Active portfolio management based on thorough fundamental analysis is the keystone of the Buy & Care investment strategy. Our seasoned portfolio managers focus on the longevity of companies’ competitive advantage and carefully evaluate the growing influence of ESG (Environmental, Social and Governance) aspects. They systematically engage with the top management to gain further insights while encouraging them to better integrate and communicate on the financial materiality of ESG risks or opportunities.
We have been demonstrating since 2006 that active or socially responsible portfolio management can be reinvented to reconcile profitability with responsibility.
Our integrated performance report explain and illustrate the impact of the Buy & Care strategy on the fund’s financial performance as well as on the progress achieved by the companies:
In the main interest of our investors and our investees, the engagement Policy of the Cadmos Funds has the ambition to maintain a regular and intense dialogue with the portfolio companies to spur progress in all company specific and key Environmental, Social and Governance (ESG) topics.
Through our shareholder engagement we aim to discuss the financial materiality and the integration of the key strategic ESG topics. The joint presence of the portfolio managers and ESG engagement experts, which is unique in the responsible-funds universe, is particularly appreciated by companies.
Shareholder engagement, the fundament of the Buy & Care strategy should also contribute to the Financial performance of the Cadmos Funds. Since 2006, we are been able to demonstrate tangible impacts and improvements we have triggered at company level and we are convinced that continuous, non-indulgent dialogue with the companies creates value for our investors today and even more so in the future.
By engagins with companies we strengthen our understanding and fundamental analysis of the companies. Our managers’ assessments of the risks and sustainability of the companies’ business models are sharpened, and their investment convictions are more solidly based. With time, the markets perceive and reward the uptrend in the companies’ quality and this is reflected in the value of our investments.
Our key ESG topics are defined by the portfolio managers and confronted to the point of views of diverse and key operational officers. Our visits and meetings enhance our ability to evaluate the consistency between a company’s words and its concrete actions. Lastly, the high-quality companies thus identified must still present attractive potential for gains in the medium and long term and we want to make sure we will be compensated for the remaining ESG risks.
The new enhanced engagement methodology even more integrated to the Buy & Care investment strategy and applied since April 2017 are explained in the brochure below.
The previous engagement methodology which was valid until March 31st 2017 and thus part of our last Integrated Performance Report of the Cadmos Engagement Funds are explained in the brochure below.
All aspects of our responsible investor approach are described in detail in the Cadmos Funds Transparency Code. This is the latest version of the Code (in french only), updated as of January 2016 and valid until March 31st 2017:
Christopher Quast (1967) – former senior consultant with McKinsey, active in the European equities markets for more than ten years as partner in de Pury Pictet Turrettini & Co Ltd. Mr. Quast is the Managing Director of the Cadmos European Engagement Fund.
Paolo Bozzo, (1979) – former director at Bank of America Merrill Lynch in Zurich where he was responsible for institutional investors from the french speaking part of Switzerland. Previously with Bank Sal. Oppenheim and Credit Suisse Private Banking. He is in charge of European equities research at de Pury Pictet Turrettini & Co Ltd.
Wojciech Stanislawski (1975) – portfolio manager specializing in emerging markets, he joined Comgest in 1999 where he co-manages several funds including Magellan and the Cadmos Emerging Markets Engagement Fund.
Juliette Alves (1975) – portfolio manager specializing in emerging markets, she joined Comgest in 2010 where she co-manages several funds including the Cadmos Emerging Markets Engagement Fund.
Alexandre Stucki (1972) – founder of AS Investment Management in 2006 and lead portfolio manager for the Cadmos Swiss Engagement Fund. Previously, Mr. Stucki was Head of Equities’ research and Swiss Fund Manager at Mirabaud & Cie (Geneva) and Fund Manager for European Equities at W.P. Stewart & Co. (New York & London).
Nathalie Kappeler (1972) – joinded AS Investment Management in 2006 as a portfolio manager focused on Swiss equities. Previously, Ms. Kappeler was a Fund Manager and an Equities’ Research Analyst at Mirabaud & Cie and a Fund Analyst at STMicroelectronics, both in Geneva.
Dr. Melchior de Muralt (1960) – active in the creation of Ethos when he was member of the management team of Lombard Odier. Managing partner of de Pury Pictet Turrettini & Co Ltd since 2002, he has worked in Sustainable Finance in Geneva for the last twenty years.
Dominique Habegger (1968) – former co-founder of Asset4 (Thomson Reuters). Previously with Ethos, Lombard Odier and SAM. Joinded de Pury Pictet Turrettinin in 2013 as head of Cadmos Funds to foster the integration of financially material ESG aspects in the portfolio management.
The analysis and shareholder engagement team is comprised of external experts mandated by de Pury Pictet Turrettini & Co Ltd, advisor or manager to the Cadmos Funds.
The team, known as the “Engagement Team”, is headed by Thomas Streiff:
Dr. Thomas Streiff (1960) – delegate and advisor to several associations, foundations and committees, including the World Business Council for Sustainable Development, the United Nations Environment Programme Finance Initiative (UNEP FI), IMD-Corporate Sustainability Management Forum, The Swiss Centre for Environmental Training and Sustainable Development, the United Nations Conference on Sustainable Development (CDD-12), and CEO of the Sustainability Forum of Zurich. Mr. Streiff heads the shareholder engagement team of the Cadmos Funds.
The engagement team is currently made up of: