Sustainability Inspires: How we use voting to make business better
How does voting help drive positive change and improve the performance of our clients' investments?
Approach and solutions
Investment approach
We have been evolving our approach to sustainable investing since 1992, with our first ethical fund launched in 1994. We consider ESG factors, in combination with traditional financial considerations, to assess the financial risks and opportunities that impact decision-making. Our sustainable investing approach offers: Embedded ESG expertise – our global Sustainability Group works closely with ESG experts embedded throughout different regions, asset classes and business functions; to offer comprehensive insight. Proprietary process, research and tools supporting investment critical insight - with added rigour, based on our own proprietary toolkit; complementing a broad range of third-party sources. An active ownership approach, which seeks to enhance and protect the value of portfolios by actively engaging with companies we invest in and using our voting rights to encourage progress in sustainability.
Embedded expertise
for comprehensive analysis
Proprietary research and tools
for rigorous investment insight
Active ownership
for enhanced outcomes and value
Proprietary toolkit
Our proprietary process, research and tools complement our third party sources. These tools empower us with an additional layer of investment-critical insight.
ESG house score
We identify ESG leaders and laggards by with our own house scores, which adds rigour to third party data. This includes a central ESG house score, ESG quality scores for equities and Fixed Income ESG risk ratings.
Climate scenario analysis tool
We identify how different climate scenarios may impact the valuations of companies we invest in based on a range of bespoke and realistic climate scenario outcomes.
Carbon footprinting tool
We create a baseline to understand current carbon exposure for our assets and how that may evolve over time.
Engaging reporting tool
This is applied across investments in Fixed Income and Equities to support better information exchange, enhance insight, help prioritize resource and improve client reporting.
abrdn Sustainability Product Framework
ESG Factors integrated into our investment process.
ESG enhanced
For investors seeking enhanced ESG integration with portfolio level sustainability targets and negative filters.
Sustainability aware
For investors looking for proactive management and awareness of sustainability issues through specific sustainability targets, negative exclusions and carbon commitments.
Sustainability thematic
For investors interested in specific sustainable themes.
Impactful
For investors targeting specific and measurable sustainable objectives.
Article 8 funds
Under SFDR regulation, an article 8 fund promotes ESG characteristics without a specific sustainable objective.
Article 9 funds
Under SFDR regulation, an article 9 fund is defined as “a fund that has sustainable investment as its objective or a reduction in carbon emissions as its objective.”
Asset class approach
Find out how our asset class teams integrate sustainable investing into their strategies.
Active Equities
Active equity investing can deliver real benefits for investors, the environment and society. We look to uncover the best investment opportunities through intensive, first-hand research and a disciplined process.
Fixed Income
Today's fixed income markets offer a wealth of ways to meet investors' needs for income, capital preservation and risk diversification. From developed to emerging markets, sovereign bonds to high-yield debt.
Multi-Asset
Blending a broad range of asset classes to target your risk-reward requirements.
Find out more about abrdn sustainable investing