Feb 2019

AMP Capital’s approach to ESG – The what, why and how

AMP Capital is one of the longest-standing managers of responsible investment funds in Australia.

Understanding how a range of environmental, social and governance (ESG) factors may affect an investment has long been an integral part of AMP Capital’s investment process.

Long before becoming one of Australia’s first signatories to the Principles for Responsible Investment in 2007, AMP Capital dedicated specific resources to understanding the impact of ESG factors. Our key motivation for considering ESG issues within an investment process is to gain deeper insight into areas of risk and opportunity that could materially impact the value or performance of an investment.

AMP Capital’s ESG investment analysts pride themselves on digging deeper into the ESG risks and opportunities that each company faces. We beleive over the long-term, factors such as a company’s governance, leadership and their attitude towards risk are likely

to have a greater influence on company value and share-price performance than the tangible factors that were traditionally considered by investment analysts.