Since our founding in 1990, we have been investing in socially responsible ways. We have been promoting sustainable development for many years. Meanwhile, sustainable investment has become so successful that there are really no reasons not to do it.
Fair Capital Partners is pleased that the legislator aims to increase transparency in this area and we are therefore pleased to inform you on this page about how we have taken sustainability factors into account since our establishment.
We apply the definition of the United Nations: ”Sustainable development is development that meets the needs of the present without compromising the ability of future generations to meet their own needs.” We embrace this definition in everything we say and do, based on ASN Bank’s comprehensive sustainability policy.
We manage your money with respect for people, animals and the environment, and with an eye to the future. Because we want to make a difference – today and for generations to come.
The sustainable impact of investments refers to the creation of positive impacts. Thus, investments are made in:
In asset management, we expressly take these sustainability risks and negative sustainability effects into account.
ASN Bank performs a screening for us on all potential investments. In this screening, ASN Bank identifies and analyzes the sustainability risks and negative effects associated with potential investments. We refer to the ASN Sustainability Criteria Manual for the methods ASN Bank uses in this process.
If an investment does not meet ASN Bank’s sustainability criteria, we do not invest in it.
To achieve our goals, we examine every company and government we invest in. For this investigation we use the research of ASN Bank’s Sustainability Expertise Centre. This screens companies and governments on the basis of ASN Bank’s sustainability pillars using exclusion and admission criteria. Exclusion criteria are absolute conditions that companies, countries and organizations must meet in order to be eligible for investment. Admission criteria are relative. That is, only companies, countries and organizations that are among the better ones in their group or sector are admitted for investment. Eligibility criteria are in the areas of climate, biodiversity and human rights, as well as good governance and animal welfare.
We also assess companies’ contribution to achieving the United Nations Sustainable Development Goals . These SDGs provide a common language and goals for talking about sustainable, social development. Therefore, the SDGs are of great importance to a global sustainable development agenda. They aim to reduce poverty, reduce inequalities, address climate change and protect natural resources by 2030.
On March 10, 2021, the Sustainable Finance Disclosure Regulation (“SFDR”) came into force. This Regulation requires Fair Capital Partners to include on its website information about how it considers sustainability factors when investing.
The SFDR classifies investment products into several categories. Article 6 products do not explicitly focus on sustainability, Article 8 products promote sustainability features and Article 9 products focus on achieving sustainability goals. The latter are also referred to as “dark green. Fair Capital Partners basically embraces the SFDR. We have defined our sustainability goals in accordance with Article 9 as much as possible. This is how we encourage sustainable progress. See our sustainable investment objective of our equity model portfolio here. The percentage of equities in the management portfolios mainly determines the degree of sustainability in accordance with this SFDR.
Taking sustainability into account serves two purposes for us. First, we believe that integrating sustainability factors helps manage sustainability risks, and second, we hope to contribute to a more sustainable world this way.
First, investments may be exposed to sustainability risks. A sustainability risk is “an environmental, social or governance event or circumstance that, if it occurs, could cause an actual or potentially material adverse effect on the value of the investment.”
The higher or more demanding your sustainability preferences are, the more limited your investment universe will be. After all, only the most sustainable instruments can then be used, and given the current state of the market, you will have a more limited choice. Integrating sustainable criteria in our investment advice or in the management of your portfolio may therefore have the effect of limiting your investment universe and excluding some specific -more polluting- sectors.
There are only a limited number of products on the market that incorporate sustainability criteria, which can lead to investors with very strong sustainability preferences investing in the same instruments. This means we could potentially face concentration risk in individual lines or funds due to the limited selection of instruments available.
Sustainability Risk: This is an environmental, social or governance event or circumstance that, if it occurs, could cause an actual or potential material adverse effect on the value of the investment.
In asset management, we expressly take these sustainability risks and negative sustainability effects into account.
ASN Bank performs a screening for us on all potential investments. In this screening, ASN Bank identifies and analyzes the sustainability risks and negative effects associated with potential investments. We refer to the ASN Sustainability Criteria Manual for the methods ASN Bank uses in this process.
If an investment does not meet ASN Bank’s sustainability criteria, we do not invest in it.
The sustainable impact of selected investments relates to the prevention of negative impacts. No investments are made in companies that:
Water lily painting: Licio Passon www.liciopasson.it
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