We integrate ESG considerations into investment decisions and undertake stewardship activities to support long-term outcomes.
Funds SA defines responsible investment as a financial outcomes focused approach that complements traditional investment analysis through Environmental, Social and Governance (ESG) integration and stewardship.
Our Responsible Investment Approach
As part of investment due diligence process, Funds SA explicitly considers ESG issues and opportunities in investment analysis and decision making, through the activities of our external managers and across our total portfolio. Funds SA requires investment managers to provide information on their ESG processes to establish how each investment manager:
- incorporates the assessment of ESG risks into due diligence activities,
- integrates ESG considerations into investment decision making, and
- monitors ESG risks within the portfolio.
Our SRI Option
The Socially Responsible Investment (SRI) option invests in line with socially responsible investment criteria established by Funds SA, which includes a focus on renewable energy and social infrastructure, restrictions on investments in areas of high negative social impact and a ‘best-in-class’ approach to target the best companies in each economic sector according to external ESG ratings.
Our Stewardship
Investment Stewardship is the responsible oversight and management of investments. It is an important component of Funds SA’s approach to responsible investment and focuses on Funds SA’s responsibility to take actions that protect and create long-term value for its clients. Funds SA does this through various means including proxy voting, engagements, and class actions.
Our Collaboration
We recognise the importance of a robust and transparent approach to Responsible Investment, which is why we value our membership with the UN-supported Principles for Responsible Investment and the Global Real Estate Sustainability Benchmark.