All active and passive listed equities and fixed income managers with a corporate (non-financial) strategy are required to apply a screen restricting investment in:
- Any company that produces and/or manufactures tobacco or tobacco products.
Across active and passive listed equities managers:
- Any company that produces whole weapon systems or components developed for exclusive use in cluster munitions, anti-personnel mines, biological or chemical weapons.
Also across our entire portfolio we are implementing the following restrictions on new investment in:
• Any unlisted company that derives more than 15% of revenue or net asset value from exploration, new or expanded production, or transportation of thermal coal.
• Any newly listed company, from listing onwards, that derives more than 15% of revenue or net asset value from exploration, or new or expanded production of thermal coal.
• The provision of direct funding to any listed company, via rights issues or share placements, for any of these activities.
HESTA expects all passive listed equities managers to integrate ESG issues into their ownership activities, and when possible engage with companies on any material ESG issues.
HESTA has a range of thematic strategies focusing on areas of impact. These include:
- an international passive low carbon shares strategy where the strategy aims to achieve a carbon footprint at or below 50% of the Index while delivering index-like return;
- cleantech private equity funds; and
- impact investment funds.