A competitive fund range for ethical investors
Demand for ethical investments is on the rise1 with more and more people wanting to use their money to create positive change in the world. With our AMP Capital Ethical Leaders Fund range, you can meet this demand from super fund members with an ‘end-to-end’ ethical investment option. We offer far more than a basic ESG filter and invest ethically across all asset classes – not just equities. This approach offers your members the opportunity to align their investments with their social and environmental values.
As a pioneer in Australia, AMP Capital has been managing responsible investments for more than 16 years. Today, we are one of Australia’s largest responsible investment managers2, looking after more than $2.5 billion3 of ethical funds
“Our investment approach goes beyond just making good investment decisions in line with your ethics. Advocating for change is at the core of what we do. We believe strong returns are achieved by driving change to achieve sustainable business practices and holding companies to account.”Kristen Le Mesurier, Portfolio Manager,
Reasons to invest with us
A diversified ethical option for your member
Doing the right thing doesn’t have to mean lower returns. With the AMP Capital Ethical Leaders Fund, you can deliver portfolios that align with your members’ values. Not only do we look for the best ESG managers in each asset class, but we also use dynamic asset allocation and diversification to meet our return objectives. The result is a return comparable to a regular multi-asset fund
Meet demand for a wholly ethical fund
Our AMP Capital Ethical Leaders Fund portfolios are designed to deliver positive outcomes – for your members and for the world. Our clear ESG investment framework means we invest in companies that make a positive contribution to society. And we boycott those that don’t. We also choose equity managers who engage with companies and lobby for socially responsible change.
Be the change your members are looking for
We believe strong returns are achieved by constantly challenging the status quo to achieve forward looking, sustainable corporate practices. Which is why advocating for change is so important. We actively strive to create a positive impact on the world. What’s more, we offer you the opportunity to be part of the change with positions available on our Ethics Committee for our larger clients
Partner with the leaders in ESG investing
When you choose AMP Capital for your responsible investment portfolios, you are investing with one of the largest and most established ESG investors in Australasia2. Our experienced team is led by our dynamic portfolio manager Kristen Le Mesurier, the team is shaping the future of ESG investment in this country2.
Socially responsible investing means different things to different people. To us, responsible investing is more than just negative screens and exclusions. It is about engaging with companies to make the world a better place.
AMP Capital Ethical Leaders
Engagement Report & Charter
Read our 2019 Engagement Report and Charter to learn about the work that was done on your behalf in 2018, as well as our purpose and beliefs. They cover the big issues of 2018, our approach to investing, and showcase some of the assets the AMP Capital Ethical Leaders Funds have supported to make the world a better place.
The AMP Capital Ethical Leaders Fund range has a very clear mission – to invest for the long term while making the world a better place. We do this by including companies we believe demonstrate a positive impact on environmental, social and governance (ESG) issues. It also means ruling out companies making significant money – more than 10% of their revenue – from industries we believe have a negative impact.
You can find the Portfolio Holdings within Documents & Downloads on the relevant fund pages
How do you strike the right balance between ethical and commercial investment decisions?
We recognise that environmental, social governance factors can impact long-term business success by affecting the sustainability of earnings. By investing in managers which consider these factors alongside traditional financial metrics, the AMP Capital Ethical Leaders Funds work towards the overall objective of generating competitive returns within a sustainable and responsible framework.
Ultimately, we seek to invest for a better future on behalf of our clients.
What are green bonds and do you invest in them?
Green bonds are debt instruments issued by companies or governments to fund environmental or climate-related projects. We are particularly passionate about investing in green bonds because the money raised goes straight to environmental projects like renewable energy power generation, low carbon public transport or largescale forests, often ensuring that important renewable projects get off the ground. We can trace the funds and the impact they are having on the world.
Do you measure and publish your Carbon Footprint?
Understanding climate risk is crucial in a world where the climate is changing. Carbon footprints are one way of assessing and thinking about the risk posed by climate change to an investment portfolio, but it is not the only way.
We measure the AMP Capital Ethical Leaders Funds’ carbon footprints at the same time every year and compare the footprints of the equity components of the funds to the appropriate equity benchmark. For example, the AMP Capital Ethical Leaders Australian Share Fund’s footprint is compared to the footprint of the S&P/ASX200. The footprints are made publicly available on our website.
We are also considering how the funds are positioned for a 2-degree world.
Do clients have a voice on ethical screens?
The ethical screens are contained in the AMP Capital Ethical Leaders Funds’ Charter. This Charter is set by a majority-independent AMP Capital Ethics Committee which meets three times a year. The AMP Capital Ethics Committee is chaired by Dr Ian Woods, Head of AMP Capital’s ESG Research team, and includes up to six independent representatives from some of the largest clients in the AMP Capital Ethical Leaders Funds.
The AMP Capital Ethics Committee also reviews portfolio holdings to ensure that the underlying managers are investing in line with the Charter. If the Ethics Committee decides that a company is inconsistent with the spirit of the Charter, it will be placed on an exclusion list and all holdings will be divested. The AMP Capital Ethics Committee also oversees the funds’ engagement activities.
Meet the team
The Responsible Investment Leaders Funds (now known as the AMP Capital Ethical Leaders Funds) have been certified by the Responsible Investment Association Australasia (RIAA) according to the strict operational and disclosure practices required under the Responsible Investment Certification Program. See www.responsibleinvestment.org for details.^
The Certification Symbol signifies AMP Capital has adopted strict disclosure practices required under the Responsible Investment Certification Program and further confirms our commitment to responsible investment.
^The Responsible Investment Certification Program does not constitute financial advice for the purposes of the Financial Advisors Act 2008. Neither the Certification Symbol nor RIAA recommends to any person that any financial product is a suitable investment or that returns are guaranteed. Appropriate professional advice should be sought prior to making an investment decision. RIAA does not hold an Australian Financial Services Licence.
What are the key risks associated with the fund?
Risks specific to the fund include, or are associated with, the risks of investing in credit and share markets, international investments and hybrid securities; and risks associated with interest rates, gearing and liquidity. Please refer to the fund’s Information Memorandum for more information
12018 Financial Adviser Guide to Responsible Investment by the Responsible Investment Association of Australia.
2RIAA 2018 Benchmark Report
3As at 31 December 2018, AUD
While every care has been taken in the preparation of this information contained in this website, neither AMP Capital Investors Limited (ABN 59 001 777 591)(AFSL 232497) nor any member of the AMP Group make any representation or warranty as to the accuracy or completeness of any statement in it including without limitation, any forecasts. This content has been prepared for the purpose of providing general information only, without taking account of any particular investor’s objectives, financial situation or needs. Investors should, before making any investment decisions, consider the appropriateness of the information on this website, and seek professional advice, having regard to their objectives, financial situation and needs. Content sourced from Cuffelinks and Livewire does not represent the views of AMP Capital or any member of the AMP Group. All information on this website is subject to change without notice.