Invest
Seeking underappreciated opportunities with high potential.
Seeking investment excellence
Our sustainable investment approaches share a common objective — to outperform our benchmarks and deliver competitive returns for our clients. Explore how we approach:
Impact Investing
Investing in the world you want to live in
In our impact strategies, we aim to achieve positive, measurable social and environmental outcomes alongside competitive financial returns. We do this by investing in companies whose core products and services represent solutions to major global problems not addressed by other, nonmarket means. From affordable housing to clean energy to internet access, companies we invest in have improved the lives of millions of people around the world.
Our impact themes
3 categories. 11 themes. A world of opportunities.
Life essentials
Human empowerment
Environment
Our impact investing approaches
Global Impact
Invests in the equities of public companies that we believe are solving the world’s biggest social and environmental problems
Global Impact Bond
Seeks to invest in fixed income issues whose proceeds help solve great social and environmental problems
Learn more about our impact approaches:
Thematic Investing
Finding investment opportunities in secular trends
Long-term trends such as climate change or emerging markets economic development represent underappreciated investment themes.
Climate change will almost certainly lead to asset repricing, creating some unexpected investment opportunities and risks. And developing countries with policies geared toward long-term economic prosperity may prove to be good investments over time.
Understanding the investment opportunity
Using climate research in investment decisions
We believe climate change will lead to asset repricing, creating unexpected investment opportunities and risks. The shift to a lower-carbon existence is already underway, and it may become imperative in coming decades.
In our view, companies, industries, and geographies that adapt to or mitigate climate risks have the potential to be long-term outperformers.
Investors should consider the risks that may impact their capital. The value of your investment may become more or less than the amount you initially invested.
Climate mitigation and adaptation
Climate change poses risks and opportunities for many industries, presenting a host of adaptation and mitigation solutions.
Low-carbon
electricity
Mitigate
Solar panels
Wind turbines
Alternative fuels
Adapt
Energy infrastructure design
Energy
efficiency
Mitigate
Electrification
Smart tech
Demand-side efficiency
Adapt
Housing solutions
Climate-resilient infrastructure
Mitigate
Utility-protection systems and infrastructure
Equipment controls
Adapt
Energy infrastructure design
The examples shown are presented for illustrative purposes only and are not to be viewed as representative of actual holdings. Source: Wellington Management
Searching for opportunities in EM economic development
Sustainable, lasting growth as opposed to growth at all costs
Today, economic progress in emerging markets (EMs) is powered in part by forces related to sustainability.
We focus on long-term development metrics, tuning out the noise of short-term growth cycles, in the hunt for investment opportunities.
Our research focuses on identifying:
- Companies that may experience profitability tailwinds or headwinds
- Sectors likely to become larger and more important — or smaller and less so
- How to structure portfolio exposures to best align with these shifts
Our thematic investing approaches
Climate Strategy
Seeks to invest in companies focused on climate mitigation or adaptation
Emerging Market Development
Invests in companies that we believe contribute to or benefit from secular development trends in emerging markets
Low-carbon solutions
Quantitative strategy aimed at investing in companies contributing to a lower-carbon future
Learn more about our thematic approaches:
ESG Integration and Engagement
Identifying material ESG risks and performance drivers
Climate risk, talent management, board composition, and many other ESG-related issues can affect financial performance and impact a company’s long-term intrinsic value.
We believe we can arrive at more informed investment decisions by triangulating these risks. Our portfolio management teams work closely with our ESG, equity, and fixed income analysts to integrate ESG research into their security analysis.
Each portfolio management team incorporates ESG research into their investment process in manners that are consistent with their own investment philosophy and approach.
Sample engagement questionsHow do you assess your exposure to risks like labor strikes, data-security breaches, or product recalls?
Which climate-related risks are you susceptible to and what processes are in place to mitigate those risks?
What are the key criteria used to compensate the executive team and how did you choose them? How are you holding executives accountable?
How do you assess your exposure to risks like labor strikes, data-security breaches, or product recalls?
Which climate-related risks are you susceptible to and what processes are in place to mitigate those risks?
What are the key criteria used to compensate the executive team and how did you choose them? How are you holding executives accountable?
The sample questions listed are presented for illustrative purposes only. These questions are not indicative of all questions that may be asked during a typical engagement. There is no guarantee that these questions will be addressed in all company engagements.
The stewardship flywheel
In the team’s view, good corporate stewardship signals a company’s potential to outperform peers over time.
Integrating potential ESG-related financial risks into strategic planning can help a company become competitive and provide an incentive to improve stewardship practices further. Over time, this virtuous cycle may lead to resiliency and adaptability, create capacity for innovation, help extend market leadership, and potentially enhance financial returns. We call this self-reinforcing dynamic the stewardship flywheel, referring to the rotational force of a smaller wheel to accelerate a larger wheel.
Our ESG approaches
Broader Perspectives
Invests in a combination of what we believe are ESG leaders and businesses showing improvements in ESG
Global Stewards
Invests in multinational companies that we believe can sustain high return on capital and that display exemplary corporate stewardship