Responsible Investing

Magellan is committed to responsible investment. Environmental, Social and Governance (ESG) issues are a natural component of Magellan’s investment process, as gaining a robust understanding of these issues is a key part to assessing the outlook for future earnings and risks.

Over the years, we have taken steps that highlight our commitment to responsible investing.

  • In 2012, we became a signatory to the UN Principles of Responsible Investment, the globally recognised accord for responsible investing.
  • In 2016, we launched the first of a series of Low Carbon strategies that implement a proprietary low-carbon overlay. We offer these strategies because we expect the world will take more steps to address climate-change risks by reducing carbon emissions and these measures have the potential to profoundly alter business models.
  • In 2017, Magellan became a signatory of the UNPRI’s Montreal Pledge. Under the Pledge, Magellan commits to measure and disclose the carbon footprint of its actively managed investment portfolios. The latest disclosures can be found in the table below.

 

    Carbon footprint as at 30 June 2017
(tonnes co2e per $us million revenue)
Magellan Global Fund   26.6
Magellan High Conviction Fund   25.7
Global Low Carbon strategy   27.7
US Low Carbon strategy   27.9
MSCI World Index   200.1

Note: Portfolio carbon intensities are calculated using the weighted average carbon intensity method.

Magellan considers proxy voting rights as an important power, which if exercised diligently can enhance client returns. Magellan maintains a Proxy Voting Policy and a set of Corporate Governance Principles that outline its approach to proxy voting and engagement with companies.

To learn more, click on the relevant Magellan policy below: