Our ESG investment strategy explained

Investors are increasingly considering ESG (environmental, social and governance) principles alongside traditional financial factors, to create a more sustainable portfolio. We believe that companies that meet high ESG standards are likely to outperform those that don’t, sometimes by a significant margin. Equally, companies that act irresponsibly have seen catastrophic repercussions, both ethically and commercially.

Our ESG Portfolio Management Service lets you take a more responsible approach to investing; helping you invest in funds that work towards making the world a better place, while also doing your best for your long-term financial security.

ESG investment principles

Looking at the criteria set out below allows investors to assess a company’s social and economic impact and think about how this might affect a business model over time. Businesses working in a more sustainable way, with robust policies and procedures around ESG issues may also be attractive from a risk and return perspective.

How we create our ESG Portfolio Service

Our ESG Portfolio Service offers you impact investing with a thematic approach.

We choose our themes by thinking about the impact they will have on both planet and people, ensuring a holistic and well-rounded approach that brings exciting investment opportunities.

Impact investing means:

• Choosing companies that we believe will have a demonstrable impact for good on the planet and the people within it
• Engaging in positive inclusion, which naturally excludes exposure to undesired sectors
• Investing where we see the potential for a positive contribution.

Our thematic approach

Identifying specific sustainable themes allows for a more specialised investment approach which enables us to pay attention to all opportunities associated with an identified, investible theme.

Our ESG themes (detailed below) span multiple regions, sectors, and business ecosystems. Looking for consistent exposure to a particular theme ensures the portfolio is focused on high growth and long-term economic value creation.

Our ESG Portfolios

We offer five different Risk Profile (RP) strategies, so you can invest sustainably with your preferred level of risk. Our multi-manager ESG portfolios are designed to work over a typical investment cycle of seven to ten years, so we recommend you stay invested for at least seven years.

Our ESG portfolios enable you to take a more forward-looking, responsible approach to ESG issues. Whichever portfolio you select, it will:

• Aim to deliver consistent, inflation-adjusted real returns
• Give you access to our global investment ideas and research
• Offer you flexibility so you can choose the parameters of your ESG portfolio to suit your needs and preferences
• Be supported and protected by our robust and disciplined investment process
• Be managed by an accessible and dedicated CGWM team.

Your investments will benefit from the best of Canaccord Genuity Wealth Management’s thinking and long-term experience. We monitor and manage your portfolio to ensure your investment risk is kept at a level that suits you through true diversification, while also investing in companies that we believe will have a positive impact on both planet and people.

Importantly, we also look for funds that have a long and successful track record of outperforming their competitors. We aim to achieve your dual objective: generating performance while benefiting society.