ECP applies ESG-related exclusions whose purpose is to avoid the destruction or degradation of system performance, whether organisational, social, or environmental. The exclusions are based on three principles, that aim to avoid risks that may present significant harm to society and environment, may limit the industry growth outlook of its investment companies, and may impact the predictability of investment performance.

The scope for excluding companies and their subsidiaries and investments is based on their direct involvement in the production, manufacture, service, and delivery of their products within the sectors or areas of concern. These include tobacco, nicotine alternatives, tobacco-based products, any form of gambling, pornography, fossil fuels, firearms, civilian or military weapons, controversial weapons, old forest or rainforest logging, and the delivery of palm oil or pesticides. Other areas of concern include company exposure to structures that foster instability or reduce equal opportunity to economic prosperity due to any human rights violations, sanctions, breaches of UN conventions, or any other failure to uphold basic human rights. This does not extend to companies included in parts of the supply chain to provide these products or services. Company exclusions are considered on a case-by-case basis.

ECP Asset Management believes that environmental, social, and corporate governance (ESG) factors can have a material impact on long-term investment outcomes. Considering ESG factors is part of its investment decision-making process and is fully integrated throughout its process. When assessing the long-term potential of an investment, ECP follows its proprietary "Pillars of a Quality Franchise" framework.

ECP believes that businesses whose operations are damaging or detrimental to the environment, and businesses that do not uphold accepted universal human rights and do not consider all their stakeholders are not sustainable businesses. Environmental factors may include issues relating to the quality and functioning of the natural environment and natural systems, including biodiversity loss, greenhouse gas (GHG) emissions, climate change, renewable energy, energy efficiency, air, water or resource depletion or pollution, and waste management. Social factors may include issues relating to the rights, well-being and interests of people and communities. Governance factors may include board structure, size, diversity, skills and independence, executive pay, shareholder rights, stakeholder interaction, disclosure of information, business ethics, bribery and corruption, internal controls, and risk management.

ECP has been a signatory of the Principles for Responsible Investing since 2016, became a supporter of the Task Force on Climate-related Financial Disclosures (TCFD) in 2021, and is certified by the Responsible Investment Association Australasia (RIAA).