RLAM define sustainable investing as investing in companies that have a net positive benefit to society either through their products and services they offer or in the way they conduct their business. They combine both negative and positive screenings as part of the process and will not invest in companies that derive more than 10% of their revenue from the likes of military applications, animal fur products, pornography and gambling. Mike and his team favour four sectors namely Healthcare, Technology, Infrastructure and companies that show strong leadership in managing the ESG issues they face.
We like the fund owing to their willingness to select companies that have a positive impact in a relatively constrained universe whilst also screening out the most controversial sectors. They also have a repeatable investment process that they apply to the range of Sustainable funds managed by RLAM.