Our approach and offering
At AXA Investment Managers we maintain a three-tiered approach to RI and impact investing.
At AXA Investment Managers (AXA IM) we believe that responsible investment (RI) can not only deliver sustainable, long-term value for clients but that it can also make a positive impact on society.
How do we categorise our RI offering?
We segment our RI offering into three sections; ESG embedded, ESG integrated and sustainable investing. Below we outline what this means and how this is implemented across at AXA IM.
ESG embedded
All of our funds (excluding index and fund of hedge funds) benefit from internal responsible investment policies, active engagement and proxy voting. All portfolios benefit from the AXA IM RI exclusion policy, which include coal, palm oil, controversial weapons and soft commodities.
ESG integrated
Our ESG analysis is integrated across all our investment platforms which allows our investment teams to take account of ESG risks and opportunities when making investment decisions that are tailored to clients’ objectives. ESG integrated mutual funds also apply our ESG standards policy, with additional exclusions on tobacco, defense, UNGC breaches and poor ESG quality. Additional ESG KPIs are displayed in the reporting of these funds2.
Sustainable investing
This includes assets within the eligible ESG universe, as well as impact investing assets. Impact investing goes beyond ESG risk monitoring and focuses on financing businesses and projects that are designed to have intentional, positive and measurable impacts on society while simultaneously delivering financial market returns.
Source: AXA IM as at 31.12.2018. Non audited figures.
1 Starting in Q1 2019
2 Available upon request
Our approach
-
Avoid
Avoid exposures that conflict with your principles & values
-
Identify
Identify ESG risks & opportunities
-
Invest
Invest by incorporating ESG analysis
-
Impact
Impact with outcome-oriented investments
-
Influence
Influence through in-depth research and engagement
ESG integration: a firm wide approach
ESG integration at AXA Investment Managers is developed using input from teams across the business and ensuring that ESG at part of our DNA.
The illustration below demonstrates the holistic approach to ESG at AXA Investment Managers.
|
|
|
*Source: AXA IM as at 30.06.2018
How does ESG impact our investment teams?
Leveraging our two decades of responsible investing experience, we are integrating ESG analysis into all our investment platforms, providing fund managers with access to proprietary ESG scores and key performance indicators (KPIs) in their front office tools, as well as additional data and research.
The central responsible investing (RI) team focuses on thematic research, corporate governance and shareholder engagement as well as on developing quantitative solutions. Headed by Matt Christensen, the team is comprised of 14 experienced professionals, including 10 RI analysts, with an average of 13 years’ experience*.
Across our platforms we have dedicated RI resources working directly with fund managers who continue to be fully empowered and accountable for their process and results.
*AXA IM as at 30/06/18
Fixed income
The fixed income and high yield teams have reinforced their credit analysis team, and each has been trained to incorporate ESG considerations in their analysis of issuers.
Framlington Equities
Framlington Equities has a team of three specialists dedicated to ESG, who support fund managers on a day to day basis in the analysis of companies.
Rosenberg Equities
Rosenberg Equities has a dedicated ESG team, comprising of five ESG specialists headed by Kathryn McDonald.
Multi-asset
Our multi-asset team work closely with the equity and fixed income platforms to integrate ESG, through two major pillars.
ESG research & publications
Empower investors with key insights on responsible investment trends, as we look at how investments could help foster prosperity for people and prosperity for the planet.
A detailed look at impact investing
Go beyond ESG integration towards a positive financial and societal impact.