We believe that companies that embrace robust environmental, social and governance (ESG) standards will achieve strong and sustainable growth and profitability over the long term.
The GCA Sustainable Growth Fund invests in companies that are solving constraints around energy, food and water, so we place the greatest emphasis on the environmental component of ESG. We not only invest in pure-play companies, but also companies making the migration to providing these sustainable products/services. We require that 50% of revenue come from sustainability initiatives and that this component of overall revenue be growing faster than the corporate average.
The GCA Emerging Markets Sustainable Growth Fund invests in companies that embrace robust ESG standards across emerging and frontier markets. We believe that emerging and frontier markets will be the engines of global growth in the next century. At the same time, they face considerable challenges related to climate change, urbanization, pollution, disease, governance, infrastructure deficits and institutional capacity. By focusing on material ESG factors and combining rigorous bottom-up fundamental analysis with macroeconomic factors, we identify drivers of growth and profitability while mitigating risk.