engagement involves discussing best practices with company management, setting improvement targets, and working towards milestones for better sustainability practices. Collective action with other investors, like Climate Action 100, can enhance the impact of engagement efforts.

Q: Has climate change become a more significant focus in company engagements, and can you provide examples of climate-friendly stocks?

Climate change has gained more attention, with companies like SSE and Orsted focusing on renewable energy and decarbonization. These climate-friendly stocks exemplify the shift towards sustainability in investment portfolios.

Summary & Key Takeaways

• The Universal range offers sustainable funds balancing active management and low fees.

• Funds vary in risk levels with different equity allocations.

• Sustainable investing involves avoiding certain sectors, investing in companies aligned with a sustainable future, and engaging with companies to improve practices.