How we evaluate products
Responsible Investment strategies, processes, practices and disclosures are assessed against the eight criteria for product certification in the Responsible Investment Standard and accompanying Guidance and Assessment Notes.
What this symbol means
General certification: This Symbol signifies that a product or service offers an investment style that takes into account environmental, social, governance or ethical considerations, and that it adheres to the operational and disclosure practices required under the Responsible Investment Certification Program for the category of Product.
<span class="text-size-xxsmall">The content on this webpage is provided by Responsible Investment Association Australasia Ltd (ACN 641 046 666, AFSL 554110). For more information refer to our Financial Services Guide. Certain content provided may constitute a summary or extract from the offer document of a financial product. Any general advice has been provided without reference to your investment objectives, financial situation or needs. If the advice relates to the acquisition of a particular financial product for which an offer document (such as a product disclosure document) is available, you should obtain the offer document relating to the particular financial product and consider it before making any decision whether to acquire the product. Past performance does not necessarily indicate a financial products’ future performance. To obtain information tailored to your situation, contact a financial adviser.</span>
Themes & Issues
Society
Environment
<span class="text-size-xxsmall">For RIAA’s definitions of the themes included and issues avoided, please view this guide. Product-specific exclusion criteria and practices may vary. You can find these by referring directly to the product provider.</span>
Overview
The Manager aims to construct a differentiated and well diversified global portfolio of companies, based on the belief that superior returns can be generated by companies that are that are aligned to the development of a sustainable economy. In the Manager’s view, these companies should have attractive financial attributes such as persistent revenue growth and durable cash flows, as well as exhibiting strong management of environmental, social and corporate governance risks. Companies exhibiting strong management of environmental, social and corporate governance risks are those listed global companies whose business activities the Manager considers are contributing to or benefiting from the broad themes of environmental and social sustainability and whose corporate governance arrangements do not pose a material risk to the value of the company. The companies in which the Fund will invest will typically be strategically aligned with trends such as climate change, resource constraints (for example, renewable and non-renewable resources, which includes geology, soils, air, water and all living organisms), growing populations, and ageing populations. The Fund avoids investing in fossil fuels and companies the Manager considers that stand to be disrupted by the transition to a low-carbon economy, and implements only the negative screens outlined in section 2 of the Additional Information Guide. The Fund does not pursue a specific sustainability target but rather invests in companies that are aligned to the development of a Sustainable Global Economy. The Manager will adopt and apply its own criteria for a ‘sustainable global economy,’ companies which are ‘exhibiting strong management of environmental, social and corporate governance risks’ and the broad themes of ‘environmental and social sustainability’ which may differ from the view or opinion of an individual investor. Currency exposures will not be hedged back to the Australian dollar.
Description
The Fund seeks to provide capital growth over the long term and to achieve a total return after fees that exceeds the total return of the Benchmark (MSCI World Index (net dividends reinvested) in AUD), over rolling five year periods.