Desjardins uses a number of RI strategies to influence companies and industries to improve their environmental, social and governance (ESG) practices. These strategies include enhanced stock selection based on ESG criteria, and shareholder engagement, which allows portfolio managers to engage in dialogue with companies that they invest.
Here are some examples of companies we invest in through our RI portfolios1 with the aim of creating positive impacts on our communities and our planet:
We decided to include a green bond by Apple in the Desjardins SocieTerra Environmental Bond Fund. Green bonds are issued by governments and companies to finance projects focused on the energy transition. In the case of Apple, the tech giant is supporting efforts to engineer a new type of aluminum alloy made of 100% recycled materials. This innovation will not only reduce the need for new materials, but it will also lower Apple's carbon footprint by reducing the amount of aluminum required to manufacture its products.
The Desjardins SocieTerra Cleantech Fund holds investments in Tomra Systems, a company that develops collection and recycling solutions and sorting technology for the food and mining sectors. Tomra's actions are helping optimize resource recovery and reduce food and recyclable waste while promoting the development of the circular economy. Its solutions prevented approximately 25 million tonnes of CO2 emissions in 2017, and around 715,000 tonnes of metal are recovered annually thanks to its metal recycling technology.
The Desjardins SocieTerra American Equity Fund has held this company's stock since the fund's creation, and the company has even asked the Fund's portfolio manager for feedback on its environmental and governance practices. Ecolab specializes in water technologies and develops solutions to reduce, reuse and recycle water. The company manages 1.3 trillion litres of water annually and helps ensure the safety of 27% of the world's processed food and 42% of global processed milk.
For more information on ESG criteria, visit - External link. This link will open in a new window.LetsThinkRI.com.
1 Desjardins Funds are not guaranteed, their value fluctuates frequently, and their past performance is not indicative of their future returns. Commissions, trailing commissions, management fees and other expenses all may be associated with mutual fund investments. Please read the prospectus before investing. Desjardins Funds are offered by registered dealers.