Sustainable and responsible investment management
EUROFIMA strengthens its sustainable mission by signing the United Nations-supported Principles for Responsible Investment (PRI) as of 3rd January 2020. As an institutional investor, we strongly believe that we have the obligation to invest our assets in a careful and responsible manner. Furthermore, we align our investment strategy to our capital market issuance program and its respective green bond framework as well as supporting our public mission in the development of sustainable transportation. Hence, we commence with the integration of ESG considerations (i.e.; Environmental, Social and Governance) into our investment decision-making processes according to the following six PRI principles:
· Principle 1: We will incorporate ESG issues into investment analysis and decision-making processes.
· Principle 2: We will be active owners and incorporate ESG issues into our ownership policies and practices.
· Principle 3: We will seek appropriate disclosure on ESG issues by the entities in which we invest.
· Principle 4: We will promote acceptance and implementation of the Principles within the investment industry.
· Principle 5: We will work together to enhance our effectiveness in implementing the Principles.
· Principle 6: We will each report on our activities and progress towards implementing the Principles.
You can find more information about the Principles for Responsible Investment (PRI) on their official webpage.
Since the official signature of the United Nations-supported Principles for Responsible Investment in January 2020, EUROFIMA has made significant efforts to foster its presence as a sustainable and responsible asset owner. EUROFIMA’s strict integration of Environmental, Social and Governance (ESG) considerations into its investment decision process is based on two major pillars. Firstly, all investments must fulfil the principles of the United Nations Global Compact (UNGC). Secondly, ESG risks for all investments are assessed based on external data provided by Sustainalytics. EUROFIMA confirms that all holdings comply with the UNGC and that no position is rated severe in ESG risk terms. Moreover, the weighted-average ESG risk rating of all investments is confirmed as low.
The initiative of integrating ESG considerations is an important part of EUROFIMA’s commitment to sustainability. Sustainability is at the core of EUROFIMA as an organization through its non-profit mission to support the development of public passenger rail transportation in Europe, its funding model as a frequent Green bond issuer in the capital markets and ultimately as a sustainable and responsible asset owner.