UniSuper Global Environmental Opportunities Option

Product Name

UniSuper Global Environmental Opportunities Option

Issuer

UniSuper

Category

Superannuation

Type

Superfund option

Target

Institutional

Certified Since

2017

Asset Classes

International equities

Markets

Australia

Investment Approaches

Positive Screening, Minimum-standards (norms-based) screening

It Includes:

  • Riaa icons 32 Green property
  • Riaa icons 10 Renewable energy and climate change solutions
  • Riaa icons 13 Sustainable transport
  • Riaa icons 31 Sustainable water

It fully excludes:

  • Riaa icons 41 Alcohol
  • Riaa icons 36 Armaments
  • Riaa icons 33 Fossil fuels
  • Riaa icons 42 Gambling
  • Riaa icons 52 Human rights abuses
  • Riaa icons 38 Labour rights violations
  • Riaa icons 35 Tobacco

Overview

UniSuper's Global Environmental Opportunities option invests in companies that receive more than 20% of their revenues from addressing environmental issues across 5 themes - alternative energy, clean technology, water infrastructure and technologies, green buildings and waste management and pollution control. Notwithstanding the 20% hard limit we seek to achieve an average portfolio revenue of 75% from these themes.


Description


This option is managed by UniSuper's Investment team. Stocks are identified using the MSCI Sustainable Impacts database, BNEF (Bloomberg New Energy Finance) and Bloomberg Industry Classification revenues, using the MSCI All Country World Index as the initial universe. 
Stocks are then reviewed by members of the Investment department for both investment and other ESG quality characteristics, including ensuring that the stocks meet the exclusions that also apply to our Sustainable Options (screening out alcohol, tobacco, weapons, fossil fuel exploration and production and gaming). We also run a UN Global Compact screen and exclude any companies identified by the MSCI ESG research database as being in breach of the UNGC.  
Please note that while  we do include electricity generators that are majority renewable but must have less than 30% generation capacity from natural gas to provide for energy security (as back up for the renewable source). Once the final stock list is decided the portfolio is constructed having regard to investment quality, and stock trading characteristics (i.e. market depth and liquidity) and a final ESG review is conducted to ensure that we are comfortable with the companies that are being included in the portfolio.

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

UniSuper Sustainable Balanced Option

UniSuper Sustainable High Growth Option

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