At Mandatum, taking sustainability aspects into consideration is part of investment operations. Sustainability is integrated into the investment analysis, taking into account the special characteristics of each asset class. The assessment of sustainability factors follows the same principle as the selection of investments: the focus is directly on the company, and the decision is based on an analysis of the company and its sector.

Mandatum’s approach

1. In the investment analysis, the aim is to identify and assess all material risks and opportunities related to responsibility and sustainability for each investment object.
2. The investment object analysis considers the impacts of sustainability factors on the company’s business and financial value. In addition to the business sustainability perspective, the analysis also includes an impact assessment.
3. One of the methods used in responsible investment is exclusion. Certain industries are considered to carry more sustainability risks and cause more adverse sustainability impacts than others. Investments in industries identified as sensitive are regularly monitored in order to identify and quantify any sustainability risks.
4. Sustainability factors of investments are monitored based on asset class specific criteria.
5. Together with the investee company, their identified risks related to sustainability and responsibility are mitigated. Pooled engagement is used especially if it is believed that it can be an effective means of achieving a desired change in the investee company.
6. Mandatum regularly releases sustainability reporting on its investment operations.

Management of investments

Mandatum’s Responsible Investment Policy defines the company’s responsible investment principles and is binding for the entire personnel. The policy describes the minimum level of measures to be taken to address sustainability risks and adverse sustainability impacts. Certain products may be subject to stricter principles and engagement procedures. The policy is reviewed and updated annually.

Responsible Investment Policy

Mandatum complies with its policy concerning voting rights and engagement, which presents the judicial and regulatory requirements and the related measures that Mandatum follows in order to meet its obligations concerning shareholder engagement and the use of voting rights as prescribed in the Shareholder Rights Directive and other regulatory requirements concerning the issue.

Mandatum Asset Management’s Engagement Principles
Information on Mandatum Asset Management’s Services

Policies on sustainability risks

Mandatum has published the information required in Article 3 of the SFDR on its policy on the integration of sustainability risks into the investment decision-making process and investment advice along with the information required by Article 5 on how the Group's remuneration policy aligns with the integration of sustainability risks on its website.

Read more here.

Group companies' statements on the principal adverse impacts of investment decisions on sustainability factors (SFDR)

Sustainability Preferences

Read more about responsible investment on Mandatum Asset Management’s website.