US Institutional Sustainable US Equity

Strategy Highlights

  • Considering environmental, social and governance (ESG) analysis to look beyond the financial statements
  • Investing in companies that positively manage the material impacts of their operations and products on the environment and society
  • Actively omitting companies involved in areas of high social cost, environmental degradation or violators of the UN Global Compact Principles
Learn more about our multidimensional investment philosophy

Strategy Profile

Objective

The strategy seeks to outperform the S&P 500 Index over rolling five-year periods before fees through investment in companies that demonstrate attractive investment attributes, sustainable business practices and have no material unresolvable environmental, social and governance (ESG) issues.

Performance Benchmark

S&P 500

Typical number of equity holdings

30 to 50

Sustainable investment restrictions

Strategies that follow the Newton sustainable investment process are subject to a set of minimum exclusions referred to as ‘sustainable investment restrictions’. These restrictions include companies involved in or that generate a material proportion of revenues from activities that are deemed to be harmful from an environmental or social perspective.

Strategy inception

May 1, 2017

US RI report Sustainable US Equity

Responsible investment report

Stewardship activities (voting and engagement) for the last quarter and ESG metrics.

Download Report

Investment Team

The strategy is managed by an experienced team with a wide range of backgrounds and has dedicated support from Newton’s responsible investment team. In-house research analysts are at the core of our investment process, and our multidimensional research capabilities help to promote better-informed investment decisions.

Want to find out more?

Contact us
Julianne McHugh
Julianne McHugh

Head of sustainable equities

Nick Pope
Nick Pope

Portfolio manager, Sustainable Equity strategies

Your capital may be at risk. The value of investments and the income from them can fall as well as rise and investors may not get back the original amount invested.

Key Investment Risks

  • Objective/Performance Risk: There is no guarantee that the strategy will achieve its objectives.
  • Currency Risk: This strategy invests in international markets which means it is exposed to changes in currency rates which could affect the value of the strategy.
  • Geographic Concentration Risk: The strategy primarily invests in a single market which may have a significant impact on the value of the strategy.
  • Derivatives Risk: Derivatives are highly sensitive to changes in the value of the asset from which their value is derived. A small movement in the value of the underlying asset can cause a large movement in the value of the derivative. This can increase the sizes of losses and gains, causing the value of your investment to fluctuate. When using derivatives, the strategy can lose significantly more than the amount it has invested in derivatives.
  • Emerging Markets Risk: Emerging Markets have additional risks due to less-developed market practices.
  • Investment in Smaller Companies Risk: This strategy may invest in the smaller companies. The securities of smaller companies may possess greater potential for growth, but can also involve greater risks, such as limited product lines and markets, and financial or managerial resources. Trading in these securities may be subject to more abrupt price movements and greater fluctuations in available liquidity than trading in the securities of larger companies.
  • Sustainable Strategies Risk: The strategy follows a sustainable investment approach, which may cause it to perform differently from strategies that have a similar objective but which do not integrate sustainable investment criteria when selecting securities.

Insights

Defence stocks and ESG
Blog

Defense Stocks and ESG

We outline the key ESG issues related to defense and how we integrate these in our investment approach.
August 22, 2022 Sakshi Bahl