Environmental
How does the issuer interact with their environment, and vice versa?Social
How does the issuer interact with its employees, customers, and communities?Governance
How does the issuer govern itself?1. Investment-led
Our investment teams have developed their own methods to integrate material ESG factors into their respective investment analysis and decision-making processes for applicable types of investments. This approach allows our investment teams to tailor the ESG integration tools and resources to their distinct investment methodologies. The ESG integration activities undertaken by each team are intended to reflect the best interests of our clients and the time horizon of their investment strategies.2. Focuses on materiality
Our investment teams focus on those ESG factors that they have determined may impact the value of the investment. The extent of these impacts depends on the issuer, the industries and geographies in which it operates, and the nature of the investment strategy for which it is purchased.3. Continuously improves and innovates
The culture at RBC GAM revolves around innovation, continuous learning, and harnessing the power of human and machine. Our investment teams explore new and, in our opinion, improved ways to integrate material ESG factors into their investment approaches. Some of our continuous learning initiatives include: firm-wide ESG education sessions with external experts and speakers; internal ESG research on emerging data, themes, tools, and methodologies; an internal ESG network where our investment teams share perspectives on ESG topics; and a monthly internal newsletter on new developments in responsible investment.This webpage and embedded links include information related to RBC GAM’s approach to responsible investment, which does not apply to certain funds, investment strategies, asset classes, exposure or security types that do not integrate ESG factors. Examples of what would not integrate ESG factors include, but are not limited to, money market, buy and maintain, passive, and certain third-party sub-advised funds/strategies or certain currency or derivative instruments. ESG factors are considered by our investment teams to varying degrees and weights, depending on the investment team’s assessment of that ESG factor’s potential impact on the risk-adjusted, long-term performance of the security and/or the fund. For funds where ESG factors do not form a part of their investment objective, ESG factors are generally not likely to drive investment decisions on their own, and in some cases, may not impact an investment decision at all. RBC GAM has a general approach to active stewardship, proxy voting, and engagement that addresses ESG matters among other matters. References to active stewardship do not apply to certain investment strategies where proxy voting and/or engagement are not used. Examples of what would not conduct certain active stewardship activities include, but are not limited to, quantitative investment strategies that do not conduct engagements, passive, and certain third-party sub-advised strategies. RBC GAM does not manage proxy voting for certain third-party sub-advised strategies. For clarity, RBC Indigo Asset Management Inc. and its fund products are not covered by the information presented on this webpage, unless otherwise indicated.