Brummer Multi-Strategy Cayman
Sustainability
Responsible investment
Responsible investment is part of the duties of a portfolio manager to analyse relevant risks and opportunities regardless of whether they are classified as Environmental, Social or Governance (ESG)-factors* or, say, macroeconomic trends and political risk. Making well-informed decisions is essential to our ability to achieve our goal of generating competitive risk-adjusted returns over time.
BMS Cayman allocates to investment strategies that are managed in the Brummer & Partners group. In our evaluation of new investment management teams, we look for investment strategies which complement the existing strategies in the group and which are expected to contribute to BMS Cayman’s risk-adjusted returns over time. We then work with the investment management teams in the group to develop and improve our responsible investment activities.
Sustainability considerations
The potential impact of sustainability risks on the returns of the investment strategies that BMS Cayman allocates to varies. The risks may, due to various factors, to a large or limited extent negatively impact the returns if left unmanaged. Brummer & Partners Asset Management (UK) and the investment teams in the Brummer & Partners group therefore integrates sustainability risks in their respective investment decision making processes in order to limit this potential impact. Further, BMS Cayman’s diversified portfolio of investment strategies, which all consider sustainability risks, adds to the mitigation of any negative impacts on BMS Cayman´s returns. Brummer & Partners Asset Management (UK) assesses the likely negative impact of sustainability risks to be low for BMS Cayman itself, as well as for the funds in which BMS Cayman invests.
To avoid causing so called principal adverse impacts of our investment decisions on sustainability factors, BMS Cayman avoids all exposure, both long and short, to companies involved in controversial weapons. BMS Cayman also avoids long holdings in companies in violation of international norms on human rights, labour rights, the environment and anti-corruption as well as long exposure to companies involved in thermal coal.
Article 6 fund
The Sustainable Finance Disclosure Regulation:
BMS Cayman is classified as an Article 6 fund that considers sustainability risks in its investment decision making process and certain so called principal adverse impacts of investment decision on certain sustainability factors. Sustainability risks are also considered in the remuneration of the investment team.
Alignment
Brummer & Partners Asset Management (UK) works closely with the investment teams in the Brummer group to ensure alignment of our sustainability efforts. The screening tools and indicators used for monitoring and assessment are described in Brummer & Partners Asset Management (UK)’s policy for responsible investments (see link below).
Documents
For more information on how the Investment Manager approaches sustainability, please see the documents:
BPAM Principal Adverse Impact Statement
Please see Brummer & Partners Asset Management (UK)’s regulatory disclosures and firm-level policy statements for Brummer & Partners Asset Management (UK), including a statement on remuneration here.