Our world today is shaped by new realities.
Global trends – ranging from environmental concerns such as climate change to evolving societal expectations and increasing regulation – have fundamentally altered not just our daily lives but also the investment landscape.
With trillions of dollars being channeled towards investments that consider the impact of business practices on the environment and society, new opportunities have emerged as companies adapt to meet stricter regulatory requirements and consumers’ growing awareness of environmental, social and governance (ESG) considerations.
Sustainable investing, which incorporates ESG considerations into traditional investment strategies, has now entered the mainstream. This approach enables you to better manage risks, unlock unrealised value and tap new opportunities – while playing your part for a better world. In short, sustainable investing helps you build a portfolio that performs with purpose.
Sustainable investing enables you to better manage risks, unlock unrealised value and tap new opportunities – while playing your part for a better world.
Issues concerning the natural world,
such as
Issues related to the
wellbeing of people, such as
Issues relating to how companies are run, such as
Source: CFA Institute
Doing good for society does not come at the expense of returns. Organisations across sectors are finding that operating sustainably, in line with public opinion, comes hand-in-hand with profits and business growth. This means sustainable investing is here to stay.
Steer clear of companies which are exposed to hidden risks due to potential ESG issues
Invest in companies that help address the world’s largest issues, as these companies are more likely to stay relevant and deliver growth and returns in the future
Put your money towards building a
better world
We recognise the importance of balancing risks and returns.
Our unique Risk-First Approach ensures that you understand your risk appetite as the starting point in your wealth journey. This means we first identify how much risk you are able and willing to take, before considering the returns you would like to achieve. This way, you avoid taking excessive risks in your journey towards your financial goals.
The first step in wealth planning is to the wealth you have worked hard to accumulate.
Knowing you and your loved ones are protected then gives you peace of mind to your wealth with the appropriate asset allocation.
We partner with firms that are well-respected specialists in their respective fields to provide, screen, score or monitor sustainable investment products for you.
Our specialist partners include:
Working with renowned specialists in each area helps ensure we provide the strongest sustainable investment options to our clients, backed by robust criteria and methodologies. For more information, please explore our different sustainable investment solutions.
Our Risk-First approach guides the selection of sustainable investment solutions that we offer across different asset classes to suit various investor profiles, goals and risk appetites.
These solutions reflect an understanding of your need for long-term and allow you to invest in companies that have changed their business models to make a positive impact both environmentally and socially.
that invest in companies which are meeting the demands of the new world and making a positive impact on our environment and society.
of companies that have raised funds to finance environmental and climate-related projects
linked to underlying assets that have embedded ESG considerations as part of their business models and processes.
that invest in companies which are meeting the demands of the new world and making a positive impact on our environment and society.
Allianz Global Sustainability is a fund that invests in quality global stocks with sustainable growth, at reasonable valuations, while also aiming to have a positive and measurable impact on society.
Launched in 1999, the fund is one of the oldest and best-rated sustainable investing funds in the market. It is backed by a stable, experienced investment team and has delivered long-term consistent performance.
In addition to seeking long-term capital growth, the fund also aims to provide a stable income stream from monthly dividends.
Source: Allianz Global Investors. There is no guarantee that these investment strategies and processes will be effective under all market conditions and investors should evaluate their ability to invest for a long-term based on their individual risk profile especially during periods of downturn in the market.
The United Sustainable Credit Income Fund provides diversified exposure to global bonds and other credit markets and aims to maximise income throughout market ups and downs. Companies are evaluated so as to exclude those with a negative impact on the United Nations Sustainable Development Goals (SDGs).
The fund invests in the RobecoSAM SDG Credit Income as its underlying fund, which is managed by Robeco, a specialist at the forefront of sustainable investing since 1990. Robeco’s fixed income team is one of the largest in Europe, consisting of more than 30 investment professionals with an average of 18 years of experience.
The fund aims to provides a steady income stream distributed on a monthly basis, with the objective of maximising income throughout market ups and downs.
The underlying fund has the flexibility to invest in the most attractive opportunities across sectors and regions. A prudent approach is taken so as to generate stable, recurring income for investors across market cycles.
Finding opportunities throughout market ups and downs
Source: Robeco. These examples are for your information purposes only and are not intended to be investment advice in any way. The value of your investments may fluctuate. Results obtained in the past are no guarantee for the future.The underlying fund applies a proprietary measurement framework to quantify companies’ contributions to the 17 United Nations Sustainable Development Goals (SDGs) and will not invest in bonds of corporates which detract from these goals or have a negative SDG rating.
United Nations Sustainable Development Goals
Source: United Nations
Schroder ISF Global Climate Change Equity is an actively-managed thematic fund that captures opportunities around the world by investing in companies that stand to benefit from efforts to transition to a low-carbon economy.
The fund has been successfully running since 2007 and is one of the pioneers in its field. It benefits from the expertise of investment professionals with experience in sectors like technology, energy and utilities — exactly the ones set to be impacted by climate change.
The fund also draws on the expertise of a dedicated sustainability team that understands the science of climate change and its impact on economic trends and a team of data scientists to help unearth companies whose growth potential is still unrecognised by the market.
The fund typically invests in 40-80 stocks of companies exposed to five main investment themes:
Clean Energy
Renewable energy sources now account for nearly two-thirds of net new power capacity globally. With renewable energy becoming cheaper to develop than other forms of power generation, the rapid growth of the industry is set to continue.
Source: IEA World Energy Statistics, 2017
Sustainable Transport
Investment opportunities for sustainable transport go beyond electric vehicles. They extend across the value chain to include not only companies that supply the vehicles, but those making batteries and infrastructure, such as charging points.
Environmental Resources
The fund identifies companies at the forefront of areas such as water infrastructure, biofuels, carbon removal/storage and agricultural productivity which play a critical role in helping us manage our use of the earth’s resources — a crucial part in meeting the climate change challenge.
Low-Carbon Leaders
As climate change will impact every company and industry, the fund identifies low-carbon leaders across a wide variety of sectors and regions that have technologies, production processes, products or even a corporate culture that sets them apart in terms of dealing with the challenge of climate change.
Energy Efficiency
To meet climate change targets, it is important that there is investment in new energy-efficient products and technologies. This involves developing new processes and using new lightweight materials, such as aluminium.
For illustrative purposes only and does not constitute to any recommendations to invest in the above-mentioned companies/industries/regions.
BNP Paribas Energy Transition invests in all-cap companies globally that seek to take advantage of the energy transition by investing in three areas that, we believe, are central to its success:
Its long-only approach could potentially generate higher returns in exchange for greater volatility.
BNP Paribas Energy Transition is recognised as a 'best in energy sector equity' fund1 and contributes to three Sustainable Development Goals (SDGs).
1Benchmark, Fund of the Year Awards 2020, reflects the performance from 1 July 2019 to 30 June 2020
of companies that have raised funds to finance environmental and climate-related projects
A green bond is a fixed-income instrument that is specifically earmarked to raise money for climate-related or environmental projects. Green bonds can finance projects for:
Green bonds are typically asset-linked and backed by the issuing entity’s balance sheet. They therefore usually carry the same credit rating as their issuers’ other debt obligations.
UOB offers you a curated list of high-quality green bonds, with different tenors to suit your preferred time horizon.
The green bonds we offer are selected from the Bloomberg Barclays MSCI Global Green Bond Index, which has been voted the best index for the fourth year running by Environmental Finance, a leading news and analysis service dedicated to sustainable investing and green financing.
Constituents of the index are rigorously assessed on the ongoing environmental impact of the green projects the bond proceeds are used for, among other factors.
Since its inception in 2014, the Bloomberg Barclays MSCI Global Green Bond Index has also outperformed the broader bond market in terms of its total returns.
This includes screening for probability of default, fair value assessment, and technical analysis.
This additional layer of screening ensures that we only offer you the highest-quality green bonds that provide stable cash flow outcomes and potential returns that commensurate with the risk you take.
linked to underlying assets that have embedded ESG considerations as part of their business models and processes.
A structured note is a flexible investment solution, where the payoff is linked to the performance of a chosen basket of underlying assets.
Structured notes are fully customisable and can be tailored to your specific values, interests, market views and risk appetite.
UOB is a leader in structured notes, with strong industry recognition for our advisory approach, distribution coverage, partner management, solutions and capabilities.
Structured Retail Products Asia Pacific Awards
BEST DISTRIBUTOR, SINGAPORE,
SOUTH AND SOUTHEAST ASIA 2021
We offer structured notes linked to the equities of companies with strong ESG ratings.
These sustainable companies are evaluated, screened and ranked by our partner Societe Generale’s responsible investments research team, a recognised leader in the field that issues quantitative ESG rankings to over 4,000 stocks worldwide. This evaluation also harnesses raw data tracked by Sustainalytics, the world’s largest independent provider of ESG research.
Of all the sustainable investment offerings we carry, our structured notes have the greatest scope for customisation.
You have full control over what kind of companies to link your payoff to. You could choose companies grouped according to ESG themes you find compelling, such as those involved in clean energy or global healthcare. Or you could choose to link your structured note to certain green companies, for instance, those involved in advancing clean energy, clean water or resource conservation.
Choose the time horizon for these linked assets, ranging from a month to 24 months.
Your structured note can also be specially designed to suit your individual risk appetite and investment objectives. You can choose from structured notes falling into any of the broad categories depicted below, each with differing potential risks and returns.
Contact us today to explore which options best suit you and your portfolio.
