OUR PERSPECTIVE
Global Sustainable Equity
Sustainability is deeply entwined with a company’s financial performance Sustainable investing is a multidisciplinary investment philosophy that seeks positive returns by considering the financially material consequences of companies’ impact on society and the environment. The Global Sustainable Equity team believes there are potential financial benefits from investing in high-quality, resilient, properly governed companies, including those that address unmet and growing environmental and social needs. It also engages companies to help their transition to resilient and more responsible business models.
Strategy Overview The Neuberger Berman Global Sustainable Equity strategy is a risk- controlled sustainable investment opportunity that uses a robust multidisciplined, bottom-up ESG analysis approach to invest in high-quality companies on a global scale. • Focus on high-quality companies with durable growth and resilience through downturns • A concentrated portfolio of 40 – 60 holdings, typically at the lower end of that range • Fundamental analysis of sustainability attributes specific to companies and their value chains, not an exclusion-based or top-down screen or an approach reliant on third-party assessments
• An integrated screening policy, which excludes companies that conduct highly controversial behavior and those with very poor ESG assessments scores • Engagement is at the core of the process A consistent and repeatable process from research to investment The team’s focus is on materiality, momentum and engagement. They incorporate proprietary, bottom-up environmental, social and governance (ESG) analysis, focusing on material issues that affect a company’s sustainability and financial performance; and company engagement helps to identify ESG momentum and non-quantitative idiosyncratic risks. ESG is deeply embedded at different levels in the investment process:
2021 ESG ANNUAL REPORT
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