Like fixed income, we evaluate an equity security from an impact and financial perspective. We bring the same impact-focused approach to all asset classes. CCM uses a combination of third party and in-house research to determine where potential holdings fall within the following four-part segmentation:
Strong Positive Impact: contains strong positive impact attributes – eligible for investment
Moderate Positive Impact: has specific impact characteristics – eligible for investment
Neutral Impact: maintains neutral posture toward ESG risk – eligible for investment
Negative Impact: has excessive ESG related risk – not eligible for investment
CCM uses a proprietary impact tracking methodology that evaluates investments for alignment with our impact themes. Initially developed for CCM’s work in fixed income, the impact tracking is now applied to equities. Each holding is evaluated, researched, and tagged using these impact themes.