THROUGH OUR ETHICAL CODE WE ENABLE RETURNS WITH SOCIAL VALUES
WHAT IS ETHICAL
INVESTING
Ethical investing uses the backbone of both ERG and Social Responsibility Investing (SRI), with green investing and impact investing. What do you include or don’t include in an investment (also called positive-impact / negative-impact)? What are the inclusionary or exclusionary criteria or methods?
As an example, we don’t include any firearm or armament companies, the tobacco industry is out, by the wayside has gone oil. We are constantly reviewing and upgrading our ethical / unethical companies. The industries and companies we invest in, may not be 100% ethical – it is more apt to grade along a curve – with an understanding of up-side and down-side.
Throughout our yearly assessment periods, we take advice from many sources, ensuring each fund and company is responsible and sustainable.
OUR APPROACH TO ETHICAL INVESTING
At NBL, we are dedicated to providing our clients with a comprehensive Environmental, Social and Governance (ESG) investment strategy that aligns with their values and promotes sustainable outcomes. To achieve this, we have partnered with a London based Fund Management group that allows us to leverage their expertise and adopt a comprehensive investment strategy that focusses on the key areas that will align your personal objectives with the United Nations Sustainable Development Goals. We believe that by using their expertise our clients will benefit from their specific skills and our oversight and holistic planning skills.
By leveraging the expertise of fund managers, we can enhance your investment approach, gain access to rigorous ESG screening processes, benefit from active engagement efforts, effectively manage ESG risks, and provide you with transparent reporting. Collaborating with experienced ethical fund managers helps us align our investments with your core values while striving for competitive financial returns.
SPECIALISED KNOWLEDGE
Fund managers who focus on Ethical investing have in-depth knowledge and expertise in evaluating companies based on ESG criteria and ethical considerations. They understand the nuances of sustainable investing and can identify opportunities that align with your clients’ values. By partnering with these managers, you gain access to their specialised knowledge, research capabilities, and ESG analysis frameworks.
RIGOROUS ESG SCREENING
Ethical fund managers typically have robust ESG screening processes in place. They conduct thorough assessments of companies’ environmental impact, social responsibility, and governance practices, considering factors such as carbon emissions, labour standards, board diversity, and community engagement. By leveraging their screening expertise, you can ensure that your investments align with your clients’ ethical values.
ACTIVE ENGAGEMENT
& PROXY VOTING
Ethical fund managers often engage with companies to encourage better ESG practices and advocate for positive change. They may participate in shareholder meetings, provide input on sustainability strategies, and exercise proxy voting rights to influence corporate behaviour. By partnering with these managers, you benefit from their active engagement efforts, which can lead to improvements in companies’ ESG performance over time.
ESG INTEGRATION &
RISK MANAGEMENT
Fund managers experienced in Ethical investing integrate ESG factors into their investment decision-making process. They analyse the potential risks and opportunities associated with environmental and social issues, corporate governance practices, and regulatory changes. By leveraging their ESG integration capabilities, you can gain a comprehensive understanding of the ESG risks and opportunities within your investment portfolio.
PERFORMANCE TRACKING
& REPORTING
Ethical fund managers provide regular performance tracking and reporting on the ESG attributes of their investments. They offer transparency on how ESG factors contribute to financial performance and how companies are progressing on sustainability goals. By leveraging their reporting capabilities, you can effectively communicate the impact of Ethical investing to your clients and provide them with meaningful insights into their portfolios.
EVOLVING INDUSTRY INSIGHTS
Ethical fund managers closely follow trends, research, and regulatory developments in the sustainable investing space. They stay informed about emerging ESG issues, evolving industry standards, and best practices in corporate sustainability. By leveraging their insights, you can adapt your investment strategy to changing market dynamics and stay ahead of evolving ESG considerations.
WHAT MAKES UP ESG?
Environmental, social and governance criteria is made up from the following categories:
ENVIRONMENT
Carbon emissions
Deforestation
Green energy initiatives
Water usage
Waste management
SOCIAL
Employee diversity
Data security
Customer satisfaction
Company sexual harassment policies
Human rights at home and abroad
GOVERNANCE
Diversity of board
Political contributions
Executive pay
Large-scale lawsuits
Internal corruption