Connect with us

Featured

SFAMA is committed to a sustainable economy in Switzerland

For the Swiss asset management industry, detailed recommendations for the effective implementation of the corresponding concepts have been developed in collaboration with SSF. The inclusion of ESG criteria in the investment strategy – almost at the heart of the investment philosophy – helps to generate higher risk-adjusted returns over the long term.

Published

on

This picture show a boat with Switzerland flag.

The Swiss Funds & Asset Management Association (SFAMA) is clearly committed to a sustainable economy. For the Swiss asset management industry, detailed recommendations for the effective implementation of the corresponding concepts have therefore been drawn up in collaboration with Swiss Sustainable Finance (SSF).

The recommendations and related key messages are intended to actively support asset managers in integrating sustainability criteria into the investment process.

If you want to discover more about the importance of the sustainability criteria in the Swiss economy, how SFAMA and SSF promote the integration of ESG criteria, and to read the latest economic news in the world, download for free the Born2Invest mobile app.

SFAMA and SSF want to jointly promote a sustainable economy in Switzerland

As shown in SSF’s “Report on Sustainable Investment in Switzerland 2020”, around one-third of locally managed assets totaling $1.22 billion (CHF 1.16 billion) have already been invested sustainably. SFAMA and SSF are convinced that this trend will continue and, in this context, have drawn up detailed recommendations for members of the professional association of Swiss Asset Managers for the implementation of a sustainable investment policy throughout the investment process. The aim of this joint initiative is to promote a sustainable financial economy in Switzerland and to actively support and guide stakeholders, in particular asset managers.

“In a globalized economy, the success of entrepreneurial strategies is increasingly dependent on ESG factors. Integrating them into financial analyses and risk management activities can help to increase profitability and minimize risks,” said Sabine Döbeli, Head of SSF.

“Asset Managers are aware of the importance of ESG factors, as is the industry’s responsibility to address global challenges. Sustainability must be part of the DNA of Asset Managers,” said Markus Fuchs, Director of SFAMA.

SEE ALSO  Starbucks stores in Canada, US close early for racial-bias training

Transparency as a success factor

The inclusion of ESG criteria in the investment strategy – almost at the heart of the investment philosophy – helps to generate higher risk-adjusted returns over the long term. Asset Managers are, therefore, encouraged to carry out a social, economic and environmental impact assessment of their investment activities and to anchor their values in a policy of sustainability.

Transparency is the key to the successful implementation of sustainability criteria. Standardized and measurable reporting is essential in this respect. Transparency also requires the availability of reliable data of good quality – companies and research providers are also called upon in this area.

A valuable orientation aid

The recommendations of SSF and SFAMA are mainly aimed at informing asset managers and are particularly relevant for organizations at an early stage of ESG integration. The recommendations are primarily technical in nature and are intended to provide practical guidance for asset managers.

They focus on the implementation of a sustainable investment process and deal with governance, investment policy and strategy, risk management, transparency and reporting. For example, the role of the board of directors and management is discussed, but various approaches to sustainability and transparent reporting are also described.

__

(Featured image by pasja1000 via Pixabay)

DISCLAIMER: This article was written by a third party contributor and does not reflect the opinion of Born2Invest, its management, staff or its associates. Please review our disclaimer for more information.

This article may include forward-looking statements. These forward-looking statements generally are identified by the words “believe,” “project,” “estimate,” “become,” “plan,” “will,” and similar expressions. These forward-looking statements involve known and unknown risks as well as uncertainties, including those discussed in the following cautionary statements and elsewhere in this article and on this site. Although the Company may believe that its expectations are based on reasonable assumptions, the actual results that the Company may achieve may differ materially from any forward-looking statements, which reflect the opinions of the management of the Company only as of the date hereof. Additionally, please make sure to read these important disclosures.

First published in allnews, a third-party contributor translated and adapted the article from the original. In case of discrepancy, the original will prevail.

Although we made reasonable efforts to provide accurate translations, some parts may be incorrect. Born2Invest assumes no responsibility for errors, omissions or ambiguities in the translations provided on this website. Any person or entity relying on translated content does so at their own risk. Born2Invest is not responsible for losses caused by such reliance on the accuracy or reliability of translated information. If you wish to report an error or inaccuracy in the translation, we encourage you to contact us.

Leah Marie Angelou is an LGBTI activist and equality advocate. She has been a writer for several feminism-focused groups for nearly a decade. Her pieces are often focused on career development and the workplace. She also regularly covers personal and micro-finance, business management and entrepreneurship. Recently she has also focused on covering the promising CBD and hemp industry.