Ausbil Active Sustainable Equity Fund

Product Name

Ausbil Active Sustainable Equity Fund

Issuer

Ausbil

Category

Investment

Type

Fund or Trust

Target

Retail, Wholesale, Institutional

Certified Since

2020

Asset Classes

Australian only equities

Markets

Australia

Investment Approaches

Best in class screening, Negative Screening

It Includes:

  • Riaa icons 32 Green property
  • Riaa icons 12 Healthcare and medical products
  • Riaa icons 10 Renewable energy and energy efficiency
  • Investment2 More sustainable companies

It has some level of screening for:

  • Riaa icons 41 Alcohol
  • Riaa icons 56 Animal cruelty
  • Riaa icons 36 Armaments
  • Riaa icons 33 Fossil fuels
  • Riaa icons 42 Gambling
  • Riaa icons 45 Genetic engineering
  • Riaa icons 52 Human rights abuses
  • Riaa icons 50 Nuclear power
  • Riaa icons 99 Pornography
  • Riaa icons 35 Tobacco

It fully excludes:

    Overview

    Ausbil’s active investment process aims to exploit the inefficiencies across the market, at all stages of the cycle and across all market conditions, with the aim of producing consistent and risk controlled out-performance. Ausbil’s sustainable approach to investing allows the Fund to invest in companies that have a relatively good sustainability profile, as well as the removal of companies subject to long-term earnings risk from sustainability factors, whilst actively engaging with companies on sustainability issues and the wider industry that they operate in.


    Description


    The universe is refined to remove companies subject to long-term earnings sustainability risk including companies with material direct exposure or a significant indirect exposure to:
     
    • the production or distribution of alcohol, tobacco1, gambling, pornography and weapons & armaments2; or
    • the mining of uranium; or
    • the exploration, mining and/or distribution of fossil fuels, such as oil, gas, oil sands and coal.
     
    Material direct exposure is defined as 10% or more of earnings from one or a combination of the above controversial activities. 
     
    Ausbil’s dedicated ESG team researches on a proprietary basis, assesses and scores a company based on the industry in which a company operates in (ie what a company does) and a company’s ESG factors (ie how a company manages these factors). The combination being a sustainability score, which indicates a company’s sustainability profile.  A company’s sustainability score is subsequently combined equally with the equity analyst’s conviction score to allow Ausbil to rank each company in the remaining investible universe. At least half of the Fund’s portfolio must be constructed from the top third ranked companies. 
     
     
    1. The investable universe has no exposure to tobacco companies, therefore the Fund will have no direct exposure to tobacco companies. 
    2. Please note that the Fund has a particularly low tolerance to companies that manufacture nuclear missiles, landmines and cluster munitions.  

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