The Best-in-Class analysis guarantees that we only invest in companies managing best their sector-specific sustainability-related challenges. This approach is based on the idea that while financial results published periodically provide a true picture of a business in the short and medium term, sustainability related-challenges are source of risks and opportunities which are reflected in longer-term results. These sustainability-related challenges are approached from two distinguishable, but interdependent, angles via Macro and Micro analyses.

First, the Macro analysis assesses companies’ exposure (e.g. products, services…) to Global sustainability trends. Global sustainability trends are long-term trends that might strongly influence the business environment in which companies evolve and might shape future market challenges and long-term growth.

Secondly, the Micro analysis assesses companies’ ability to take stakeholder interests into account in their long-term strategies.  Relations with stakeholders are a source of risk and opportunities that can affect companies’ long-term value.

Based on the resultant scores obtained via these two-dimensional analyses, companies in each sector are plotted on a graph, as illustrated below:

Companies with both a high Macro- and Micro scores are eligible for Sustainable and Responsible Investments.

• The Best-in-Class equity universe is composed of the top 35% of equity issuers.
• The best-in-class bond universe is composed of the top 50% of bond issuers.