Fondita Sustainable Europe

Fondita Sustainable Europe has sustainable investment as the goal. This objective is primarily achieved through the fund’s strategy of exclusively investing in companies whose product or service contributes to the reduction of our CO2 emissions, and/or a more efficient use of our natural resources. We also expect the companies in which the fund invests in, to act responsibly regarding their own impact on the environment, and to bear their social responsibility. Additionally, we expect good corporate governance from them.

In investment decisions, environmental and social aspects and related risks are considered. Fondita’s definition of an ESG risk is the risk of an E (environmental), S (social) or G (governance) incident occurring that is so serious that it has a significant negative impact on the share price. This also refers to how exposed a company is to the effects of climate change depending on its geographical location and its general business activities.

The fund applies an include/exclude approach, meaning that the fund managers systematically include and exclude companies whose operations fail to comply with the fund’s investment strategy and sustainability ambition. Furthermore, the fund may exclude certain controversial sectors and companies that violate the UN Global Compact Principles. The ESG analysis of the companies is carried out collectively by the ESG team and the Fund’s manager. The fund has no official benchmark index as such but is often presented in conjunction with the MSCI Europe Climate Paris Aligned Index.