An Australian unit trust, invested in a portfolio of high-quality global small and mid-cap equity securities with an ESG integrated investment approach.
Bell Asset Management believe that integrating ESG factors into our investment process will assist in our objective of delivering superior long term returns to investors. Bell Asset Management believe that as stewards of investor capital, active ownership and engagement is in the best interests of the Fund’s investors.
- Bell Asset Management employs a robust and ongoing commitment towards integrating Environmental, Social and Governance (ESG) issues which is integrated into our investment process from screening, to fundamental research and valuation to having defined portfolio targets.
- ESG is an important component of BAM’s quality test and we employ a disciplined investment framework combined with broader ESG specific factors, such as ESG screening, active ESG analysis and both direct and collaborative engagements, to take a validated long term view of all of our holdings in every portfolio we manage.
- As part of our company research, we maintain an active engagement with management and includes the investigation and assessment of ESG factors within their respective businesses. In addition, we utilise shareholder voting opportunities to ensure company resolutions deliver optimal ESG outcomes.
- We have a policy of collaborative engagement on ESG matters and participate in UNPRI Collaborative Engagement processes with other signatories, and in collective assessments to encourage the provision of ESG and SRI relevant research.
- We believe that integrating ESG factors into our investment process will deliver superior long term returns to our clients. We believe that as stewards of our client’s capital, active ownership and engagement is paramount to the success of our investments and is in the best interests of our clients.
Our Stewardship Policy consolidates our approach in regards to:
- Our ESG philosophy and beliefs
- Proxy Voting procedures–with improved ESG overlay
- ESG related screening criteria – Active screens in respect of Tobacco, Controversial Weapons, Conventional Weapons, Nuclear Weapons, Civilian Firearms, Adult Entertainment, Gambling, Uranium, Nuclear Power, Coal and Unconventional Oil & Gas companies, as well as companies that breach International norms and principals (including, but not limited to, the UN Global Compact and various Sanction lists).
- NOTE: All ESG related category screening criteria are published in the Appendix of our Stewardship Policy.
- Alignment to SDG’s and monitoring progress and KPI’s – Environmental 7, 12, 13; Social 3, 8; Governance 5, 10 Formalised stewardship, engagement and escalation strategies
- Climate Change - Support of The Paris Accord and aligned with the Recommendations of the Task Force on Climate-related Financial Disclosures (TCFD)
- Modern Day Slavery Program - addresses risks in both the Firm’s own supply chain and related portfolio companies
- ESG Targets: Superior ESG score and low carbon footprint
- ESG Score: Portfolios must have a superior ESG score, relative to their benchmark
- Carbon Footprint: the weighted CO2e intensity of the portfolio must beat least 25% below the relevant benchmark (currently around 80% below benchmark)
- Monitoring and reporting of ESG related qualitative and quantitative data Training–Compulsory annual ESG training is mandatory for the investment team
- Formalised oversight, responsibility and accountability by the Governance Committee and reporting to the Board