Inhaltsseite:Sustainability funds

Promotion

Sustainability funds

Invest in companies that adhere to the principle of sustainability.

Shaping the future with sustainable investments

We firmly believe that sustainable investments are not only expedient from a social and environmental viewpoint, but also financially worthwhile. Companies and countries that act sustainably have considerable competitive advantages in the long term, because they are more successful at incorporating relevant current and future challenges into their strategies. In recent years, we have broadly established sustainability in our asset management.

Two product lines with different effects

For investors seeking a high or particularly high sustainable effectiveness.

Product line Responsible Sustainable
Exclusion criteria
  • Limited exclusion criteria
  • Exclude around 5 – 10%
  • Broad exclusion criteria
  • Exclude around 20%
ESG filters
  • "Laggard out"
  • Through analysis of 45 ESG* criteria, the least sustainable companies are excluded
  • "Best in class"
  • Through analysis of 45 ESG* criteria, the most sustainable companies are identified
Impact valuation
  • none
  • By means of impact analysis, the companies with the highest societal benefits and strong growth prospects are identified
Result
  • Reduction of ESG risks
  • Exclusion of about 20% of the initial universe
  • Traditional risk/return profile
  • Return with societal value
  • Exclusion of about 70% of the initial universe
  • Risk/return profile focused on sustainability

*ESG = Environment, Social, Governance

Responsible funds product line

Systematically reducing ESG risks

We are convinced that the consideration of environmental, social and governance-related factors – the ESG factors – reduces the financial risks of an investment.
With a Responsible investment fund, you receive an investment solution that:

  • excludes controversial companies
  • eliminates the least sustainable companies according to ESG criteria (laggard out)
  • maintains a risk/return profile comparable to that of a traditional investment

Two-stage filter process

Two-stage filter process to determine the Responsible investment universe. (link opens larger rendition)

To determine the Responsible investment universe, companies undergo a two-stage filtering process, which eliminates roughly 20 percent of the initial universe.

Exclusion criteria

We use exclusion criteria to exclude companies that contribute to the biggest environmental problems and social risks worldwide. This process excludes around 5-10% of all companies in the investment universe.
 

Global risks Exclusion
Anthropogenic climate change
  • Companies with their own coal reserves
Decline in species diversity
  • Genetic engineering (release of GMOs)
Risk to society and health
  • Manufacture of weapons and military equipment
  • Manufacture of tobacco and smokers' accessories
  • Production of alcohol
  • Child labour (in own company)
  • Gambling
  • Pornography (producer)

ESG evaluation

Companies with the lowest ESG ratings per sector and region are identified and excluded (laggard out). Around 10-15% of companies in the investment universe are excluded in this step. The ESG criteria cover

  • Environmental (E) issues such as CO2 data and water consumption
  • Social (S) issues such as working conditions and employee diversity
  • Corporate governance (G) such as shareholder rights, remuneration of management or quality of reporting.

Companies affected by serious controversies (such as bribery or violation of human rights) are also excluded.

Range of funds

external link opens new pageDiscover Responsible funds

Sustainable funds product line

Systematic focus on returns with societal value

Sustainable funds include a comprehensive sustainability approach that goes beyond the application of exclusion criteria and the reduction of ESG risks and invests only in companies and countries that meet our strict sustainability criteria or whose business activities have a particularly strong sustainable impact. With a Sustainable investment fund, you receive an investment solution that:

  • excludes controversial companies
  • selects the most sustainable companies according to ESG criteria (best-in-class)
  • may have a different risk/return profile compared to that of a traditional investment

Three-stage filter process

Three-stage filter process to determine the Sustainable investment universe. (link opens larger rendition)

To determine the Sustainable investment universe, companies undergo a three-stage filtering process, which eliminates roughly 70% of the initial universe.

Exclusion criteria

We use exclusion criteria to exclude companies that contribute to the biggest environmental problems and social risks worldwide. This process excludes around 20% of all companies in the investment universe.
 

Global risks Exclusion
Anthropogenic climate change
  • Companies with their own coal reserves
  • Extraction of fossil fuels
  • Operation of fossil-fuelled power plants
  • Manufacture of automobiles and aircraft
  • Airlines
  • Countries: Paris Climate Agreement not ratified
Endangerment of the Earth's atmosphere
  • Generation of substances which deplete the ozone layer
Decline in species diversity
  • Genetic engineering (release of GMOs)
  • Unsustainable forestry
  • Unsustainable fisheries and aquaculture
  • Unsustainable palm oil plantations
Risk to society and health
  • Manufacture of weapons and military equipment
  • Manufacture of tobacco and smokers' accessories
  • Production of alcohol
  • Child labour (in own company)
  • Gambling
  • Pornography (producer)
  • Nuclear energy
  • Countries: Expansion of nuclear energy
  • Countries: Use of the death penalty
  • Countries: Violation of basic rights relating to democracy and human rights
  • Countries: Particularly high military budget

ESG evaluation

Companies with the best ESG ratings per sector and region are identified and selected (best-in-class). The ESG criteria cover

  • Environmental (E) issues such as CO2 data and water consumption
  • Social (S) issues such as working conditions and employee diversity
  • Corporate governance (G) such as shareholder rights, remuneration of management or quality of reporting.

Impact assessment

The core factor of our Sustainable approach is the impact assessment, which we use to systematically reduce the sustainable investment to a few companies/countries which, due to their strong contribution to sustainable development ("Sustainability Impact"), are growing at an above-average rate and generating positive social benefits. We focus on the six investment areas that contribute to sustainable development:

  • Energy: renewable energy, energy efficiency
  • Health: access to basic care, maintaining good health
  • Mobility: public transport, private transport
  • Finance: access to financial services, financial infrastructure
  • Resources: water, resource efficiency
  • Knowledge: education/research, networking

These issues are in line with the UN's 17 Sustainable Development Goals.

Range of funds

external link opens new pageDiscover Sustainable funds


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