Our approach to investments in listed companies and sovereign bonds
At the heart of Triodos Investment Management’s SRI philosophy lies the belief that in the long term, the most successful businesses will be those that achieve the right balance between their social, environmental and economic performances. Any company that intends to deliver long-term value must effectively manage its relations with all stakeholders and be responsive to their needs and demands. We believe companies that balance these interests will effectively deliver the greatest value to all stakeholders, including their shareholders.
Triodos SICAV I (the fund) is the umbrella fund for four different SRI funds, which invest worldwide in listed companies and/or euro-denominated sovereign bonds: Triodos Sustainable Equity Fund, Triodos Sustainable Bond Fund, Triodos Sustainable Mixed Fund and Triodos Sustainable Pioneer Fund. Each sub-fund has its own risk-return profile, applies a long-term investment strategy and has a concentrated portfolio.
The sub-funds only invest in companies that clearly outperform their peers on sustainability, in addition to complying with our minimum standards. To ensure that companies meet our social and environmental requirements, they are screened against a wide range of strict sustainability criteria. The rigorous research and selection process is conducted by Triodos Research and provides a firm foundation for every investment decision. The Triodos SRI funds are therefore among the most strictly defined sustainable investment funds. The companies included in the sustainable investment universe are the outperformers in their sectors, leading their peers towards higher standards for environmental, social and financial performance. As influential multinational companies, they have a global impact on environmental and social change.
The actual portfolio construction is executed by Delta Lloyd Asset Management, based on their comprehensive risk-return analysis. Stocks or bonds from our sustainable investment universe that offer the best risk/return prospects will be added to the portfolio. Delta Lloyd Asset Management’s investment strategy focuses on aspects that will influence the valuation and cash flows of selected companies worldwide.
The key element of our SRI strategy is active engagement and dialogue with the companies that we may invest in, aiming to raise awareness of sustainability, stimulate action and create lasting positive change. Where appropriate, we will seek to discuss substantial and relevant issues with regard to social, environmental and governance performance, aiming to enhance the business performance of companies.
As of January 1, 2015, Triodos Investment Management B.V. is the management company of Triodos SICAV I. Triodos Investment Management has over fifteen years of experience in managing investment funds that invest in stock market-listed bonds and equities of companies that actively contribute to an environmentally sustainable, socially just and economically sound future.
Zeist, April 5, 2016
Triodos Investment Management
Marilou van Golstein Brouwers
Dick van Ommeren