Munro Climate Change Leaders Fund
Responsible Investing Approach
The Fund targets listed companies across a range of industries and countries whose earnings prospects should improve with the increased investment and focus on decarbonization. Munro has identified four sub-sectors or sub-trends of interest related to the world's move toward a net zero carbon emissions goal, such as Clean Energy, Clean Transport, Energy Efficiency, and Circular Economy.
For the Fund Manager ESG integration refers to how ESG issues impact its financial analysis, stock selection and portfolio construction. The three elements of Munro's approach are Environmental, Social, and Governance. Subject to other qualitative and quantitative factors, Munro is generally willing to pay more for companies that perform better on ESG matters. Munro regularly engages directly with companies on ESG issues, tracks engagement activity and maintains internal targets for engagements.
The Fund uses negative screens or exclusions sparingly. In the Fund Manager's view, investors can usually have a much more significant impact if they remain invested and use stewardship to bring about change. Nonetheless, it applies some exclusions to its portfolios and will not knowingly invest in tobacco, landmines and munitions, oil sand extraction, and limits investment in thermal coal, and applies a proprietary minimum ESG score.
Documents
Exclusions
The Fund primarily invests in companies involved in decarbonisation and climate change. Although Munro will not knowingly invest in tobacco, landmines and munitions, oil sand extraction, and limits investment in thermal coal, and applies a proprietary minimum ESG score, it is not designed for investors looking to screen out particular types of companies, or which meet specific ESG goals.
| Exclusions | Full/Partial Exclusion |
Description
|
|---|---|---|
 Tobacco
|
Full | Munro will not knowingly invest in individual companies that undertake tobacco manufacturing including the production of tobacco products, including alternative smoking products. |
 Weapons
|
Full | Munro will not knowingly invest in individual companies that are directly involved in the manufacture of landmines and cluster munitions. |
 Fossil fuel exploration, mining and production
|
Partial | Munro will not knowingly invest in individual companies that are involved in the extraction of oil sands; and will not invest in companies involved in the extraction of thermal coal where this contributes to more than 10% of the company's revenue. |
Inclusions
The Fund targets listed companies across a range of industries and countries whose earnings prospects should improve with the increased investment and focus on decarbonization. Munro has identified four sub-sectors or sub-trends of interest related to the world's move toward a net zero carbon emissions goal, such as Clean Energy, Clean Transport, Energy Efficiency, and Circular Economy.
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UN Sustainable Development Goals
Conventions & Treaties
Munro is a signatory to the UN-backed Principles for Responsible Investment (PRI), is a member of the Investor Group on Climate Change (IGCC) and a member of the Canadian Responsible Investment Association (RIA). Munro has policies to guide it through responsible investing and is committed to reporting annually on its responsible investment activities, including aligning reporting to the Task Force on Climate-related Disclosures (TCFD) in its Responsible Investment Report.
| Conventions & Treaties | Aligned |
Description
|
|---|---|---|
| Principles for Responsible Investment | Yes | Signatory |
| Task Force on Climate-related Financial Disclosures | Yes | Munro aligns reporting with the Task Force on Climate-related Disclosures. |
ESG Score
| ESG Score |
|
||
|---|---|---|---|
| Does the portfolio have an ESG score? | Not disclosed | ||
| If so, who is responsible for calculating the score? | Not disclosed | ||
| If a score is calculated, is this publicly available; i.e. displayed in monthly reports, on your website, etc.? | Not disclosed | ||
| If the portfolio has an ESG score, how often is that score recalculated to account for changes to portfolio holdings? | Not disclosed | ||
Impact Investing Score
| Impact Investing Score |
|
||
|---|---|---|---|
| Does the portfolio have an Impact Investment score? | Not disclosed | ||
| If a score is calculated, is this publicly available; i.e. displayed in monthly reports, on your website, etc.? | Not disclosed | ||
| If the portfolio has an Impact Investment score, how often is that score recalculated to account for changes to portfolio holdings? | Not disclosed | ||
| Does the fund publish its holdings publicly? | Yes | ||
Policies, Certification & Marketing
| Policies, Certification & Marketing |
|
|||
|---|---|---|---|---|
| Responsible investing policy | View Responsible investing policy document | |||
| Is the fund RIAA certified? | No | |||
| Holdings | View Holdings document | |||
| Climate Policy | View Climate Policy document | |||
| Resposnible Investment Report | View Resposnible Investment Report document | |||
Munro Climate Change Leaders Fund
Strategy Summary
The Fund will invest in a concentrated portfolio of 15 to 25 listed equities across a range of industries and countries whose earnings prospects should improve with the increased investment in, and focus on, decarbonisation. The investment process is based on the ability to identify sustainable growth trends that are underappreciated and mispriced by the market. Munro believe climate investment - a major structural change - is at the very start of its s-curve, with many new climate technologies still early in the adoption phase and therefore having the potential for significant growth. The aim is to create a portfolio of climate winners that help enable the decarbonisation of the planet.Key Terms
| Status: | Open | Inception Date: | Nov 2021 |
| Strategy: | Equity Long | Style: | Growth |
| Geography: | Global | Domicile: | Australia |
| Investors: | Wholesale & Retail | Min. Investment: | AU$10000 |
| Mgmt. Fee: | 0.9% | Perf. Fee: | 0% |