Our sustainability work is fully integrated, which gives us the conditions to choose the best financial investments, but also refrain from investing in companies that violate human rights, contribute to serious environmental damage or create exposure to products and services that we consider unsustainable, both from an investment as a societal perspective.
Below is a selection of activities we exclude;
- Companies that produce fossil fuels, including unconventional extraction of fossil fuels, such as oil sands and deep-sea drilling in particularly sensitive areas.
- Companies that do not to comply with international standards and conventions regarding human rights, the environment, anti-corruption or labor law and where the company cannot demonstrate clear goals and ongoing measures to address the problems.
- Companies that manufacture, develop or sell weapons that violate international conventions and companies that participate in the development of nuclear weapons programs or produce nuclear weapons.
- Companies that produce tobacco and pornography as well as companies where more than five percent of total sales come from the distribution of these products.
- Companies where more than five percent of sales come from weapons, alcohol and commercial games.
SEB Investment Management's Exclusion Committee makes the formal decision on which companies to exclude from investments. The committee meets at least four times a year and ensures that the companies on the exclusion list comply with the criteria set for exclusion in SEB Investment Management's Sustainability Policy. The exclusion committee also identifies so-called transition companies, which are companies that work actively with and has set concrete goals for how they should change their work to reduce climate impact.
By excluding investments in industries and sectors that have a negative impact on the environment, we can reduce the adverse impacts our investments have on sustainable development. Adverse impacts are also integrated into our own sustainability model which uses both internal and external data sources to identify which companies do not handle sustainability-related risks.
Read more in our Sustainability Policy and our Climate Statement on how we work to identify companies that are deemed to have adverse impacts on a sustainable development
The development and transition in many fossil-heavy industries has been slow in recent years, and change is needed. The ability for companies to significantly reduce carbon dioxide emissions and thereby limit climate change has generally been missed due to the lack of investment in renewable energy sources. The transition is both necessary and possible, but at the same time it requires a global mobilization of economic resources. Both reductions and investments will be needed, as well as more green solutions in existing fossil-heavy sectors.
We as investors must be aware of the risks and opportunities associated with this change. Many fossil-heavy sectors are adjusting and taking strategic and financial measures.
SEB Investment Management works to identify which companies can be considered investable based on our fundamental assessment of transition. Each individual company's willingness to transform its business model is evaluated from a strategic perspective, prerequisites for success and last but not least measures taken.
Read more in our Sustainability Policy and our Climate Statement on how we work to identify transition companies.