876511502

OUR APPROACH TO RESPONSIBLE INVESTING

For us, sustainability is about achieving today’s goals without compromising the ability of future generations to do the same.
It’s about providing the most effective services and products to our clients, helping them make the most of their wealth, without harming the environment and society over time.

 

876511502

 

OUR APPROACH TO RESPONSIBLE INVESTING

For us, sustainability is about achieving today’s goals without compromising the ability of future generations to do the same.
It’s about providing the most effective services and products to our clients, helping them make the most of their wealth, without harming the environment and society over time.

 

1197913361


INVESTMENT PROCESS
 

Responsible investing is one of the three main pillars that collectively underpin our investment process, along with managing risk and managing costs.

We believe that responsible corporate behaviour with respect to ESG factors can generally have a positive influence on long-term financial performance. We therefore recognise that a broad range of financial and non-financial considerations may be relevant in making investment decisions. 



 

 

1282658135


OUR PHILOSOPHY
 

We take a pragmatic approach when applying our responsible investment principles, which may at times have to be adapted to the relevant financial and legal environment of a particular company.

At the very least, we expect all companies in which we invest to comply with the laws and regulations that apply to them.






 

160192483


HOW WE DO THIS
 

Before making any investment decisions, we assess ESG risks and opportunities. We look to identify and mitigate ESG factors that are, or could become, material to long-term financial performance. These risks are monitored throughout the life of the investment.

Funds managed by third parties make up a significant proportion of our client portfolios. When selecting these funds, we undertake due diligence and analyse the performance of each manager, which includes assessing their approach to responsible investing and stewardship, and the degree to which they adhere to our approach and responsible ownership principles.

We monitor progress through regular reports from the asset managers, as well as annual reviews with them.

1197913361


INVESTMENT PROCESS
 

Responsible investing is one of the three main pillars that collectively underpin our investment process, along with managing risk and managing costs.

We believe that responsible corporate behaviour with respect to ESG factors can generally have a positive influence on long-term financial performance. We therefore recognise that a broad range of financial and non-financial considerations may be relevant in making investment decisions. 

 

1282658135


OUR PHILOSOPHY
 

We take a pragmatic approach when applying our responsible investment principles, which may at times have to be adapted to the relevant financial and legal environment of a particular company.

At the very least, we expect all companies in which we invest to comply with the laws and regulations that apply to them.
 

160192483


HOW WE DO THIS
 

Before investing directly in equities, we assess ESG risks and opportunities. We look to identify and mitigate ESG factors that are, or could become, material to long-term financial performance. These risks are monitored throughout the life of the investment.

Funds managed by third parties make up a significant proportion of our client portfolios. When selecting these funds, we undertake due diligence and analyse the performance of each manager, which includes assessing their approach to responsible investing and stewardship, and the degree to which they adhere to our approach and responsible ownership principles.

We monitor progress through regular reports from the asset managers, as well as annual reviews with them.

What is ESG?

Key responsible investing terms and what they mean.

 

SUSTAINABILITY

This means achieving today's goals without compromising the ability of future generations to do the same. In an investing context, it means striving to provide financial returns without negatively impacting the environment and society over the long term.

 

ESG

Stands for Environmental, Social and Governance - the three key categories that investors use to classify the topics they address to create a sustainable future. 

 

SOCIAL

The impact a company has on society. This includes how it treats staff, making sure supply chains avoid unethical labour practices, and the health impact of its products.
 

CARBON INTENSITY

Standard measure of how much carbon a company emits per million dollars of revenue. 
 

CLIMATE ACTION 100+

A global body, run by five leading environmental organisations, with the world's biggest corporate greenhouse gas emitters firmly in its sights. It works with investors to ensure the relevant companies take appropriate action to tackle climate change.
 

THE UK STEWARDSHIP CODE

Created by the Financial Reporting Council, the code aims to enhance engagement between investors and companies.

 

Environmental

The impact a company has on the environment. This includes carbon emissions, deforestation, water usage and packaging. 
 

GOVERNANCE

The impact a company has on the business environment. This includes its accounting practices, how it negotiates with suppliers, its attitude to diversity and how it contributes to a fair and stable market environment. 
 

LOW CARBON ECONOMY

An economy that sees the energy businesses need to operate generated from renewable, sustainable sources such as wind, water and solar power. 
 

THE PARIS AGREEMENT

A United Nations agreement - also known as COP 21 - which sets out an action plan to limit global warming to well below 2 degrees Celsius.
 

PRINCIPLES FOR RESPONSIBLE INVESTMENT (PRI)

The world's leading organisation on responsible investing, the PRI encourages investors to use responsible investment to enhance returns and better manage risks. It is an independent body that's supported by the United Nations.

 

 

OUR journey of responsibilty

COUTTS SUSTAINABILITY MILESTONES PAST, PRESENT AND FUTURE

We have a strong track record on responsible investing and a clear plan of action for the future.
 


When investing, the value of your investments, and the income you receive from them, can go down as well as up and you may not get back as much as you invested.
 

News & Insights

  • Coutts Investment Outlook 2021 | Coutts Private Bank

    • Investments
    15 Jan 2021
    The coronavirus pandemic has accelerated trends that were emerging slowly before the outbreak and the UK has begun a new relationship with Europe. We’re positioning our clients’ investments for a recovery, but anyone expecting a simplistic ‘back to normal’ in 2021 could be caught flatfooted.
  • UN-backed body gives Coutts highest possible score for responsible investing

    • Equities
    • Environment
    • UK
    • Coutts Invest
    • Investment
    • Portfolio
    • Bonds
    • Investments
    • Trends
    • Sustainability
    18 Aug 2020
    Bank achieves strong sustainability scores across the board
  • Being Responsible on Purpose

    • Markets
    • Investment
    • Economy
    • Business
    • Investments
    • Politics
    27 Nov 2020
    Our latest quarterly report on responsible investing highlights something that’s become vital for businesses to define – their purpose.

Become a Client

When you become a client of Coutts, you will be part of an exclusive network.