Liontrust GF SF European Corporate Bond Impact Report Q2 2020 - Flipbook - Page 15
Human Rights: UN Global Compact involvement and status
The United Nations Global Compact is an initiative
that businesses can sign up to which are a set
of principles to minimise the unintended negative
impacts of the business in terms of harm to the
environment and society. This includes a significant
amount relating to labour rights and human rights.
48% of the fund is invested in issuers which are signatories to the UN
Global Compact (and the recognition of human rights is enshrined)
which is 8% more than the average of the market it invests in which
has 41% of companies signed up to the UN Global Compact.
Human Rights: UN Global Compact Signatory
(Weight %)
50%
The UN Global Compact rate how businesses (regardless of
whether the company is a signatory to the UN Global Compact)
comply with their ten principles using a simple compliance rating of
Pass, Watch list or Fail.
This analysis shows that the fund has a significantly higher proportion of
companies with the best compliance rating of Pass for the UN Global
Compact (94.5% versus the market average of 83.6%); a much lower
proportion of companies which are on the watch list (4.9% versus the
market average of 12.5%) and no companies that have the worst
compliance rating of Fail for the UN Global Compact principles (0%
versus the market average of 3.7%). This shows the companies the
fund is invested in are performing better than the market on this metric.
Human Rights: UN Global Compact Status
100%
48%
80%
46%
60%
44%
42%
40%
40%
20%
38%
36%
0%
Liontrust GF Sustainable Future
Benchmark: iBoxx Euro
European Corporate Bond Fund
Corporates all maturities
Pass
Watch List
Fail
Liontrust GF Sustainable Future European Corporate Bond Fund
Benchmark: iBoxx Euro Corporates all maturities
Data coverage – Human Rights: UN GC Signatory, and Compliance status
% weight
number of
companies
GF SF EU Corporate Bond fund
89%
97%
Benchmark: iBoxx Euro Corporates all maturities
98%
98%
Source: MSCI Analytics and Liontrust as at 31 July 2020. Coverage
measured as compliance status (as opposed to signatory)
Liontrust GF Sustainable Future European Corporate Bond Fund - 15
