ESG is an integral part of our due diligence. We have adopted the Sustainable Accounting Standards Board (SASB) framework into a proprietary ESG scoring template. Scores are used to inform portfolio weightings. Where needed and possible we engage with the company.
After considering external factors such as industry reports and research, the Fixed Income team applies a comprehensive due diligence checklist to a prospective security, which includes positive and negative screening factors. ESG considerations help them with their goal of maximising yield per unit of risk.
ESG criteria are central to the investment decisions made. We are looking for companies that align with our focus on better lives, better planet and better inclusiveness. Once we have invested we actively engage with our portfolio companies to affect positive outcomes.
The Responsible Investment Committee is made up of three core members and 11 representatives from Pender’s investment, sales, marketing and financial operations and HR teams.