Since our founding in 1990, we have been investing in socially responsible ways. We have been promoting sustainable development for many years. Meanwhile, sustainable investment has become so successful that there are really no reasons not to do it.
We apply the definition of the United Nations: ”Sustainable development is development that meets the needs of the present without compromising the ability of future generations to meet their own needs.” We embrace this definition in everything we say and do, based on ASN Bank’s comprehensive sustainability policy.
We manage your money with respect for people, animals and the environment, and with an eye to the future. Because we want to make a difference – today and for generations to come.
Fair Capital Partners is pleased that the legislator aims to increase transparency in this area and we are therefore pleased to inform you on this page about how we have taken sustainability factors into account since our establishment.
On March 10, 2021, the Sustainable Finance Disclosure Regulation (hereinafter: “SFDR”) came into effect. Under this Regulation, Fair Capital Partners is required to include information on its website about how it takes sustainability factors into account in its investment decisions.
Article 6 products do not focus on sustainability, Article 8 products promote environmental or social characteristics, and Article 9 products have sustainable investments as their objective. This last group is also referred to as “dark green.” Fair Capital Partners has classified its Fair Capital Vermogensbeheer as an Article 9 product.
We invest on behalf of our clients with the aim of making a positive contribution to the world by investing in publicly listed investments that focus on:
protecting biodiversity, human rights, and the climate as much as possible;
having a positive impact on the SDGs and/or reducing CO₂ emissions (in line with the Climate Agreement);
achieving a market-based financial investment return over the long term.
In this way, we promote sustainable progress and hope that this sustainable investment objective contributes to a more sustainable world.
All key documents regarding Fair Capital Vermogensbeheer and the SFDR can be found in:
Annex III (pre-contractual information);
Annex V (periodic information); and
Product information (Article 10 SFDR).
You can find all these documents here.
A sustainability risk is defined as “an environmental, social, or governance (ESG) event or condition that, if it occurs, could have a real or potential material negative impact on the value of the investment.”
Fair Capital Partners integrates sustainability risks into its investment decision-making process. ASN ECD (Expertise Center for Sustainability) conducts an initial screening of all potential investments on behalf of FCP. In this screening, ASN ECD identifies and analyzes the sustainability risks associated with potential investments (see the ASN Sustainability Manual for more details).
Fair Capital Partners then ensures that exposure is properly allocated across the different asset classes.
Additionally, Sustainalytics is used to screen and monitor ESG risks based on their ESG Risk Rating.
Using Sustainalytics’ screening method, Fair Capital Partners has determined that the average ESG Risk Rating score of the equity portfolio must not exceed 20, which corresponds to a “low risk” classification according to Sustainalytics.
In the bond portfolio, Fair Capital Partners primarily invests in loans from (semi-)governmental bodies. For these investments, the analysis is conducted at the country and/or organizational level by ASN ECD.
Fair Capital Partners periodically reviews whether the portfolio continues to meet these requirements. If an investment no longer complies with the policy, it will be sold within a reasonable timeframe.
Fair Capital Partners takes the principal adverse impacts of investment decisions on sustainability factors into account when selecting its investments. Detailed information on this can be found in Annex I, available here.
In our asset management, we explicitly take sustainability risks and negative sustainability impacts into account.
ASN Bank conducts a screening of all potential investments on our behalf. In this screening, ASN Bank identifies and analyzes the sustainability risks and negative impacts associated with potential investments. For the methods used by ASN Bank in this process, we refer to the ASN Sustainability Criteria Manual.
If an investment does not meet ASN Bank’s sustainability criteria, we do not invest in it.
To achieve our objectives, we examine every company and government in which we invest.
For this analysis, we use research from ASN Bank’s Sustainability Expertise Center. This center screens companies and governments based on ASN Bank’s sustainability pillars using exclusion and admission criteria.
Exclusion criteria are absolute requirements that companies, countries, and organizations must meet to be eligible for investment.
Admission criteria are relative, meaning that only companies, countries, and organizations that rank among the better performers in their group or sector are considered for investment.
The admission criteria cover areas such as climate, biodiversity, and human rights, as well as good governance and animal welfare.
We also assess the contribution that companies make to achieving the United Nations Sustainable Development Goals (SDGs). These SDGs provide a common language and set of goals for discussing sustainable and social development. Therefore, the SDGs are of great importance for a global agenda for sustainable development. They aim, by 2030, to reduce poverty, address inequality, combat climate change, and protect natural resources.
The sustainable impact of the selected investments focuses on preventing negative effects. We do not invest in companies that:
| Produce fossil fuels or offer products or services that heavily rely on fossil fuels, such as the automotive and aviation industries.
| Produce weapons (or components of weapons).
| Make direct or indirect use (via suppliers) of child labor.
| Do not take women’s rights and labor union rights seriously.
The sustainable impact of the investments also focuses on creating positive effects. We do invest in::
| Companies that contribute to the energy transition.
| Companies that protect and restore biodiversity.
| Governments that perform well on issues such as income distribution, discrimination, and corruption.
Water lily painting: Licio Passon www.liciopasson.it
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