As part of the DNA of Amundi Equities, our wide ESG offering is articulated around four pillars in order to meet your clients’ needs.
Very Strict Approach to ESG
Global Ecology Strategy
This strategy has a 30-years track-record and has a long manager tenure (the portfolio manager has remained unchanged since 2003).
It represents a unique opportunity to gain exposure to growing and sustainable secular trends that are aligned to the 17 UNs Sustainable Development Goals.
This strategy offers a real ESG exposure, through a truly diversified and comprehensive set of ESG objectives.
The strict ESG focus has not compromised performance, in fact our portfolio’s long-term track record outperforms both the MSCI World Index and its Morningstar peer group.
Identifying tomorrow’s winners – a unique dynamic approach to ESG
ESG Improvers franchise
While most would look at ESG integration from a statistic perspective, we launched a process that integrates ESG criteria in a dynamic manner.
ESG winners are quality companies with attractive valuations and strong ESG ratings, while ESG improvers are corporates portraying a solid fundamental investment case and an improving ESG trend, but not yet an ESG leader. A combination of the two, in our view, will allow investors to benefit from the improvement in ESG ratings before a trend materialises and the premium is established. Hence, it will be important to include both ESG winners and ESG improvers in portfolios.
ESG combined with Income
Equity Sustainable Income Franchise
We see ESG as a source of alpha opportunity. On the positive side, we believe that sustainable business models (the strong ESG stewards) are well positioned to benefit from the structural shift towards ESG friendly investments. ESG conscious companies tend to enjoy less volatility in their profitability and companies with more stable profits have the potential to deliver a more stable and sustainable dividend.
The structural changes that Japanese corporates have gone through the last several years are a tailwind for the engagement investors like us. Japanese corporates have room to improve on ESG practices, which offers ample room to unlock the value through engagement on ESG angles.
This is a high conviction based strategy with a focus on qualitythat offers a unique investment solution. We believe that this represents an attractive solution for investors seeking alpha while making a positive ESG impact on Japanese corporates, through their investment.
We seek companies, which we believe have established mechanisms necessary to deliver growth on a sustainable basis. We try to integrate ESG in a dynamic manner leveraging both global and local ESG specialist resources. We engage directly with companies to help encourage long-term value creation. Our engagement topics are very variable from business strategy to ESG issues as we cover the value creation process.
Our long investment horizon allows us to take full advantage of building credibility with the companies and seeking to influence the management on the corporate strategy.
The engagement philosophy applied to the France Engagement strategy is to encourage major French companies to improve their ESG practices by leveraging off its position as a shareholder.
Our approach is based on shareholder dialogue and has a long-term investment horizon. The objective of the strategy is two-fold. First, we aim at improving the analysis of the risks and opportunities facing French companies. In addition, we try to support them in the continuous improvement of their ESG practices through company meetings and to accompany them toward both energy transition and social cohesion strengthening, which are two key themes of the Amundi’s 2021 engagement policy.
The investment process is based on a combination of both financial and ESG analysis, leveraging off the expertise and experience of Amundi's equity research and ESG analysts.
Amundi Equities uniquely combines a strong local presence, active company engagement, deep equity research capabilities and an integrated portfolio construction with a disciplined and repeatable high conviction investment process.
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Investing involves risks. The performance of the strategies is not guaranteed. In addition, past performance is not in any way a guarantee or a reliable indicator of current or future performance. Investors may lose all or part of the capital originally invested.
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