Is it OK to ask

“What do I get out of ESG?”

Actually it’s imperative.

LET’S

TALK

ESG

Questions Before Answers. Solutions Before Products.

Developing the right strategy starts with understanding what environmental, social, and governance (ESG) means to our clients. At Natixis Investment Managers, our approach to ESG begins with a deep dive into our client’s objectives. We work in a consultative approach to create a solutions-based approach to help meet them, drawing on the expertise of our 20+ independent asset managers.

Ready to Talk? Let's Start the Conversation.

Why choose us as a partner?

Unique multi-affiliate structure

 

Many of our affiliates have a different way of integrating ESG — this diversity helps us match the expertise of our affiliates with the needs and objectives of our clients

Specialized capabilities

 

We offer a single point of access to over 20 high-conviction investment managers with expertise and capabilities across a wide range of regions, themes and asset classes

Flexible partner

 

We start with a deep dive into clients' objectives to develop a tailor-made, solutions-based approach to match their specific needs

Active owners

 

We are active owners which means we actively exercise the rights of our clients as shareholders through dialogue, engagement and voting

A clear commitment across the group

Most of our affiliated investment managers (Affiliates) are signatories to the Principles for Responsible Investment (PRI) and have incorporated ESG considerations into investment analysis and decision-making processes.

By signing the PRI,3 these Affiliates commit to integrating ESG across their approach –into investment analysis and decision-making, as well as ownership policies and practices.

Overarching principles and expectations

We encourage each Affiliate to integrate ESG into their investment decisions, act as active owners (where relevant) and report regularly on their strategies. We encourage our Affiliates to be active in sustainable and impact investment strategies.

A unique structure of specialized Affiliates

While most Affiliates offer ESG integration, some go a step further and offer sustainable or impact investment funds. Typically, these funds are based on positive screening or on themes focused on specific ESG issues, such as water management, job creation, smart cities or climate change.

An active approach to ownership and stewardship

We encourage all Affiliates to act as active owners and our Affiliates regularly vote on more than 87% of their AUM1. Additionally, as a group we take part in multi-lateral initiatives. Through these initiatives, we can advance issues of concern to the whole investment industry, such as climate change.

Take a Deeper Dive Into the Evolving Landscape of ESG

Research & Reports

Everyone’s on the bandwagon, but where’s it actually going?

Learn more

Tools & Services: ESG Portfolio Clarity

A bespoke portfolio assessment service

Learn more

Investor Education: Diversity in Asset Management

Staying ahead of investor expectations

Learn more

Your objectives. Our solutions.

We offer a wide range of strategies to address different objectives, including values alignment, impact, outperformance, regulatory compliance, and risk management.

ESG Investing Solutions

Better World or Better Returns? ESG Investing Can Potentially Mean Both.

Investing in ESG strategies doesn't have to mean choosing between profit and personal values. Sustainable investing can be both a means - and an end. In terms of determining if they're implementing ESG considerations to be a better investor or make a better world, the answer from institutional investors appears to be yes.4 No matter what the objectives, we have a range of ESG solutions designed to help our clients achieve them.

ESG can be both a means — and an end

Active
ownership

Best-in-class
selection

ESG
integration

Exclusionary
screening

Involves entering into a dialogue with companies on ESG issues and exercising both ownership rights and voice to effect change.

Prefers companies with better prospects of or improving ESG performance relative to sector peers.

Refers to strategies2 that integrate ESG factors into fundamental analysis to pursue alpha and manage risk, or may use sustainable themes to identify investment opportunities. Certain ESG strategies may also seek to exclude specific types of investments.

Refers to avoiding securities of companies or countries on the basis of traditional moral values and standards and norms.

Understanding Today's ESG - Glossary of Terminology
(expandable)

ESG (environmental, social, governance) is widely used in the investment industry to describe three types of non-financial factors that may affect the financial performance of a company or a security:

  • Environmental may include factors related to renewable energy, lower carbon emissions, water management, pollution control and other ecological concerns.
  • Social considerations may relate to labor practices, human rights, corporate social responsibility, data protection, selling practices or corporate supply chains.
  • Governance issues can include the composition of boards of directors, corruption policies, auditing structure, executive pay or shareholder rights.

Active ownership involves entering into a dialogue with companies on ESG issues and exercising both ownership rights and voice to effect change.

Best-in-class selection prefers companies with better prospects of or improving ESG performance relative to sector peers.

ESG integration refers to strategies that integrate ESG factors into fundamental analysis to pursue alpha and manage risk, or may use sustainable themes to identify investment opportunities. Certain ESG strategies may also seek to exclude specific types of investments.

Exclusionary screening refers to avoiding securities of companies or countries on the basis of traditional moral values and standards and norms.

Thematic investing refers to investing that is based on trends, such as social, industrial, and demographic trends.

Let’s Start the Conversation

Explore how ESG strategies can help uncover new opportunities, manage risks, and create the potential for better outcomes in portfolios.

Ready to Talk? Contact Us.

1 Internal data aggregated at Natixis Investment Managers level and weighted by AUM.
2 Approach to ESG integration varies by Affiliate. ESG integration doesn’t necessarily imply that investment vehicles also seek to generate a positive ESG impact. Not all affiliated investment managers integrate ESG considerations into decision-making to the same extent. Investors should review offering documents before investing in any strategy to fully understand the ESG integration practices used by that investment manager.
3 Affiliated investment management firms that are signatories to the Principles for Responsible Investment (PRI). PRI signatory firms demonstrate a commitment to adopt and implement the PRI, where consistent with fiduciary responsibilities. Affiliated firms that are PRI signatories oversee $1,309.8B / €1,130.2B / £971.3B (or 94 percent) of Natixis Investment Managers assets as of September 30, 2021. The PRI were developed by an international group of institutional investors with the support of the United Nations Secretary General. They are voluntary and aspirational, offering a menu of possible actions for incorporating environmental, social, and corporate governance (ESG) issues. Being a PRI signatory, however, does not alone indicate or explain the ESG investing or proxy-voting practices of any affiliated investment manager. Portfolios are actively managed and the level of engagement varies between them. Portfolio holdings may not always be equally weighted among the three ESG lenses, and voting may not always align with the ESG goals of all shareholders. Investors should always review the offering documents on im.natixis.com before investing in any strategy to fully understand the methods and extent an investment manager incorporates ESG factors into their investment and voting decisions.
4 Natixis Investment Managers, Global Survey of Institutional Investors conducted by CoreData Research in October and November 2020. Survey included 500 institutional investors in 29 countries.

SI Disclosure: Sustainable investing focuses on investments in companies that relate to certain sustainable development themes and demonstrate adherence to environmental, social and governance (ESG) practices; therefore the universe of investments may be limited and investors may not be able to take advantage of the same opportunities or market trends as investors that do not use such criteria. This could have a negative impact on an investor’s overall performance depending on whether such investments are in or out of favor.

Generally, “we” or “us” mentioned above refer collectively to Natixis Investment Managers and Affiliates (though context may differ).

This material is provided for informational purposes only and should not be construed as investment advice.

All investing involves risk, including the risk of loss. Before investing, consider the fund’s investment objectives, risks, charges, and expenses.

3897688.2.1