The Fund applies a negative screening process to all issuers that avoid investing in companies that the Manager has deemed harmful to society or the environment. The Fund will not invest in issuers directly involved in tobacco, e-cigarettes and inhaler production or controversial weapons manufacture. The Fund will also not invest in issuers directly involved in activities that derive 10% or more of gross revenue from the production of alcoholic beverages, manufacture or provision of gaming facilities, manufacture of non-controversial weapons or armaments, manufacture or distribution of pornography, direct mining of uranium for the purpose of weapons manufacturing, or extraction of thermal coal and oil sands production.

The Fund focuses on investments anchored to impact goals adapted from the United Nations Sustainable Development Goals (SDGs). This approach to impact investing is aligned with the Global Impact Investing Network's core characteristics of impact investing. Each security is monitored for its reported social or environmental outcomes, related to improving access, affordability or adequacy of food, water, shelter or healthcare; preserving climate stability, biodiversity or natural resources; or advancing empowerment, resilience or innovation. In managing the Fund, the Manager incorporates ESG assessment into its investment process, which may consider Environmental, Social and Governance issues. Pendal is committed to undertaking engagement that contributes to growing the market for impact investments, this may include encouraging issuance of a social impact bond, commitment to social or environmental KPIs or enhanced impact measurement and disclosure practices.

Pendal has been a signatory to the United Nations supported Principles for Responsible Investment (PRI) since 2007. In 2018 Pendal commenced public reporting aligned to the recommendations of the Task Force on Climate-related Financial Disclosures (TCFD). The Fund's investments are mapped to 13 out of 17 UN Sustainable Development Goals.