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Sycomore Asset Management

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投資ポリシー

SG 01. RI policy and coverage

この指標には新しい設問が追加されています。事前に入力されている回答を精査してください。

01.1. 責任投資アプローチをカバーする投資ポリシーを策定しているかどうかを明示してください。

01.2. ポリシーの構成要素/種類と対象範囲を示してください。

当てはまるものをすべて選択してください。
ポリシーの構成要素/種類
AUMの対象範囲

01.3. 投資ポリシーが以下のどの項目をカバーしているか明示して下さい:

その他の説明 (1) In addition to climate, our Environmental Strategy takes into account 4 other categories of environmental impacts: biodiversity, water, air quality and waste

01.4. 組織の投資原則および全体の投資戦略、受託者義務(または同等のもの)の解釈、ならびに、ESGファクターおよび実体経済の影響をどのように考慮に入れているかについて説明してください。

Sycomore AM aims to deliver sustainable performance to its clients by investing in companies whose current market price does not reflect their economic and ESG fundamentals, or fundamental value. We believe that a company can only deliver long-term value if this value is shared by all stakeholders: employees, clients, suppliers, institutions, associations, shareholders and the environment. Our approach is therefore structured around five stakeholders in order to develop a full picture of the risks and opportunities associated with the companies under review.

For more information, please refer to our ESG integration policy : https://en.sycomore-am.com/5dc59295-1._ESG_integration_policy_SPICE_Sycomore_AM_July_2019_ENG.pdf

 

01.5. 責任投資アプローチをカバーする組織の投資ポリシーの重要な構成要素、バリエーション、例外事項を簡潔に説明してください。[任意]

Our responsible investment policy and our investment policy are the same. 

Our SRI-labeled funds have exclusion and selection criteria that reduce the initial investment universe - this is the only difference with other funds. 

We have also defined specific RI guidelines for the funds of funds that are described in the dedicated funds selection procedure. 

01.6. 補足情報 [任意]

          
        

SG 01 CC. Climate risk

01.6 CC. 投資期間において特定され、組織の投資戦略・商品に組み込まれている気候関連のリスクおよび機会について記述してください。

特定された気候関連の移行リスク・物理的リスクおよび機会、ならびに投資戦略・商品にそれらがどのように組み込まれているかを説明してください。(500 語以内で自由に記載)

As an asset manager based in Paris and renting its office, climate-related transition and physical risks are related to companies we invest in through equities and bonds. As a consequence, Sycomore Asset Management measures and assesses transition risks related to its underlying investments since 2015. The associated metric and methodology are now fully embedded into our fundamental analysis tool. Physical risks are also assessed at the company (investee) level through our fundamental analysis, under the Environment pillar. Both physical and transition risks embedded into underlying investments are very heterogeneous and are therefore assessed at the investment level while the aggregated portfolio risk is looked at once a year from a transition risk standpoint (through our Net Environmental Contribution (NEC) metric and exposure to potential stranded assets).

The Net Environmental Contribution (NEC) is a user-friendly, advanced metric that enables investors to measure to what extent a given business model is strategically aligned with the energy and environmental transition. Using tangible physical data, taken from the whole value chain, it provides a snapshot of an activity’s net environmental contribution and can be aggregated at a company, portfolio or index level. To assess an environmental impact, the NEC uses a multi-criteria approach and considers at least two of the following five issues: climate, water, resources and waste, air quality, and biodiversity, in order to capture a comprehensive environmental footprint. The indicator is calculated on a scale from -100%, for the most damaging activities, to +100% for clear environmental solutions that fulfill the same given function. It is meant to provide an order of magnitude of the net impact. The 0% point is given for the average environmental impact of the function that the given activity is trying to fulfill. The intensity of the contribution is expressed analyzing a company activity by activity, and computing underlying contributions using their relative economic weight. For more information, please visit ww.nec-initiative.org.

The investment time horizons vary from one product to another but most of our products imply a minimum investment horizon of five years. Various time horizons are used in our SPICE analysis with a few selected criteria, such as "Alignment and Trajectory", assessed over a very long period (i.e. by 2100 for the latter).

01.7 CC. 組織はそれら気候リスクの可能性および影響を評価しましたか?

組織が気候リスクの可能性および影響を評価していない理由を説明してください。(500語以内)

Sycomore Asset Management relies on existing publicly-available climate related scenarios to assess the implications of transition and physical risks on our investments. Two major sources serve as a basis for our assessments: IEA scenarios (Stated Policies Scenario, Sustainable Development Scenario and Current Policies Scenario) for transition risk and IPCC scenarios for physical risks (RCP 8.5, RCP 6.0, RCP 4.5 and RCP 2.6). Each of them relies on its given own likehood and implies a range of impacts that support our risk analysis, whereas we do not probabilize ourselves likelihood in itself.

As climate risks may not be modelled without considering all the environmental challenges (biodiversity, ressources, water, air) we have choosen a multi-criteria approach regarding natural capital and ecosystems rather than a climate-only approach.

01.8 CC. 組織はTCFDを公式に支持しますか?

01.9 CC. 重大な気候関連リスクおよび機会を特定・管理する組織全体の戦略がありますか?

説明してください。

Sycomore AM identifies climate change and environmental challenges as having a significant impact on investments value. Sycomore AM has publicly disclosed its Natural Capital Strategy that provides an overview of the strategy in place to identify and manage material climate-risks and opportunities.

Our process for climate-related risks is integrated into overall risk management and in-depth assessment of companies that may become a portfolio holding. It is instrumental to our SRI investments strategies and is a key selection criteria for our green investment strategy and investment offering. Monthly and annual reporting include transition risk assessment data and information. Sycomore AM's aggregated NEC has been computed based on holdings. Results are publicly available on the website. The NEC at the entity level fuels reflexion regarding climate risks, future investment allocation and trajectory.

Since 2015, Sycomore AM has invested a great deal of time and resources in improving the way climate issues are integrated to its SPICE analysis model for any kind of activity. Climate is one of the 5 issues systematically reviewed in the Environment pillar. The SPICE analysis model now includes the specificities of article 173 and the recommendations issued by the TCFD, and in particular the following:

  • Transition risk assessment or the risks associated with the transition towards a low-carbon economy, including the contribution to the Paris Agreement goals and the long-term environmental objectives and the Alignment and Trajectory i.e. the issuer’s strategic alignment with the 2°objective by 2100 (and 2050 as an intermediary check point): these risks are systematically quantified using our Net Environmental Contribution (NEC) metric (see SG 13 CC for more detailed information) and are then integrated into the Environment pillar;
  • Physical risks assessment or the exposure to the physical consequences of global warming: these are monitored in the Environment pillar, under the dedicated section.

The environmental risks and opportunities assessment is part of our SPICE fundamental analysis which directly impacts asset valuation.

Governance and management of climate-related risks are described in the Natural Capital strategy and further details in the SG CC questions. Several key group of people have been instrumental in order to identify the environmental risks and opportunities at different stages of the strategy development and implementation:

  • Sycomore AM top management
  • Sycomore AM risk team
  • Sycomore AM ESG specialists
  • Sycomore AM Strategic Environment Committee chaired by Sycomore's Head of Environmental Strategy
  • Consulting companies and experts on environment and life cycle assessment

The NEC is also fully integrated within the risk management tools and strategy. The risk team have performed various analysis of performance and risk according to various level of transition risks. Our key metric, NEC, is embedded to all risk management and reporting systems. Portfolio holdings are thereby monitored on a monthly basis.

Investment professionals (portfolio manager and analysts) have been trained on the Environmental pillar and on the NEC methodology consisting in 15 value chain frameworks and one general framework. Risk teams as well as sales people have also been trained on the NEC methodology with accurate level of granularity.

 

1.10 CC. TCFD開示を発表するために組織が使用する文書/通信を示してください。

具体的に記入してください。

          Our Natural capital strategy and Annual report named Sycoway as an investor  available on our website.
NEC methodology fully available at www.nec-initiative.org
        

SG 02. Publicly available RI policy or guidance documents

この指標には新しい設問が追加されています。事前に入力されている回答を精査してください。

02.1. 一般に入手できる組織の投資ポリシー文書を記載してください。その文書のURLを記入し、該当文書を添付してください。

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02.2. 一般に入手できる組織の投資ポリシー文書を記載してください。その文書のURLを記入し、該当文書を添付してください。

URL/添付ファイル

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URL/添付ファイル

URL/添付ファイル

Other description (1) In addition to climate, our Environmental Strategy takes into account 4 other categories of environmental impacts: biodiversity, water, air quality and waste

URL/添付ファイル

02.3. 補足情報 [任意]

We publish an annual report on our Responsible Investing activities: https://en.sycomore-am.com/5d64ea9b-RAPPORT_SYCOWAY_AS_AN_INVESTOR_UK_WEB.pdf

Two transparency codes also detail specific ESG exclusion and selection criteria for our SRI labelised funds: 

  • For SRI equity funds: https://en.sycomore-am.com/5e4a5cb9-5._SYCOMORE_-_SRI_equity_funds_-_AFG-Eurosif-FIR_Transparency_Code_2019_ENG.pdf
  • For Sycomore Selection Credit and Sycomore Next Generation funds: https://en.sycomore-am.com/5dcc39e9-5dc5393c-5._SYCOMORE_-_SSC_fund_-_AFG-Eurosif-FIR_Transparency_Code_2018_ENG-OCT_2019.pdf

 

 


SG 03. Conflicts of interest

03.1. 組織として、投資プロセスにおける潜在的な利益相反を管理するポリシーを策定しているかどうかについて明示して下さい。

03.2. 投資プロセスにおける潜在的な利益相反を管理するポリシーについて説明してください。

Sycomore AM's policy regarding potential conflicts of interest is endorsed and supervised by our compliance department, which is composed of 3 people.

Regarding proxy voting, as outlined in the dedicated section of our voting policy:

     We have identified two potential risks that could lead to a conflict of interests: 

  • A board member of the company concerned is also a large client of Sycomore AM or one of its affiliates; 
  • A board member of the company concerned is also an associate or corporate officer at Sycomore AM or one of its affiliates;

   To prevent these risks:

  • Sycomore AM does not deviate from its voting policy, which is drawn up independently from its client relations;
  • None of Sycomore’s associates or corporate officers holds a mandate within the governance bodies of an issuer held in the funds managed by the firm.

03.3. 補足情報 [任意]


SG 04. Identifying incidents occurring within portfolios

04.1. 組織では、投資先企業において発生するインシデントの特定と管理を行うプロセスを設定しているかどうか明示して下さい。

04.2. インシデントを管理するプロセスを説明して下さい

Sycomore AM carries out a full monitoring of the controversies that affect companies in its investment universe, based on very diverse sources including press, NGO, union, sell-side analysis. In addition to these primary sources, we use MSCI ESG controversies research. It enables us to have access to a detailed and qualitative analysis of controversies as well as to get a more homogeneous assessment of controversies among our universe. The monitoring is embedded in our ESG analysis process as it has a direct bearing on a company's ESG rating: each controversy is graded on a 3-point scale depending on its severity, each controversy point lowers the relevant stakeholder group's rating (i.e. the S, P, I, C or E pillar) by 0.1 point. We assess the severity of controversies from 0 to -3 controversy points, based on the perimeter affected, the degree of certainty, the consequences, and the reaction of the company. Every company affected by a -3 rated controversy is excluded from our SRI investment universe. Furthermore, a controversy will trigger an engagement action from our side if the company has not provided adequate answers or taken the necessary actions to manage the controversy.


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