As noted above, AB has long believed that bottom-up ESG integration is important to identify investment risks as well as opportunities. As such, our long-standing disciplined research process has long included ESG factors. All of our fundamental analysts assess carefully whether ESG factors could have a material impact on our forecasts and investment decisions. They conduct thousands of management and company visits per year and routinely investigate environmental, social and governance issues as an integral part of their fundamental research of a stock.
In addition, our dedicated ESG Analyst works with our investment teams to identify ESG trends and, themes, and routinely provide our investment teams with ESG-related case studies that illustrate best practices in integrating ESG factors into investment decision-making.
Finally, the Head of Responsible Investment dedicates a significant portion of her time on ESG-related activities, including keeping abreast of ESG best practices and relevant trends, and then using those insights to enhance our firm’s processes for ESG integration in our various investment disciplines. She conducts ESG training for our analysts and portfolio managers.