Emerging markets and the SDGs: investing where it's needed most
We look at some of the companies helping to solve some of the biggest challenges we face today
How we incorporate Environmental, Social and Governance factors into our approach to Sustainable Investing.
We face interlinked environmental crises, from climate breakdown, extreme weather, and species loss to water scarcity and unsustainable food production. We take action in our operations, but our greatest impact and influence is through how we invest our customers’ and clients’ money.
We are facing many global issues, from inequality and poverty to an ageing population. We want to raise awareness and drive positive change to support fair and inclusive work, equality of opportunity and connect with those isolated from society.
As a responsible global investor, we leverage our scale and market position to raise standards in both the companies and industries in which we invest, and help drive best practice across the asset management industry.
Our ESG house score is designed to shed light on a company’s management of ESG risks. We designed a proprietary ESG house score to supplement our existing analysis. The system draws on more than 100 internal and external data points from third-party providers while taking into account the factors that we feel are most relevant or important for sectors, regions and companies. to arrive at a single number, or score.
We are active equity investors. We believe that deep fundamental research, a disciplined investment process and full analysis of environmental, social and governance (ESG) issues is the most effective way to deliver long-term returns for our clients.
Consideration of ESG factors is embedded in our fixed income research process. It’s one of the key dimensions, alongside other valuation metrics, on which we assess any company in which we invest. We actively engage with our investee companies, combining information from these meetings with insights from our investment managers, research analysts and central ESG investment team.
At abrdn we are responsible investors. As such, we ensure environmental, social and governance (ESG) considerations are embedded in everything we do. Our goal is to make a difference – for our clients, society and the wider world. It’s about doing the right thing, while aiming to achieve our clients’ long-term financial goals. Here’s how this applies to the Multi-Asset Solutions team.