The portfolio manager researches the supporting documentation with the ESG research team and if necessary, engages with the issuer to gather additional information and context. The team will then reassess this information relative to their initial analysis to determine if the security still meets Calvert’s acceptable criteria. If it is determined the security no longer meets their acceptable criteria, the team will liquidate in the best interest of their clients.
The Calvert Green Bond Fund seeks to invest primarily in "green" investments. The Fund has its own definition of "green" investments, which takes a broader approach than the "labelled" green bond market. For "green" project-based investments, they encourage issuers to increase transparency in terms of disclosing the eligibility process for project themes and selection; the process for disbursing proceeds until all funds are allocated; and annual reporting that includes project selection, proceeds allocation, and any impact reporting as available. When an issuer has stated that it will offer annual reporting but it is not readily available, they will contact the issuer to request the reporting for their assessment of the security.