Macquarie Investment Management (MIM) is a division of Macquarie Asset Management (MAM).
MIM offers investment management capabilities across a number of asset classes including fixed income, currencies, equities, infrastructure securities, hedge funds and multi-asset allocation solutions.
Our specialized, independent investment teams are focused on delivering long-term, consistent results for our clients. Each team has autonomy to execute on its own investment philosophy. All of our equity teams share several traits: independent thinking, global perspectives and conviction in their specialized investment philosophies.
Many of our teams also recognize that ESG factors may provide additional insight into investment risk. Each team differs in the extent of their coverage and review of these factors.
The majority of our US-based equity investment teams employ a fundamental approach towards identifying and assessing securities. Inherent to their investment process is an in-depth analysis of economic, competitive and other factors that may influence future revenues and earnings of the issuer of the securities, including factors that have been identified as material from an ESG perspective.
Following are highlights regarding specific ESG practices of some of our investment teams:
For our Hong Kong-based Asian Equities team, ESG is embedded into their detailed research of each company as they believe that there is a direct correlation between ESG factors and financial performance and investment returns. ESG analysis is a first step in the team’s fundamental research of a target company. The team also manages certain investment screens to exclude particular types of companies that are based on broad investor feedback as well as restrictions placed on investment vehicles in certain regulatory jurisdictions.
Our Sydney-based Systematic Investment Equities team incorporates ESG scores as one of the components of a company’s quality aggregate score. They have also developed customized screens which exclude tobacco-associated companies in their global portfolios and offer clients the ability to restrict investments in other areas such as coal and uranium.
MIM US offers a specialized portfolio of US large-cap equities which incorporates ESG analysis and norms-based screens. A systematic incorporation of ESG issues is part of the investment research framework. Qualitative and quantitative ESG factors are incorporated. Norms-based screens identify companies with corporate activities in socially unacceptable businesses. Flagged companies are further analyzed to determine the materiality of the activity and its financial impact.
MIM US also offers a specialized portfolio of US small- and mid-cap value companies which is negatively screened to exclude companies which are among the largest coal, oil, and gas reserve owners ranked by the carbon emissions embedded in their reserves.