Vontobel: Islands that count in the sea of sustainability

To find out more about Vontobel: https://www.vontobel.com

Other Videos

Vontobel: Islands that count in the sea of sustainability

 

In the sea of sustainable investing, it is important to concentrate on the islands that count and do what you are good at. Vontobel’s approach is rooted as much in tradition as in active management, i.e. deep research, stock picking, company dialogue, and integration of ESG aspects in the investment process. 

Tradition heightens credibility

Sustainable investing has become a bit of a buzzword in asset management, sometimes leaving investors lost for choice. One aspect that can distinguish one investment firm from another is tradition, according to Vontobel Chief Executive Officer Zeno Staub. “A lot of the thinking that comes with ESG obviously leads to a long-term perspective, something that in some instances got lost in the financial industry or in the day to day hectic financial markets. We have the privilege of having an anchor shareholder that truly acts across generations,” Staub said in a video on the occasion of Vontobel’s participation in the “50 sustainability & climate leaders” initiative, an international project to highlight companies’ sustainability achievements.

Multiple challenges – and opportunities

Investing in accordance with environmental, social and governance standards covers a vast expanse of possible topics. It encompasses areas as diverse as the gender pay gap, clean drinking water, or global warming, according to Dan Scott, Vontobel’s WM Chief Investment Officer and Head of Impact & Thematics. But these challenges also point to investment opportunities in asset classes such as equities, bonds, and multi asset. “What we’re doing is investing in companies that have innovations, ways to solve problems. As an investor, our role is to help finance the business model of a company that, for example, will provide clean drinking water,” Scott says.

Balancing out different interests

At first sight, asset management and climate action seem to have little in common. Yet the contribution of investment firms shouldn’t be underestimated. Even so, it is important to strike the right balance between the environmental benefits, profits for shareholders and income for employees, according to Sudhir Roc-Sennett, Head of Thought Leadership & ESG at Vontobel’s Quality Growth boutique. Engaging with the companies is also crucial. “All businesses are run by people, and so you have to talk to them about their goals and how they are evolving,” Roc-Sennett adds.

Deep research and ethical questions

Active managers like Vontobel that construct focused portfolios of suitable equities or bonds rely on specialised in-house research. Analysts track a multitude of indicators including ethical ones, says Lara Kesterton, Head of ESG Research at Vontobel’s mtx boutique. “ESG is really about assessing a company’s performance on its real world issues, so this can range from strikes in its supply chain to questions regarding child or forced labor,” she notes. 

The world is changings and so are asset managers

There is no question that sustainable investing will continue to evolve, also because governments and regulators around the world are now looking more closely at such strategies.  “The world is changing, and if you want to deliver value to your clients, you need to take care of the ESG side of things as part of your business and investment analysis,” says Lukas Münstermann, Vontobel’s Senior ESG Investment Specialist. For this, “ESG needs to be part of the overall investment philosophy. It needs to be part of the investment process. It needs to be part of each and every investment decision,” Münstermann adds.

——————————————-

This marketing document was produced by one or more companies of the Vontobel Group (collectively “Vontobel”) for retail.

This document is for information purposes only and nothing contained in this document should constitute a solicitation, or offer, or recommendation, to buy or sell any investment instruments, to effect any transactions, or to conclude any legal act of any kind whatsoever.

Except as permitted under applicable copyright laws, none of this information may be reproduced, adapted, uploaded to a third party, linked to, framed, performed in public, distributed or transmitted in any form by any process without the specific written consent of Vontobel Asset Management AG (“Vontobel”). To the maximum extent permitted by law, Vontobel will not be liable in any way for any loss or damage suffered by you through use or access to this information, or Vontobel’s failure to provide this information. Our liability for negligence, breach of contract or contravention of any law as a result of our failure to provide this information or any part of it, or for any problems with this information, which cannot be lawfully excluded, is limited, at our option and to the maximum extent permitted by law, to resupplying this information or any part of it to you, or to paying for the resupply of this information or any part of it to you. Neither this document nor any copy of it may be distributed in any jurisdiction where its distribution may be restricted by law. Persons who receive this document should make themselves aware of and adhere to any such restrictions. In particular, this document must not be distributed or handed over to US persons and must not be distributed in the USA.

 

 

 

Twitter Feed

TBD MediaFollow

TBD Media

What will the world look like in 2045? We caught up with #UOB, the leading bank in Asia, to learn how they have aligned their sustainability strategy to all 17 United Nations Sustainable Development Goals as they forge a sustainable future for all. https://lnkw.co/uob1

Reply on Twitter 1472491954625822722Retweet on Twitter 1472491954625822722 Like on Twitter 1472491954625822722 Twitter 1472491954625822722

Germany’s Chancellor, Angela Merkel, steps down to make way for a new government! We look back at the environmental and sustainable policies of the ”Merkel era” and what changes might come with new parties in charge: https://lnkw.co/merkel #TBDMedia

Reply on Twitter 1472129547755790336Retweet on Twitter 1472129547755790336 Like on Twitter 1472129547755790336 Twitter 1472129547755790336

Did you know that chemical pesticides have contributed to a rapidly declining biodiversity? Discover @Biobest_Group, the leading developer, producer, and supplier of a wide range of biological and natural solutions as an alternative to chemical pesticides: https://lnkw.co/biobest1

Reply on Twitter 1471827676201725953Retweet on Twitter 1471827676201725953 Like on Twitter 14718276762017259531Twitter 1471827676201725953

Load More…