Pure SRI Database

Pure SRI database

 

Best of SRI funds selection is achieved thanks to the internally-developed database PureSRI, created to map the European industry of SRI funds.

 

PureSRI includes approximately 400 funds “pure SRI” funds and is composed by:

  • Approximately 150 SRI bond funds, with a total AUM of EUR 25 Billion
  • Approximately 250 SRI equity funds , with a total AUM of EUR 45 Billion
  • 30 balanced and flexible funds, with a total AUM of EUR 5

 

A continuous update is carried out by our team of analysts in order to grant strict selection criteria.

The database focuses on European UCITS funds that:

  • Apply one or more SRI strategies, not focusing solely on exclusions
  • Explicitly integrate extra-financial criteria in their investment process
  • Describe the integration of ESG criteria in the prospectus or in legal documents

 

 


 


Basic SRI Strategies and Pure SRI database

 

The benefit differentiating PureSRI database from existing ones must be found in the choice not to be conditioned by rebranding operations of some funds -in the wake of the growing interest in sustainable strategies.  Funds selected by PureSRI on the contrary, include other selection parameters in addition to ESG strategies.

Basic SRI Strategies

 

1. Exclusion: is an approach that excludes specific investments or classes of investment (i.e. companies, sectors or entire countries) from the investment portfolio. Exclusion is based on a negative screening.

 

2. ESG Integration: It is the explicit inclusion of ESG risks and opportunities into traditional financial analysis and investment decisions.

 

3. Best in Class: it is an approach where leading or best-performing investments (within a category or class) are selected or weighted based on ESG criteria.

 

4. Norm-based screening: to invest in companies respecting international principles and agreements (ex. United Nations supported Principles for Responsible Investing).

 

5. Engagement and Voting: it is based on engagement activities and active ownership through voting of shares and engagement with companies on ESG matters.

 

6. Sustainability themed: it is an investment in themes or assets linked to the implementation of sustainable measures. Thematic funds focus on specific or multiple issues related to environmental and social sustainability, as well as the implementation of measures that foster good governance. (ex. water, green bonds etc.).

 

7. Impact investing: relates to investments made in companies, organizations and funds with the intention of generating social and environmental positive impact.

 

Do you want to discover more about our investment process and strategy? Our experts are at your disposal at bestsri@farad-group.com