During 2020 we reassessed the outlook for every stock held as well as performing a thorough reassessment of their balance sheet position and available liquidity assuming the COVID-19 related downturn persists for some time. This has led to a number of companies being sold or positions reduced with capital being reinvested in less cyclical businesses with strong asset backing where valuation has become attractive with the market weakness. What has been surprising is the ease at which we have been able to sell those positions where we no longer want exposure into the market strength.Being more conservatively run companies, many of our new positions have not outperformed the market recovery to date but we believe they are well positioned.
See attached for the full report
Ethical Partners are pleased to see Australia take the next steps to implement mandatory climate reporting with the release of draft climate standards, which we provided feedback on.
Ethical Partners have continuously called for the provision of high quality, comparable data on company’s climate governance and carbon metrics, which we believe is imperative for investors to fulfil the potential of responsible investment.
Ethical Partners have been proud to have been active supporters of the TNFD Forum over the past few years, and to provide regular feedback on the development of the official TNFD recommendations, which were launched in December, as well as to be active members of the RIAA Natural Capital Working Group.