Pengana International Fund - Ethical Opportunity

Product Name

Pengana International Fund - Ethical Opportunity

Issuer

Pengana Capital

Category

Investment

Type

Fund or Trust

Target

Retail, Wholesale

Certified Since

2006

Asset Classes

International equities

Markets

Australia, New Zealand

Investment Approaches

Negative Screening, ESG Integration

It Includes:

  • Riaa icons 12 Healthcare and medical products

It fully excludes:

  • Riaa icons 33 Fossil fuels
  • Riaa icons 52 Human rights abuses
  • Riaa icons 38 Labour rights violations

Overview

The Pengana International Fund - Ethical Opportunity provides exposure to an ethically screened diversified portfolio of highly cash-generative and growing global companies purchased at compelling valuations.


Description


The Pengana International Fund - Ethical Opportunity is committed to responsible investing and seeks to avoid investing in businesses that are, in its opinion, currently involved in activities that are unnecessarily harmful to people, animals or the environment.  The Pengana International Fund - Ethical Opportunity utilises a negative screening process which seeks to avoid investment in companies that derive operating revenues from direct and material business involvement in these sectors.

Before a company is added to the portfolio, the extent of an investee company’s business involvement in screened activities is assessed by reference to a Business Involvement report sourced from Sustainalytics, an independent provider of Environmental, Social and Governance (“ESG”) and corporate governance research and ratings. 

Generally we apply a materiality test and will not invest if a company derives 5% or more revenue from the production of excluded product or 15% or more aggregate revenue from the production, distribution and retail of an excluded product. 

Consideration of environmental, social and ethical issues raised by prospective and existing investments are investigated within the investment research process and discussed at the Investment Team meeting on an ad-hoc basis. The PCG Risk Officer has final veto power on whether a stock meets the screening criteria for inclusion in the portfolio.

Where it is decided to divest, the asset is disposed as soon as practicable, as determined on a case-by-case basis, whilst endeavouring to realise the best price it reasonably can, taking into account liquidity and other market forces. On occasion we may choose to engage with an investee company rather than divest as a better way to effect change. 

Other products certified by the Responsible Investment Association Australasia (RIAA)

Pengana High Conviction Equities Fund

Pengana International Fund - Ethical

Pengana WHEB Sustainable Impact Fund

Pengana International Equities Limited (ASX: PIA)

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