Investment Philosophy

We believe that to gain mainstream adoption, sustainable investment should not come at the cost of financial returns

Investment Philosophy

At the heart of our philosophy is the belief that sustainable investment should not come at the cost of financial returns.

We believe that environmental metrics, if quantifiable and objective in nature, can be applied in a systematic fashion to mainstream portfolios to generate alpha for our clients.

Climate change and pressure on natural resources, coupled with growing societal awareness is forcing corporates to implement sustainable production and business processes.

We believe that those companies that are mre resource efficient, having effectively monetised sustainability to the balance sheet, are more likely to outperform their peers over the long term.

Quite simply, doing MoRE with less will be rewarded.

Please read our ESG Policy.

Engagement Policy

At Osmosis, we believe in being good corporate citizens and striving for ‘best practice’ standards while recognising our fiduciary responsibilities.

We accept the responsibilities of share ownership; we will not be passive stock-holders.

We believe that our ESG policy should recognise societal issues and reflect financial threats to our investments.

We believe that exclusion is the engagement option of last resort to be adopted only after we can demonstrate that all other approaches have failed.

We augment our own engagement projects by partnering with other organisations to collaboratively encourage best practice by companies around the world. These partners include the CDP and Climate Action 100+ (CA100+).

Please read our engagement policy.

In respect of environmental issues

We believe that when a company starts to disclose their environmental data, they will strive to manage and reduce their resource consumption, these efficiencies will benefit shareholders and the environment alike.

We engage with companies to publicise their consumption of energy and water along with their production of waste. Companies that don’t disclose, or that have stopped disclosing, are targeted on an ongoing basis to stress the importance of this data.

We aim to work continuously with companies to improve the quality of their environmental data ideally to a common standard and in ways that should generate improvements in our investment processes.

We initiate conversations with companies about how their business models align with a 2-degree world, a water secure world and a circular economy.

Active Ownership

We recognise that our duty extends beyond being responsible investors to acting as responsible owners of the companies and assets in which we have invested. We operate a climate orientated voting policy across all of our pooled funds. The policy utilises independent proxy advisory firm ISS to promote our sustainable climate ambitions and support best practices in regard of all environmental, social and governance issues.

ISS’ specialty Climate Voting Policy is based on principles consistent with good stewardship that incorporate specific climate change relevant information, flags, and voting recommendations, which institutional investors can use to apply their views on a portfolio company’s climate performance and disclosure. In the case of individual mandates Osmosis works with investors, where desired, to ensure that their own individual proxy voting strategies are enacted.