69É«ÇéƬ

Integrating Sustainability

We understand that sustainability is core to evaluating a company’s long-term viability,  profit potential, and return on investment. 69É«ÇéƬ's Investment Team integrates sustainability concerns into our rigorous research, analysis, and ongoing monitoring of current and potential fixed-income assets. We take a fundamental sector-by-sector and investment-by-investment approach to partner with our investees to evaluate, not only their current environmental, social, and governance activities but also their efforts to transition to more sustainable impacts. Our Investment Team continues to advance our strategic sustainable investment approach in the following ways:

• Environmental Risks and Opportunities – We routinely assess forward-looking climate transition and physical risks and identify the risks associated with laggards within sectors, and the opportunities to invest in leaders who are proactively managing their carbon footprint and adapting business models in response to climate change.
• Social Risks –&²Ô²ú²õ±è;We may assess the impact of reputational risk on a company’s business prospects from reports of human rights violations or restrictive or discriminatory labor practices.
• Governance Risks – We review the strength of an organization’s enterprise-wide risk management framework, its track record in legal and regulatory compliance, and the quality of disclosure and reporting, all of which can be leading key risk indicators of future developments that may negatively impact a company’s creditworthiness and valuation.