Environmental, Social and Governance
SG Hiscock & Company has had a formal board-endorsed environmental, social and governance (ESG) policy since 2010. Our policy articulates our approach to integrating ESG considerations into our investment decisions, our business, culture and daily operations. It incorporates the key principles of the Australian Council of Superannuation Investors, as well as the framework provided under the Principles for Responsible Investment. SG Hiscock & Company is a responsible investor and we take an active approach to integrating ESG considerations into our investment decision-making process. We believe that the effective governance and management of business risks has a direct impact on a company’s intrinsic value over the long term and helps to reduce investment risk.
As an investment manager, SGH recognizes the role we can play in supporting and influencing the impact of ESG issues, whether it be through our active engagement with companies or our investment decisions. We believe that over time, good ESG practices deliver both direct and indirect impacts on shareholder value and provide a broader public community benefit.
SGH is committed to embed ESG considerations into our investment decision practices where the timeframe incorporated in the investment philosophy of the relevant fund is consistent with the medium to longer term nature of ESG factors. In making this commitment, we will incorporate ESG considerations including consideration of ACSI and PRI guidelines where appropriate, in line with our investment approach and size.
DMP has been certified by RIAA according to the strict operational and disclosure practices required under the Responsible Investment Certification Program. See www.responsibleinvestment.org for further details.
The Certification Symbol signifies that a product or service offers an investment style that takes into account environmental, social, governance or ethical considerations. The Symbol also signifies that DMP Asset Management Ltd (DMP) adheres to the strict operational and disclosure practices and its staff undertake continuing professional development on responsible investment required under the Responsible Investment Certification Program for the category of Investment Management Service when delivering its Tailored Portfolio Service. The Certification Symbol is a Registered Trade Mark of the Responsible Investment Association Australasia (RIAA). Detailed information about RIAA, the Symbol and DMP’s Tailored Portfolio Service methodology can be found at www.responsiblereturns.com.au, together with details about other responsible investment products certified by RIAA.*
Integrating ESG risks into our investment process
Hamish Tadgell, Portfolio Manager – SGH20
“ESG is really about how companies are managing what I would say 21st century business risks.”
“There’s a lot of empirical evidence that shows that companies that manage ESG risks better over the long term create more value for shareholders.”
* The Responsible Investment Certification Program does not constitute financial product advice. Neither the Certification Symbol nor RIAA recommends to any person that any financial product is a suitable investment or that returns are guaranteed. Appropriate professional advice should be sought prior to making an investment decision. RIAA does not hold an Australian Financial Services Licence.