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 Worldwide Sustainability

Worldwide Sustainability

An unconstrained investment strategy that invests in companies across the world which are positioned to contribute to, and benefit from, sustainable development.

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This information is a financial promotion for the Stewart Investors Worldwide Sustainability Strategy intended for retail and professional clients in the UK only.

Investing involves certain risks including:

  • The value of investments and any income from them may go down as well as up and are not guaranteed. Investors may get back significantly less than the original amount invested.
  • Currency risk: the Fund invests in assets which are denominated in other currencies; changes in exchange rates will affect the value of the Fund and could create losses. Currency control decisions made by governments could affect the value of the Fund's investments and could cause the Fund to defer or suspend redemptions of its shares.
  • Emerging market risk: Emerging markets tend to be more sensitive to economic and political conditions than developed markets. Other factors include greater liquidity risk, restrictions on investment or transfer of assets, failed/delayed settlement and difficulties valuing securities.

Where featured, specific securities or companies are intended as an illustration of investment strategy only, and should not be construed as investment advice or a recommendation to buy or sell any security.

For a full description of the terms of investment and the risks please see the Prospectus and Key Investor Information Document.

If you are in any doubt as to the suitability of our funds for your investment needs, please seek investment advice.

Our Worldwide Sustainability strategy was launched in November 2012. It is an unconstrained investment strategy, by which we mean it is not restricted to certain countries, and is able to invest in between 40-60 companies all over the world. As with all of our strategies, we are interested in finding only the very best businesses; those with high quality management teams, franchises, and financials, that are well positioned to contribute to, and benefit from, sustainable development.

Strategy highlights: a focus on quality and sustainability

  • Companies must contribute to sustainable development and make a net-positive impact to a more sustainable future. Portfolio Explorer >

  • We invest in high-quality companies with exceptional cultures, strong franchises and resilient financials. How we pick companies >

  • We avoid companies linked to harmful activities and engage and vote for positive change. Our position on harmful products >

  • Our approach is long-term, bottom-up, high conviction and benchmark agnostic

  • We focus on capital preservation as well as capital growth – we define risk as the permanent loss of client capital

Latest insights

Strategy update: Q4 2022

Worldwide Sustainability strategy update: 1 October - 31 December 2022

2022 was a challenging year for several reasons. Geopolitical and macro-economic uncertainty increased. The war in Ukraine caused an energy crisis and exacerbated a cost of living crisis in Europe. Rising inflation and interest rates triggered fears of a recession in many economies around the world.

During the year we focused on enhancing the resilience and diversification of the strategy. We were pleased to introduce two high-quality consumer staples companies, Jerónimo Martins (Portugal) and Beiersdorf (Germany) into the strategy, along with two financial companies, Markel (United States) and Admiral Group (United Kingdom), one telecommunications company, Elisa (Finland), one healthcare company, Roche (Switzerland) and one industrial company, Watsco (United States).

We disposed of four healthcare companies: Edwards Lifesciences (United States), Philips (Netherlands), Masimo (United States) and Illumina (United States); one information technology company, Ansys (United States); and one consumer company, Ain Holdings (Japan).

In the fourth quarter, we did not initiate any new positions or dispose of any companies. However, we took the opportunity to build up some of our newer positions in Jerónimo Martins, Beiersdorf, Markel, Elisa and Roche. We also added to many of our resilient franchises, including HDFC (India: Financials), Hoya (Japan: Health Care), MonotaRO (Japan: Industrials), Kotak Mahindra Bank (India: Financials) and Fortinet (United States: Information Technology).

We increased positions in a number of companies that became more reasonably valued towards the end of the year, including Adyen (Netherlands: Information Technology), Halma (United Kingdom: Industrials), Chr. Hansen (Denmark: Materials), A. O. Smith (United States: Industrials) and Zebra Technologies (United States: Information Technology).

At the same time, we trimmed higher-valued and somewhat cyclical positions in WEG (Brazil: Industrials), Diploma (United Kingdom: Industrials), Alfen (Netherlands: Industrials), Constellation Software (Canada: Information Technology), Arista Networks (United States: Industrials) and Jack Henry & Associates (United States: Information Technology). We also trimmed Tecan (Switzerland: Health Care), in part due to valuation, but also due to caution about our overall diagnostics exposure.

We look forward to the year ahead with cautious optimism. We are beginning to see some exciting long-term opportunities to invest in many of our favourite companies at more reasonable valuations. However, we remain conscious of the risks that still dominate the economic picture. Our focus in the months ahead will be on portfolio resilience and diversification.

Source for company information: Stewart Investors investment team and company data. This stock information does not constitute any offer or inducement to enter into any investment activity. Portfolio data shown is from representative strategy accounts of the strategy shown above. Named new investments disclosed relate to holdings with a portfolio weight over 1%. It is not a recommendation or solicitation to purchase or invest in any fund. Differences between the representative account-specific constraints, currency or fees and those of a similarly managed fund or mandate would affect results.

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Select Strategy update and/or Proxy voting to produce a report. You can then download a copy of the report by clicking on the button.

You can build a bespoke report for all our strategies on the full Quarterly update report.

Stewart Investors Quarterly Client Update Q4 2022

1 October - 31 December 2022

Risk factors

This material is a financial promotion for the Stewart Investors Sustainable Funds Group strategies – Asia Pacific and Japan Sustainability, Asia Pacific Leaders Sustainability, Asia Pacific Sustainability, European Sustainability, European (ex UK) Sustainability, Global Emerging Markets Sustainability, Global Emerging Markets Leaders Sustainability, Indian Subcontinent Sustainability, Worldwide Sustainability and Worldwide Leaders Sustainability – and is intended for professional clients only in the UK, Switzerland and EEA and professional clients elsewhere where lawful.

Within the EU/EEA and Switzerland, the European (ex UK) strategy is only available to investors via a segregated mandate account.

Investing involves certain risks including:

  • The value of investments and any income from them may go down as well as up and are not guaranteed. Investors may get back significantly less than the original amount invested.
  • Emerging market risk: Emerging markets tend to be more sensitive to economic and political conditions than developed markets. Other factors include greater liquidity risk, restrictions on investment or transfer of assets, failed/delayed settlement and difficulties valuing securities.
  • Indian Subcontinent risk: although India has seen rapid economic and structural development, investing there may still involve increased risks of political and governmental intervention, potentially limitations on the allocation of the strategy’s capital, and legal, regulatory, economic and other risks including greater liquidity risk, restrictions on investment or transfer of assets, failed/delayed settlement and difficulties valuing securities.
  • Specific region risk: investing in a specific region  may be riskier than investing in a number of different countries or regions. Investing in a larger number of countries or regions helps spread risk.
  • Currency risk: the strategies invest in assets which are denominated in other currencies; changes in exchange rates will affect the value of the strategies and could create losses. Currency control decisions made by governments could affect the value of the strategies’ investments and could cause the strategies to defer or suspend redemptions of shares.
  • Concentration risk: the European Sustainability and Worldwide Leaders Sustainability strategies referred to in this material invest in a relatively small number of companies which may be riskier than a strategy that invests in a large number of companies.
  • Smaller companies risk: investments in smaller companies may be riskier and more difficult to buy and sell than investments in larger companies.

Where featured, specific securities or companies are intended as an illustration of investment strategy only, and should not be construed as investment advice or a recommendation to buy or sell any security.

If you are in any doubt as to the suitability of our strategies for your investment needs, please seek investment advice.

Investment philosophy

  • We are stewards: Our role is to allocate society’s capital to productive uses, in accordance with our Hippocratic Oath
  • We are long term: Our time horizon is measured in years, not weeks, and we value companies accordingly
  • We invest only in companies contributing to a more sustainable future: We engage constructively as owners to help companies on their sustainability journeys
  • We invest only in high-quality companies: We seek out companies with exceptional cultures, strong franchises and resilient financials
  • We believe capital preservation is important for capital growth: We define risk as the possibility of the permanent loss of client capital

Investment objective

To generate attractive long-term, risk-adjusted returns by investing in the shares of high-quality companies that are particularly well positioned to contribute to, and benefit from sustainable development.

Important information

This material is for general information purposes only. It does not constitute investment or financial advice and does not take into account any specific investment objectives, financial situation or needs. This is not an offer to provide asset management services, is not a recommendation or an offer or solicitation to buy, hold or sell any security or to execute any agreement for portfolio management or investment advisory services and this material has not been prepared in connection with any such offer. Before making any investment decision you should conduct your own due diligence and consider your individual investment needs, objectives and financial situation and read the relevant offering documents for details including the risk factors disclosure. Any person who acts upon, or changes their investment position in reliance on, the information contained in these materials does so entirely at their own risk.

We have taken reasonable care to ensure that this material is accurate, current, and complete and fit for its intended purpose and audience as at the date of publication but the information contained in the material may be subject to change thereafter without notice.

No assurance is given or liability accepted regarding the accuracy, validity or completeness of this material.

To the extent this material contains any expression of opinion or forward-looking statements, such opinions and statements are based on assumptions, matters and sources believed to be true and reliable at the time of publication only. This material reflects the views of the individual writers only. Those views may change, may not prove to be valid and may not reflect the views of everyone at First Sentier Investors.

Past performance is not indicative of future performance. All investment involves risks and the value of investments and the income from them may go down as well as up and you may not get back your original investment. Actual outcomes or results may differ materially from those discussed. Readers must not place undue reliance on forward-looking statements as there is no certainty that conditions current at the time of publication will continue. 

References to specific securities (if any) are included for the purpose of illustration only and should not be construed as a recommendation to buy or sell the same. Any securities referenced may or may not form part of the holdings of First Sentier Investors’ portfolios at a certain point in time, and the holdings may change over time.

References to comparative benchmarks or indices (if any) are for illustrative and comparison purposes only, may not be available for direct investment, are unmanaged, assume reinvestment of income, and have limitations when used for comparison or other purposes because they may have volatility, credit, or other material characteristics (such as number and types of securities) that are different from the funds managed by First Sentier Investors.

Selling restrictions

Not all First Sentier Investors products are available in all jurisdictions.

This material is neither directed at nor intended to be accessed by persons resident in, or citizens of any country, 

or types or categories of individual where to allow such access would be unlawful or where it would require any registration, filing, application for any licence or approval or other steps to be taken by First Sentier Investors in order to  comply with local laws or regulatory requirements in such country.

About First Sentier Investors

References to ‘we’, ‘us’ or ‘our’ are references to First Sentier Investors, a global asset management business which 

is ultimately owned by Mitsubishi UFJ Financial Group (MUFG). Certain of our investment teams operate under the trading names FSSA Investment Managers, Stewart Investors and Realindex Investments, all of which are part of the First Sentier Investors Group.

This material may not be copied or reproduced in whole or in part, and in any form or by any means circulated without the prior written consent of First Sentier Investors.

We communicate and conduct business through different legal entities in different locations. This material is communicated in:

  • United Kingdom by First Sentier Investors (UK) Funds Limited, authorised and regulated by the Financial Conduct Authority (reg. no. 2294743; reg office Finsbury Circus House, 15 Finsbury Circus, London EC2M 7EB).
  • European Economic Area by First Sentier Investors (Ireland) Limited, authorised and regulated in Ireland by the Central Bank of Ireland (CBI reg no. C182306; reg office 70 Sir John Rogerson’s Quay, Dublin 2, Ireland; reg company no. 629188).
  • Other jurisdictions, where this document may lawfully be issued, by First Sentier Investors International IM Limited, authorised and regulated in the UK by the Financial Conduct Authority (reg. no. 122512; reg office 23 St. Andrew Square, Edinburgh, EH2 1BB; regcompany no. SC079063).

To the extent permitted by law, MUFG and its subsidiaries are not liable for any loss or damage as a result of reliance on any statement or information contained in this document. Neither MUFG nor any of its subsidiaries guarantee the performance of any investment products referred to in this document or the repayment of capital. Any investments referred to are not deposits or other liabilities of MUFG or its subsidiaries, and are subject to investment risk, including loss of income and capital invested.

© First Sentier Investors Group

Strategy update: Q3 2022

Worldwide Sustainability strategy update: 1 July - 30 September 2022

Generally speaking, over the past quarter, a few high-level points are becoming clear. It seems that macro-economic and company-specific data and commentary continues to raise alarm bells and that the volume of geopolitical noise rises unabated. A final observation is that financial fundamentals are not yet being rewarded by the market which continues to focus on oil and gas: the only sector to post positive returns so far this year.

In terms of how we are responding to this challenging investment backdrop, we have initiated two new positions in familiar companies. Roche (Switzerland: Health Care) is a high-quality and well-stewarded pharmaceutical and diagnostic company at attractive valuations and Markel (United States: Financials) is a high-quality insurance company which is also reasonably valued. Both should provide fundamental support in the portfolio via strong financials and robust franchises.

We have also added to other resilient franchises such as the well-run Finnish telco Elisa (Finland: Communication Services), retailer Jerónimo Martins (Portugal: Consumer Staples), home and personal care supplier Beiersdorf (Germany: Consumer Staples) and a strong Asian consumer company, Unicharm (Japan: Consumer Staples), among others.

At the same time, we have trimmed higher-valued and somewhat cyclical positions in Nemetschek (Germany: Information Technology), Veeva Systems (United States: Health Care), Tomra (Norway: Industrials), Synopsys (United States: Information Technology), MonotaRO (Japan: Industrials), Nordson (United States: Industrials) and Alfen (Netherlands: Industrials), among others.

We have not divested any holdings this quarter and we believe the aforementioned changes leave the portfolio in a more robust position.

Source for company information: Stewart Investors investment team and company data. This stock information does not constitute any offer or inducement to enter into any investment activity. Portfolio data shown is from representative strategy accounts of the strategy shown above. Named new investments disclosed relate to holdings with a portfolio weight over 1%. It is not a recommendation or solicitation to purchase or invest in any fund. Differences between the representative account-specific constraints, currency or fees and those of a similarly managed fund or mandate would affect results.

Strategy update: Q2 2022

Worldwide Sustainability strategy update: 1 April - 30 June 2022

Stock markets during 2022 have reminded us that the value of equities can rise and fall sharply, hence the importance of investing in the asset class for the long term rather than the short term.

We continue to deploy the same investment philosophy and process as we navigate these markets, and continue to build resilience in the portfolio. The chart below perhaps best illustrates what we have been trying to navigate. It shows the performance of the global investment benchmark (MSCI AC World Index), broken down by sector, for the year to the end of June. It highlights that without investing in energy or utilities (most of which are fossil fuel-based) it has been incredibly difficult to generate decent returns from equities.

Little has changed for us from Q1 to Q2. Most of our companies continue to perform well but the price investors are willing to pay for them has fallen. We have taken some profits from some of our companies that appear to be defying gravity, and removed some where we have quality concerns. We sold Ain Holdings (Japan) after nine years in the strategy. We have long admired the company for its defensive attributes, but we believe it will come under pressure as drug rebates in Japan continue to fall. We exited Philips (Netherlands) – a clear mistake – having joined the journey two years ago. The company’s efforts to build a world-class patient treatment and monitoring business have been plagued by product recalls and supply chain difficulties. 

These figures refer to the past. Past performance is not a reliable indicator of future results. For investors based in countries with currencies other than USD, the return may increase or decrease as a result of currency fluctuations. Source for index data: Factset. Sectors shown for the MSCI AC World Index in USD for the year to 30 June 2022, total return (gross of tax).

We sold Ansys (United States) on growing concerns about management incentives; Illumina (United States) due to concerns about the likely negative impact of a legally contested acquisition as well as a patent litigation case; and Masimo (United States) following a confusing acquisition that takes the company into an unrelated industry and threatens to weaken the franchise quality.

We have also added some new names to provide resilience. We bought pharmaceutical and laboratory equipment supplier Sartorius (Germany), and HVAC distribution business Watsco (United States). After two years on the sidelines, we invested once more in consumer company Beiersdorf (Germany) and telecommunications company Elisa (Finland). We also initiated, and are still building positions in, a leading UK-listed auto and household insurance company, as well as a Portuguese-listed retailer that earns most of its revenues and profits in Poland, and which we consider one of the highest-quality, most responsible operators of good-value supermarkets anywhere in the world. All the aforementioned transactions resulted in higher portfolio cash levels at the end of the quarter.

The war in Ukraine, high inflation, low real-wage growth, rising interest rates, and declining growth and corporate-earnings expectations have produced a widespread sell-off. In this environment, the market has yet to show much concern for corporate debt and rising debt-servicing requirements. We continue to invest in companies we believe are high quality and have defensive attributes, not least illustrated by high-quality financials and solid balance sheets.

Source for company information: Stewart Investors investment team and company data. This stock information does not constitute any offer or inducement to enter into any investment activity. Portfolio data shown is from representative strategy accounts of the strategy shown above. Named new investments disclosed relate to holdings with a portfolio weight over 1%. It is not a recommendation or solicitation to purchase or invest in any fund. Differences between the representative account-specific constraints, currency or fees and those of a similarly managed fund or mandate would affect results.

Strategy update: Q1 2022

Worldwide Sustainability strategy update: 1 January - 31 March 2022

The previous quarter-end summary referenced an estimated 100,000 Russian troops mobilising on the Ukrainian border. Sadly, as we now know, Russia invaded in February. This is a human tragedy, adding to the disruption and uncertainty for global supply chains and the economy.

The first ten weeks of the year witnessed a sharp decline in global stock markets and an even sharper decline by the strategy, with most damage done in January. Outside of January, the strategy clawed back some returns.

While the strategy historically withstood market drawdowns relatively well, past drawdowns have been in the face of economic concern, slow-down, and even shutdown in the case of COVID-19. Rather than economic slowdown, January witnessed a sharp rotation as investors followed inflation and moved quickly into the next phase of economic growth. Capital shifted to early-stage inflation beneficiaries, such as fossil fuels, resources and commodities, and developed world banks; while exiting quality healthcare, technology and small and mid-cap companies. Many of these beneficiaries fail the sustainability or quality hurdles, or both, that make up the core of our investment process.

We believe the most attractive long-term opportunity for our clients lies in the many high-quality companies we already own that experienced significant valuation de-rating, with no discernible underlying change to fundamental company health, and in some cases an improvement. We increased our ownership of technology companies Adyen (Netherlands), Nemetschek (Germany), Halma (UK), Spectris (UK), Zebra Technologies (United States); healthcare companies Tecan (Switzerland), DiaSorin (Italy), bioMérieux (France); and industrial companies MonotaRO (Japan) and Nordson (United States).

In some cases, the bounce back was as sharp and surprising. This saw us reduce our ownership of Alfen (Netherlands), Jack Henry (United States) and again MonotaRO. Due to valuations, we also reduced position sizes in technology companies Ansys (United States), Arista Networks (United States), Constellation Software (Canada) and Fortinet (United States).

Outside this active period of topping and tailing, we bought one company and sold one company. We bought Veeva Systems, the first US company to become a listed Public Benefit Corporation (not to be confused with a B Corp), ensuring that Veeva will work for customers, employees and shareholders. Management believe this shift from shareholder primacy is consistent with customers making 20 – 30 year commitments to Veeva. We sold Edwards Lifesciences (United States), reflecting high valuations and the potential for ongoing surgical interruptions going forward rather than fundamental quality concerns, in the context of a wealth of quality healthcare companies from which to choose.

We take comfort in the long-term quality and investment fundamentals of the portfolio of companies owned for clients. There are many macroeconomic factors driving uncertainty for the year ahead; inflation, interest rates, and both capacity and demand in the economy. We believe it is extremely difficult to know what will play out, but by concentrating on companies with consistent cash flow generation, strong balance sheets, strong sustainability positioning and reliable stewards, we should be well positioned for whatever eventuates.   

Source for company information: Stewart Investors investment team and company data. This stock information does not constitute any offer or inducement to enter into any investment activity. Portfolio data shown is from representative strategy accounts of the strategy shown above. Named new investments disclosed relate to holdings with a portfolio weight over 1%. It is not a recommendation or solicitation to purchase or invest in any fund. Differences between the representative account-specific constraints, currency or fees and those of a similarly managed fund or mandate would affect results.

Proxy voting: Q4 2022

Worldwide Sustainability proxy voting: 1 October - 31 December 2022

Proxy voting by country of origin

Proxy voting by proposal category

During the quarter there were 56 resolutions from nine companies to vote on. On behalf of clients, we voted against four resolutions.

We voted against the approval of CSL's remuneration report and the equity-based remuneration of the CEO. We believe their remuneration focuses on the shorter term rather than the longer term, and the absolute level of CEO pay, and the gap between median pay, is excessive. (two resolutions)

We voted against the appointment of the auditor at Chr. Hansen and Coloplast, as they have been in place for over 10 years and the companies have given no information on intended rotation. We believe rotating an auditor on a relatively frequent basis (e.g. every 5-10 years) helps to ensure a fresh pair of eyes are examining the accounts, and follows best practice. (two resolutions)

Source for company information: Stewart Investors investment team and company data. This stock information does not constitute any offer or inducement to enter into any investment activity. Portfolio data shown is from representative strategy accounts of the strategy shown above. Proxy voting chart numbers may not add to 100 due to rounding. SHP means: Shareholder Proposal.

Proxy voting: Q3 2022

Worldwide Sustainability proxy voting: 1 July - 30 September 2022

Proxy voting by country of origin

Proxy voting by proposal category

During the quarter there were 79 resolutions from six companies to vote on. On behalf of clients, we voted against one resolution.

We voted against the election of the chairman of the audit committee at Vitasoy as the committee met less than four times during the last fiscal year. (one resolution)

Source for company information: Stewart Investors investment team and company data. This stock information does not constitute any offer or inducement to enter into any investment activity. Portfolio data shown is from representative strategy accounts of the strategy shown above. Proxy voting chart numbers may not add to 100 due to rounding. SHP means: Shareholder Proposal.

Proxy voting: Q2 2022

Worldwide Sustainability proxy voting: 1 April - 30 June 2022

During the quarter, there were 477 resolutions from 32 companies to vote on. On behalf of clients, we voted against 28 and abstained on four resolutions.

We voted against Ansys’ executive remuneration, as we believe it is subject to adjustments to facilitate payments to management. We voted against the appointment of the auditor, as they have been in place for over 10 years and the company has given no information on intended rotation. We believe rotating an auditor on a relatively frequent basis (e.g. every 5-10 years) helps to ensure a fresh pair of eyes are examining the accounts, and following best practice.  (two resolutions)

We voted against the appointment of the auditor at Arista NetworksCognex, Constellation Software, Fortinet and Masimo, as per our comments on auditor rotation above. (five resolutions)

We voted against Atlas Copco’s remuneration report as no progress appears to have been made to address shareholder concerns, the CEO's total remuneration exceeds that of peers and there is no disclosure on short-term incentive plan (STIP) targets. (one resolution)

We voted against Illumina’s executive remuneration as they have changed the goalposts of their long-term incentive plan in light of COVID-19. We voted against the appointment of the auditor, as per our comments on auditor rotation above. (two resolutions)

We voted against Philips’ remuneration report as we believe it is unnecessarily complex and is subject to repeated adjustments to facilitate payments to management. (one resolution)

We voted against Natura's request to adopt cumulative voting and to recast votes for an amended slate of directors. We do not believe these requests are in shareholders’ interests. Unfortunately, due to an operational voting error, we abstained from voting on the company’s remuneration policy and the election of a candidate to the supervisory council. We had intended to vote for the remuneration policy, but had flagged areas to follow up with the company on. Our voting intention was to abstain from voting on the establishment of a supervisory council and a separate election for board members. This error did not have a material impact on the results of the meeting. (two resolutions against, two resolutions abstained)

We voted against amendments to Synopsys’ equity incentive plan due to uncertainties with greater stock-based compensation grants. We voted against the appointment of the auditor, as per our comments on auditor rotation above. (two resolutions)

We voted against Texas Instruments’ executive remuneration, as we believe the absolute pay-outs for the CEO are high compared to other executive directors and the median employee. We voted against the appointment of the auditor, as per our comments on auditor rotation above. (two resolutions)

We voted against amendments to Veeva System’s equity incentive plan which would have given authority to the administrator to reprice options without shareholder approval. We voted against the appointment of the auditor, as per our comments on auditor rotation above. (two resolutions)

We voted against WEG’s request to adopt cumulative voting and to recast votes for the amended board and supervisory council slate. We do not believe these requests are in shareholders' interests. We abstained from voting for a minority candidate as we prefer to support the board. (three resolutions against, two resolutions abstained)

We voted against Zebra Technologies’ execution remuneration, as we believe the CEO's total remuneration is high compared to the median employee, and exceeds that of peers. We voted against the appointment of the auditor, as per our comments on auditor rotation above. (two resolutions)

We supported a shareholder proposal relating to Constellation Software which requested the company prepare a report on its plans to identify, address, mitigate and dismantle racial disparities within its workforce. (one resolution)

We supported a shareholder proposal relating to Fortinet which requested the company eliminate its supermajority vote provisions. Supermajority vote requirements can impede shareholders’ abilities to vote on resolutions that are in their interests. (one resolution)

We supported shareholder proposals relating to Illumina and Texas Instruments which would enable shareholders with a combined 10% share ownership the right to call a special shareholder meeting. (two resolutions)

We voted against a shareholder proposal relating to Ansys where shareholders were seeking to declassify the board. We believe a classified board offers some protection against hostile takeovers. (one resolution)

We voted against a shareholder proposal relating to Synopsys which would have enabled shareholders to take action with written consent on important issues that arise between annual meetings. We consider ourselves active shareholders and voting an important responsibility in our investment management duties. (one resolution)

Source for company information: Stewart Investors investment team and company data. This stock information does not constitute any offer or inducement to enter into any investment activity. Portfolio data shown is from representative strategy accounts of the strategy shown above. Proxy voting chart numbers may not add to 100 due to rounding. SHP means: Shareholder Proposal.

Proxy voting: Q1 2022

Worldwide Sustainability proxy voting: 1 January - 31 March 2022

During the quarter there were 63 resolutions from six companies to vote on. On behalf of clients, we voted against three resolutions.

We voted against the appointment of the auditor at Infineon Technologies, as they have been in place for over 20 years and the company has given no information on intended rotation. (one resolution)

We voted against the approval of Nordson’s executive compensation (as we did last year). Our preference is for remuneration schemes that are reasonable and simple. We also voted against the appointment of the auditor, who has been in place for over 60 years. We believe rotating an auditor on a relatively frequent basis (e.g. every 5-10 years), helps to ensure a fresh pair of eyes are examining the accounts, and following best practice. (two resolutions)

Source for company information: Stewart Investors investment team and company data. This stock information does not constitute any offer or inducement to enter into any investment activity. Portfolio data shown is from representative strategy accounts of the strategy shown above. Proxy voting chart numbers may not add to 100 due to rounding. SHP means: Shareholder Proposal.

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For illustrative purposes only. Reference to the names of example company names mentioned in this communication is merely for explaining the investment strategy and should not be construed as investment advice or investment recommendation of those companies. Companies mentioned herein may or may not form part of the holdings of Stewart Investors. Holdings are subject to change.

Certain statements, estimates, and projections in this document may be forward-looking statements. These forward-looking statements are based upon Stewart Investors’ current assumptions and beliefs, in light of currently available information, but involve known and unknown risks and uncertainties. Actual actions or results may differ materially from those discussed. Readers are cautioned not to place undue reliance on these forward-looking statements. There is no certainty that current conditions will last, and Stewart Investors undertakes no obligation to correct, revise or update information herein, whether as a result of new information, future events or otherwise.

Source: Stewart Investors investment team and company data. Securities mentioned are all holdings which have/have had a portfolio weight over 0.5% from representative Asia Pacific Sustainability Strategy, Asia Pacific & Japan Sustainability Strategy, Asia Pacific Leaders Sustainability Strategy, European Sustainability Strategy, European (ex UK) Sustainability Strategy, Global Emerging Markets Leaders Sustainability Strategy, Global Emerging Markets Sustainability Strategy, Indian Subcontinent Sustainability Strategy, Worldwide Sustainability Strategy and Worldwide Leaders Sustainability Strategy accounts up to 31 December 2022.

The Stewart Investors supports the Sustainable Development Goals (SDGs). The full list of SDGs can be found on the United Nations website.

Source for Climate Solutions and impact figures: © 2014–2023 Project Drawdown (drawdown.org). Source for Human Development Pillars: Stewart Investors investment team.

Source for climate solutions and human development analysis and mapping: Stewart Investors investment team. Contributions are defined by the team as demonstrable contributions to any solution, either direct (directly attributable to products, services or practices provided by that company), or enabling (supported or made possible by products or technologies provided by that company).

Investment terms

View our list of investment terms to help you understand the terminology within this document.

Fund data and information

Fund prices and details

Click on the links below to access key facts, literature, performance and portfolio information for the funds and share classes available in this jurisdiction:

Stewart Investors Worldwide Sustainability Fund

Overview of Stewart Investors Worldwide Sustainability Fund performance

Fund name Fund type Currency Price Daily change Price date
Stewart Investors Worldwide Sustainability Class A (Acc) OEIC GBP 259.55 -0.20 27 Jan 2023
Stewart Investors Worldwide Sustainability Class A (Inc) OEIC GBP 251.38 -0.20 27 Jan 2023
Stewart Investors Worldwide Sustainability Class B (Acc) OEIC GBP 281.89 -0.19 27 Jan 2023
Stewart Investors Worldwide Sustainability Class B (Inc) OEIC GBP 247.42 -0.19 27 Jan 2023
Stewart Investors Worldwide Sustainability Class A (Acc) OEIC EUR 218.37 -0.15 27 Jan 2023
Stewart Investors Worldwide Sustainability Class A (Acc) OEIC USD 158.07 -0.38 27 Jan 2023
Stewart Investors Worldwide Sustainability Class B (Acc) OEIC USD 164.08 -0.38 27 Jan 2023
Stewart Investors Worldwide Sustainability Class III (Acc) IRVCC CAD 9.33 -0.97 27 Jan 2023
Stewart Investors Worldwide Sustainability Class I (Acc) IRVCC EUR 12.15 -0.31 27 Jan 2023
Stewart Investors Worldwide Sustainability Class VI (Acc) IRVCC EUR 2.54 -0.31 27 Jan 2023
Stewart Investors Worldwide Sustainability Class VI (Dist) IRVCC EUR 11.95 -0.31 27 Jan 2023
Stewart Investors Worldwide Sustainability Class VI (Acc) IRVCC USD 9.00 -0.47 27 Jan 2023
Stewart Investors Worldwide Sustainability Class VI (Dist) IRVCC USD 8.97 -0.47 27 Jan 2023
Stewart Investors Worldwide Sustainability Class B (Acc) OEIC EUR 115.52 -0.15 27 Jan 2023
Stewart Investors Worldwide Sustainability Class VI (Acc) IRVCC GBP 11.93 -0.31 27 Jan 2023

Share prices are calculated on a forward pricing basis which means that the price at which you buy or sell will be calculated at the next valuation point after the transaction is placed. Where a fund price is marked XD, this means that the fund is currently Ex-Dividend. Past performance is not necessarily a guide to future performance. The value of shares and income from them may go down as well as up and is not guaranteed. Please note that the yield quoted above is not the historic yield. It is considered that the yield quoted represents the current position of investments, income and expenses in the fund and that this is a more accurate figure. Investors may be subject to tax on their distribution. The yield is not guaranteed or representative of future yields. You should be aware that any currency movements could affect the value of your investment. The Funds within the First Sentier Investors Global Umbrella Fund plc (Irish VCC) are denominated in USD or EUR.