We follow Grupo Santander's Defence Policy in all of our investment products as the first line of action of our Responsible Investment approach.
The SRI policy defines SAM’s ESG assessment, which takes into account different components:
- A valuation analysis where the behaviour of issuers is assessed in relation to different ESG factors. For this assessment, SAM uses the information provided by external data providers, incorporating it into its own valuation methodology designed by the SRI team and based on market references and main international frameworks and standards resulting in an ESG rating of each issuer.
- Exclusions based on the nature of the activities carried out by the issuers or on the identification of risks through the monitoring of possible controversial news.
The ESG assessment of companies (fixed income corporates) is composed of general analysis criteria - common to all sectors - and specific criteria - depending on the sector and activity - covering all relevant ESG aspects (e.g. Climate change, Natural resources, Human Capital, Labour Rights, Corporate Governance, Business Ethics, etc.)
In addition, the analysis of governments takes into account ESG criteria adapted to countries (e.g. Climate change, Natural capital, Education, Health & Nutrition, Civil Rights, etc.)