At First Sentier Investors, responsible investment principles underpin our investment approach. Our reports and policies detail our beliefs and how we translate these into action.
Report archive, since 2007
These documents contain information which is no longer up to date. As such, it is maintained on the website solely for informational purposes to provide historical information. The document should not be relied upon, including for the purposes of an investment decision. We recommend you seek professional investment advice before making a decision to invest.
In developing our Climate Change Statement, we sought to align our disclosure with the Task Force for Climate Related Financial Disclosure's recommendations and the Investor Group on Climate Change's Guide for Investor Disclosure, Strategy, Governance, Risk Management and Metrics.
We have focused our attention on the development of tools to monitor our investment strategies and supply chains.
In a diverse global organisation, good governance is extremely important. Governance of responsible investment and stewardship engages over 50 people across our organisation, allowing staff to participate in, and be kept up to date on our responsible investment work.
Our approach to exclusions is outlined in section 2.10 of our Global Responsible Investment and Stewardship Policy. Our current exclusions are as follows:
- Aerojet Rocketdyne Holdings, Inc.
- Anhui GreatWall Military Industry Co., Ltd.
- BAE Systems Plc
- Bharat Dynamics Ltd.
- General Dynamics Corp.
- ICL Group Ltd.
- Larsen & Toubro Ltd.
- LIG Nex1 Co., Ltd.
- Northrop Grumman Corp.
- Poongsan Corp.
- SNT DYNAMICS Co., Ltd.
- Walchandnagar Industries Ltd.
- 22nd Century Group, Inc.
- Al-Eqbal Co. for Investment Plc
- Altria Group, Inc.
- B.A.T. Capital Corp.
- B.A.T. International Finance Plc
- B.A.T. Netherlands Finance BV
- BADECO ADRIA dd
- BAT Brasil
- British American Tobacco Bangladesh Co.
- British American Tobacco Holdings (The Netherlands) BV
- British American Tobacco Kenya Plc
- British American Tobacco Malaysia Bhd.
- British American Tobacco plc
- British American Tobacco Uganda Ltd.
- British American Tobacco Zambia Plc
- British American Tobacco Zimbabwe Ltd.
- Bulgartabac Holding AD
- Ceylon Tobacco Co. Plc
- China Tobacco International (HK) Co Ltd
- Coka Duvanska Industrija AD
- Duvanska Industrija AD Bujanovac
- Eastern Co. (Egypt)
- Godfrey Phillips India Ltd.
- Golden Tobacco Ltd.
- Hoang Long Group
- Imperial Brands Finance Netherlands BV
- Imperial Brands Finance Plc
- Imperial Brands Plc
- ITC Ltd.
- Japan Tobacco, Inc.
- Jerusalem Cigarette Co. Ltd.
- JT International Financial Services BV
- Karelia Tobacco Co., Inc.
- Khyber Tobacco Co. Ltd.
- KT&G Corp.
- Lorillard LLC
- LT Group, Inc.
- Ngan Son JSC
- Nikotiana BT Holding AD
- NTC Industries Ltd.
- Old Holdco, Inc.
- Pakistan Tobacco Co. Ltd.
- Philip Morris (Pakistan) Ltd.
- Philip Morris CR as
- Philip Morris International, Inc.
- Philip Morris Operations AD
- PT Bentoel International Investama Tbk
- PT Gudang Garam Tbk
- PT Hanjaya Mandala Sampoerna Tbk
- PT Indonesian Tobacco Tbk
- PT Wismilak Inti Makmur Tbk
- Pyxus International, Inc.
- Reynolds American, Inc.
- Scandinavian Tobacco Group A/S
- Shanghai Industrial Holdings Ltd.
- Sila Holding AD
- Sinnar Bidi Udyog Ltd.
- Slantse Stara Zagora Tabac AD
- Standard Diversified, Inc.
- STG Global Finance BV
- Swedish Match AB
- Tanzania Cigarette Co. Ltd.
- Turning Point Brands, Inc.
- Tutunski Kombinat AD Prilep
- Union Investment Corp.
- Union Tobacco & Cigarette Industries Co.
- Universal Corp.
- Vector Group Ltd.
- VST Industries Ltd.
- West Indian Tobacco Co. Ltd.
We support a number of industry and trade groups that are focused on developing and improving responsible investment. While these groups do not speak for us unless we specifically sign a statement they draft, we are aligned with their broader missions.
Each year, we review the various initiatives that we have been involved with. We do this to ensure their purpose aligns with our clients’ interests and that we have the capacity to make a meaningful contribution. The initiatives that we actively support and engage with are listed here:
Finance for Biodiversity pledge
Task Force on Climate-Related Financial Disclosures
Tobacco Free Portfolios Pledge
Cambridge University Investment Leaders Group
- Founder member
- Chair of Working Group
Climate Action 100+
- Supporting Investor
Task Force on Nature-related Financial Disclosure (TNFD) Forum
- Forum member
Big Tech and Human Rights Investor Collaboration
- Collaborating Investor
UK Sustainable Investment Forum
- Board Member
Institute of Chartered Accounts in England and Wales (ICAEW)
- Member of the Corporate Governance Committee
- Member of Sustainability Committee
UK Investment Association
- Member of Sustainability & Responsible Investment Committee
- Chair of Standards & Definitions Working Group
London Stock Exchange Group
- Member of Sustainable Investment Committee
- Member ESG Advisory Committee
- Investment member
World Benchmarking Alliance
Financial Services Council
- Member of the Fund Management Board Committee
- Member of the Investment Expert Group
- Member of the ESG Working Group
Investor Group on Climate Change
Australian Sustainable Finance Initiative
- Member of Coordinating Working Group
- Member of Technical Working Group
Responsible Investment Association Australasia
- Board Member
- Member of the Human Rights Working Group
30% Club Australia
- Investor Working Group member
- Steering Group member
- Investor Working Group member
Women in Sustainable Finance
- Committee member
Investors Against Slavery & Trafficking APAC
Japan Sustainable Investment Forum (JSIF)
Japan Stewardship Initiative (JSI)
Hong Kong Green Finance Association
We have actively participated in a number of consultations and initiatives that we believe support the transition to a more sustainable financial system.
Future Regulatory Regime for ESG ratings providers
In June 2023 First Sentier Investors provided a submission to His Majesty's Treasury consultation paper 'Future regulatory regime for Environmental, Social, and Governance (ESG) ratings providers', detailing our view on the topic.
Sustainability Disclosure Requirements (SDR) and investment labels
The Financial Conduct Authority requested feedback on their consultation paper 'Sustainability Disclosure Requirements (SDR) and investment labels' in October 2022. This consultation paper proposed new rules to help consumers navigate an increasingly complex investment product landscape, protect them from greenwashing and rebuild trust. First Sentier Investors provided a consultation response to this paper.
Eurosif, PRI, IIGCC, EFAMA, UNEP FI - Joint statement on ESRS
First Sentier Investors was signatory on a letter which called on the European Commission to uphold the integrity and ambition of the first set of the European Sustainability Reporting Standards (ESRS), as envisaged within EFRAG’s final technical advice to the Commission published in November 2022.
ESA's Call for Evidence on better understanding greenwashing
The European Supervisory Authorities (ESA) made a Call for Evidence in November 2022, seeking input from stakeholders on how to understand the key features, drivers and risks associated with greenwashing and to collect examples of potential greenwashing practices. First Sentier Investors responded to this Call for Evidence in January 2023.
Enhancement of Climate-related Disclosures under the Environmental, Social and Governance Framework
First Sentier Investors submitted a consultation response to the Hong Kong Stock Exchange’s consultation paper Enhancement to Climate-related disclosures under the Environmental, Social and Governance Framework. This paper made the proposal to the Hong Kong Exchange to mandate all issuers to make climate-related disclosures in their ESG reports.
GHG Reduction Safeguard Mechanism Reform
In February 2023, First Sentier Investors provided feedback on the Department of Climate Change, Energy, Environment and Water’s consultation on the proposed reforms of the Safeguard Mechanisms. First Sentier Investors’ submission detailed its support for the proposed changes to the Safeguard Mechanism.
Climate-related financial disclosure Consultation paper
In December 2022, the Australian Government Treasury asked for initial views on key considerations for the design and implementation of standardised, internationally-aligned requirements for disclosure of climate-related financial risks and opportunities in Australia, for their consultation paper on Climate-related financial disclosure. First Sentier Investors made a submission in February 2023.
Our climate metrics and target
We have the ambition to reduce greenhouse gas emissions across our investment portfolios in line with a target of progressing towards net zero emissions by 2050 (or sooner) and across our business operations in line with a target of net zero emissions by 2030 (or sooner).