Promethos Global Climate Resilience

Strategy Characteristics:

InceptionSeptember 1, 2019
BenchmarkMSCI World
PositionSize 5% Maximum
Active Share >90%
Holdings45—65
Top 10 Holdings<40%
Sector+/- 5%
Region+/- 5%
Market CapMulti-Cap
Tracking Error3% - 5%
Beta~1.0
StyleCore

Portfolio Management

Ivka Kalus

Ivka Kalus - Founder, CIO, Portfolio Manager

Investment Strategy

The strategy utilizes a sector and region-neutral risk-controlled framework that seeks to provide long-term capital appreciation and excess returns relative to the MSCI World Index. A combined quantitative and fundamental approach invests globally in a diversified portfolio of companies dedicated to policies, products and services that mitigate climate change and ecological damage. The strategy will not invest in any companies involved in the extraction, processing or sale of hydrocarbons.

An active investment approach to the low-carbon economy
Increasing global temperatures are expected to severely disrupt natural resource cycles resulting in drastic economic and societal changes. We believe companies that are best positioned for resource-efficiency and/or provide products and services to address a low-carbon economy will offer investment opportunities over the long-term. Supporting our thesis, carbon efficiency has shown a positive relationship with financial performance, especially since 2010.

Carbon-risk is quantitatively incorporated through carbon disclosure data to access policies and business activities that have exposure to the themes below:

Climate Themes

1”Is Being Green Rewarded in the Market?: An Empirical Investigation of Decarbonization and Stock Returns”, 2017

Impact ResultsPortfolioBenchmark% Better
Board Diversity35%23%57%
Executive Diversity27%20%39%
C Suite Diversity14%9%56%
ESG Disclosure483155%
ISS Quality3542%
CDP73115%
S&P Global Env Rank764185%
Sustainalytics185065%
Scope 1 GHG/Sales2529091%
Scope 2 GHG/Sales195062%
% Unionized29%22%34%

All data as of September 30, 2021 unless otherwise noted.

Contact Phone

(617) 535-9240

Promethos Capital

BOSTON/NEW YORK