Acting in accordance with ESG (Environmental, Social and Governance) considerations is a tangible goal when we prioritize the identification of corporate and management quality. By following our methodology, we believe that our investors will benefit in the long-term, as companies with high standards of corporate governance tend to deliver consistent value over time.
Our approach to responsible investing is built on four pillars: active ownership, thorough ESG integration in our bottom-up investment process, a limited set of companywide exclusions and specialized sustainable products.
Our four-pillar approach
Naotsune Alliance approach to responsible investing is built on four pillars:
First among them is the principle of Active Ownership, embodied by an independent group of market experts that founded Naotsune Alliance. Our private company status offers our owners the independence of low-visibility and high-quality approach, thus allowing our carefully structured organization to stay on course exclusively according to client interest, while maintaining the highest standards for corporate responsibility.
Our active ownership approach forms a close fit with our second pillar, the vigorous integration of ESG factors into our investment process.
At Naotsune Alliance, ESG research is part of the work performed by our mainstream analysts, not by a separate team. All our investment cases include an overview of ESG issues that may be material for the relevant issuer.
The third pillar comprises our policies of excluding certain types of business activities, in keeping with our business ethics and principles, societal values and trends.
Fourth, we meet specific ESG demands and requirements by offering a range of SRI (Socially Responsible Investment) funds and tailor-made responsible investment solutions in partnership with our clients.
Our strong track record and proven commitment to responsible investment does more than just giving us a major competitive advantage. Our active investment approach forms a perfect fit with ESG integration, and we aim to continuously expand and extend our strengths in responsible investing, within the company and in the markets where we are active.