Our screening process
Positive screening is at the heart of our profit with principles approach to investment. It allows us to invest in companies that we believe are good corporate citizens. It also helps us pinpoint enterprises with well-developed policies and processes for managing their social and environmental impacts and risks. Our positive screening approach centres on what we define as the ‘Nine Pillars’ of responsible investing.
We are particularly focused on areas that provide the necessities of life such as healthcare, water, education and housing, or products and services that are sourced ethically and produced sustainably. We also favour ‘solutions-focused’ companies that are leading the way in technologies that may help solve some of the world’s most challenging problems, such as climate change, alternative energy or water conservation. In addition, we focus on business behaviour, expecting the companies we invest in to have a well-managed policy for promoting human rights, environmental protection, labour rights and business ethics.
We also apply negative screening to eliminate businesses involved in the manufacture or sale of certain products. We apply a 10% turnover or pre-tax profit threshold for the purpose of all our negative screens.
Below are the criteria we use.