Westfield’s integration of ESG factors into the investment approach in our traditional Investment Committee managed growth equity strategies is focused on the materiality and relevancy of various ESG factors to each sector and specific company, and how they may affect valuation, risk and the confidence of the investment thesis. This integration only approach relies upon the deep industry expertise of our sector-focused analysts, coupled with the ESG focus of the Director of ESG Research, to identify and incorporate material ESG factors into our fundamental analysis. Relevant and material ESG issues are identified through management dialogue, the collection and analysis of third party ESG data, and frameworks such as SASB’s (Sustainability Accounting Standards Board) Materiality Maps. A focus on quality management has always been core to Westfield’s investment process and we believe that analyzing material ESG factors, whether they are associated with the end markets served or a company’s operating activities, can provide additional insight into management quality.
ESG incorporation goes one step further in Westfield's Sustainable Growth Equity strategy managed by our Director of ESG Research. Within this strategy, best-in-class positive screening and thematic ESG integration are also utilized in the construction of client portfolios.