fng designation for both funds · 1 as at august 121h 2020 only for professional investors. no...

1

As at August 121h 2020

Only for professional investors. No delivery to private investors.

FNG designation for both fundsSDG Evolution Flexibel and Mayence Fair Value Bond Fonds

Deutscher Exzellenzpreis 2020

TELOS ESG Check 2020: Platinum

Sustainable Investment Award Multi Asset

SUSTAINABLE INVESTMENTS WITH HIGH ESG-QUALITY AND POSITIVE SDG-IMPACT

2


ESG PORTFOLIO MANAGEMENT

Agenda

• Overview of Sustainable Investments

• Investment Process of ESG Portfolio Management GmbH

• Investment Solutions: Our Funds

• Summary

• Contact

• Attachments

3

ESG & SDG

ESG – Environmental, Social, Governance

Risk management so that you can sleep well

SDG – Sustainable Development Goals

Positive impact - a good reason to wake up in the morning


4

Sustainable Investments

Investments influence our

environment and economy

Selecting issuers with high

ESG qualities reduces the

negative impact and the risk

of investments

Selecting corporations and

countries with high positive

SDG impact increases the

portfolios‘ SDG impact.

We expect - beginning 2019 -

the regulatory requirement

to report ESG qualities and

CO2-emissions

Constructing sustainable

portfolios requires special

research, compliance to

standards and dedicated

investment processes

Certifications for sustainability

such as UN PRI reporting and

FNG-Siegel are gaining

importance

5

Source: Forum nachhaltige Geldanlagen FNG, Study 2020

ESG in Germany – Sustainable Investments

Sustainable Strategies in Germany (in bn. Euro)

6

ESG in Germany – Sustainable Investments Funds and Mandates (in bn. Euro)

Source: Forum nachhaltige Geldanlagen FNG, Study 2020

7

ESG Portfolio Management GmbH

Positive Impact

Solutions towards

the SDGs

Strict Exclusion

Criteria for

selecting

corporations and

countries

Focusing on Issuers

with low CO2-

emissions

High ESG Qualities

of all portfolio

positions

Aiming for

Performance also

in difficult market

environment using

active risk

management


8



Positive Impact Solutions

High ESG Qualities

Strict Exclusion Criteria

Low CO2-emissions

Active Risk Management

Majority in European corporations with high credit quality

Selective investments in impact bonds

Prudent portfolio construction

Risk reduction with Put-options.

SDG Evolution Flexibel

Conservative balanced fund

Equity weighting: average 30 percent

Mayence Fair Value Bond Fonds

Conservative fixed income fund

Average credit rating min. BBB

9

Business partners of ESG Portfolio Management GmbH

WHO IS DOING WHAT?

AHP Capital

ESG 17 Screen

MSCI ESG

right. based on

science

ESG Portfolio

Management

Christoph Klein

Frank Rothauge

Simon Zekarias

Baader BankSDG Evolution Flex

North Channel

BankMayence

Universal

Investment

State StreetSDG Evolution

Donner &

ReuschelMayence

Liability

Umbrella

Positive lists

Measuring

ESG quality,

SDG impact,

CO2 intensity

Climate risks

Equity- and

credit-analysis

Trade decisions

Engagement

Risk-

managment

Reporting

Guideline

checking

Trade

execution

Guideline

checking

Calculating

Fund prices

Custodian

services

Proxy voting

Advisory Board

10

Impact Measurement for SDG Evolution Flexibel

Source: MSCI ESG, August 3rd 2020, own calculations

50.1 %

12.9 % 3.6 %8.2 %17.6 % 2.4 %

11

Source: http://www.xylem.com

Example Impact Bond: 2,25% Xylem INC. 2023

very positive

Impact for

SDG 6

• Xylem INC. is a designer, manufacturer and service provider for water and wastewater applications

• The company addresses the full-cycle of water from collection, distribution and return to the environment

• In February 2019 Xylem INC. received an ESG Rating upgrade to AAA from MSCI ESG. The reasons have been

the further reduction of waste and the increasing focus on research and development of new products

Both funds of ESG Portfolio Management invested in this bond

12

Source: http://www.lichtmiete.de

Example Impact Bond: 5,75% Deutsche Lichtmiete 2023

Very positive

Impact for 3

of 17 SDG‘s

• Deutsche Lichtmiete AG offers energy efficient rental LED lights

• Energy savings exceed rental costs

• Significant clients like Unilever, Clariant, Knorr-Bremse and Saint-Gobain

• Deutsche Lichtmiete received the Deutschen Exzellenzpreis award in 2018 and 2019

The bond fund invested in Deutsche Lichtmiete 2023

https://www.lichtmiete.de/de/

13

Example ESG Risks: Vale, January 25th 2019

Tailings dam collapse of

the mining company Vale

near the Brazilian town of

Brumadinho

300 persons died

Pollution of surrounding

water

Source: Der Spiegel, February 8th 2019

14

Our ESG rating provider MSCI ESG assigned Vale a weak B rating even

before the tailing dam collapse

As the minimum ESG

rating of our

investments is BBB, we

did not own any Vale

bonds or equity

Source: MSCI ESG, January 30th 2019

15

Source: https://www.bwi.uni-stuttgart.de/abt3/files/forschung/Forschungsbericht-1-19-Klein.pdf

Quantitative Credit Rating Models including ESG factors

16

Carbon Footprint is relevant for credit quality

Source: https://www.bwi.uni-stuttgart.de/abt3/files/forschung/Forschungsbericht-1-19-Klein.pdf

Quantitative Credit Rating Models including ESG factors

Source: MSCI ESG Research: “The Greenhouse Gas Mitigation Strategy Score (ranging from 0 to 10) is calculated based on the combination of the three mitigation data points:

1) Use of cleaner sources of energy: This data point indicates our assessment of how aggressively the company has sought to mitigate its carbon emissions through the use of cleaner sources of energy such as solar, wind, geothermal, co-generation, or natural gas in place of oil or coal.

2) Energy consumption management and operational efficiency enhancements. This data point indicates our assessment of how aggressively the company has sought to mitigate its carbon emissions by managing energy consumption and improving the energy efficiency of its operations.

3) CDP disclosure: This data point indicates whether the company reports its carbon emissions to the CDP. Possible values: 'Yes' or 'No’. “

17

Module 6: Quantitative credit rating models including ESG factors

Source: Bloomberg, MSCI ESG, ESG Portfolio Management

We use the model for screening and simulations

18

The exclusions of our funds are extensive and strict:

We control our exclusions with ESG Screen 17 (www.screen17.com)

Corporates are excluded when they operate in the areas:

Weapon production

Nuclear energy

Coal or fracking

Oil sands

Gene technology

Companies are excluded when they generate more than five percent of sales in the

areas: alcohol, gaming, pornography, oil, tobacco or animal testing

Countries are excluded when they are involved in

Severe controversies, death penalty, conflicting human rights, corruption

(source: Transparency International), or conflicting with non-proliferation treaty,

authoritarian regime (source: Freedom House Ranking)

19

Exclusions: Considering unwanted consequences

Example 1:

Reduce carbon-emissions – Investments

in utilities are not allowed

Question: Do you use heating in a cold

winter?

Possible solution:

Only invest in utilities with highest

energy efficiency and best filter

technology

Example 2:

No tobacco

Question: What about supermarkets?

Possible solution:

No investment, if the company generates

more than five percent of sales with

tobacco

20

Source: MSCI ESG, August 3rd 2020,

https://fondstrends.lu/produkte-und-vertrieb/erfahrungsbericht-unsere-bewerbung-um-das-fng-siegel/

Extremely high ESG Quality of our funds and transparent reporting

• ESG Scores of 9.49(Flexibel) and 9.5 (Mayence) are record result (Maximum:10)

• Flex receives 5 Morningstar Globes (highest sustainability assessment)

• 12% of the positions in Flexibel and 8% of the positions in Mayence got an upgrade,

whereas none of the positions in Flexibel and in Mayence got an ESG downgrade.

• Both funds receive the highest scores of the most valuable certification of

sustainable funds in Germany

21Source: MSCI ESG, August 3rd 2020

22

Lower Carbon Footprint and transparent Reporting

*the historic CO2-Values are linked to the current (funds and benchmarks) and are calculated backwards for every corporation

Development of the ESG quality, SDG impact and carbon emissions of the Flex Fund compared to the benchmark

(iShares MSCI Europe ESG Screened UCITS ETF).

Source: MSCI ESG, August 3rd 2020

23

Task Force on Climate-related Financial Disclosures

Sources: https://www.fsb.org/wp-content/uploads/P290617-5.pdf, p. 14

https://www.cdsb.net/sites/default/files/tcfd_good_practice_handbook_a4.pdf

https://www.fsb.org/wp-content/uploads/P290617-5.pdf

24

Scenario Analysis can help organizations..

• consider climate change issues with following characteristics

possible outcomes that are highly uncertain

outcomes that will play out over the medium to longer term

potential disruptive effects that, due to uncertainty and complexity, are substantial

• frame and assess the potential range of plausible business, strategic and financial impacts from

climate change and the associated management actions

• identify indicators to monitor the external environment and better recognize when the

environment is moving toward a different scenario state

In conducting Scenario Analysis, organizations should strive to achieve:

• transparency around parameters, assumptions, analytical approaches and time frames

• comparability of results across different scenarios and analytical approaches

• adequate documentation for the methodology, assumptions, data sources and analytics

• consistency of methodology year over year

• sound governance scenario analysis conduct, validation, approval and application

• effective disclosure of scenario analysis that will inform and promote a constructive dialogue between investors and organizations on the range of potential impacts and resilience of the organization’s strategy under various plausible climate-related scenarios

Source: https://www.fsb.org/wp-content/uploads/P290617-5.pdf

https://www.fsb.org/wp-content/uploads/P290617-5.pdf

25

Clima: forecasts and goals

Source: CDP Workshop, Frankfurt, September 27th 2019


26

Climate: analysis and targets

Source: https://www.right-basedonscience.de


The company “right. based on science” calculated climate risks of our funds

using emission data from Urgentem:

When all companies work like the companies in the funds SDG Evolution Flexibel

and Mayence Fair Value Bond Fonds, the global warming could be limited to

ca. 1.75 degrees until 2050. (In comparison: DAX as at December 2019: 4.9 degrees)

We work very hard using selection and engagement to reach and beat the 1.5 degree goal

for both funds as soon as possible.

Source: Prof. Ed Hawkins: Warming stripes for 1850-2018.

https://showyourstripes.info/

27

Engagement and Proxy Voting

Quelle: www.esg-pm.com


We engage with companies to improve their ESG quality and SDG impact.

We especially focus on topics like labor rights, product quality, protecting the climate

and avoiding plastic waste.

We report about our engagements: https://www.esg-portfolio-management.com/wp-content/uploads/2020/03/Engagement-Bericht-2020-Maerz.pdf

We use proxy voting for the shares in our funds, to improve their ESG quality and

SDG impact. Also here we use constructive critique to improve labor security and

climate protection.

We report about our proxy voting: https://www.esg-portfolio-management.com/wp-content/uploads/2020/03/Proxy-Voting-Bericht-2020-Maerz.pdf

https://www.esg-portfolio-management.com/wp-content/uploads/2020/03/Engagement-Bericht-2020-Maerz.pdf

28

Current positioning

Source: Universal Investment, August 3rd 2020


29

Current positioning: equities



30

Current positioning: fixed income 1



31




32




33

Where does the performance come from?

Equities:

• Dividends

• Equity exposure x equity-portfolio-beta x equity

market movement

• Active management of equity allocation and equity

beta

• Alpha from title selection

• Fat tail risk management with equity puts

Performance sources of the SDG Evolution Flexibel

• Possible net equity range -10% bis 60% (average ca. 30 %)

• Bonds 65% and Cash/Gold (5%)

Bonds:

• Interest duration

• Managing interest duration and credit

beta

• Credit duration

• Carry and roll down

• Alpha from title selection

34

base case

(Equities+7%,

Yields+0.5)

best

(E+10%, Y flat,

Spreads -10Bp)

worst

(E-10%, Y-1,

Spreads +20Bp)

Equity exposure x equity-portfolio-beta x equity market

development2.3 3 -3

Equity exposure x dividend yield (average: 2,5%) 0.75 0.75 0.75

Active Management of equity allocation and beta 0.5 0.5 0

Alpha from equity selection 0.5 1 -0,3

Fat tail management with equity options -0.5 -0.5 2.0

Interest duration (currently 1) -0.5 0 1

Active Management of interest duration and credit beta 0.5 1 -0.5

Credit duration (currently 4) 0 0.26 -0.52

Carry and roll down 0.33 0.33 0.33

Alpha from bond selection 0.5 1 -0.3

Cash -0.03 -0.03 -0.03

Sum 4.4 7.3 -0.6

Where does the performance come from? Scenario analysis

Historic performance is no indication for future performance

Source: own estimates and calculations

35


Since July 2018

ESG Portfolio

Management GmbH

advises the fund

SDG Evolution Flexibel AK I

ISIN: WKN: Currrency: Volume: Total fund size:

DE000A1W9AZ5 A1W9AZ EUR 8,577,091 EUR 10.7 Mio. EUR

Cumulated performance (in %)

1 M 1 J 3 J 5 JSince

inception KJ 2017 2018 2019

Fund 0.53 0.48 0.43 -4.34 4.58 0.78 5.12 -4.84 2.55

Fund p.a. 0.14 -0.88 0.68

Monthly performance (in %) - ESG Portfolio Management GmbH advises since July 2018

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec YTD

2015 2.58 0.63 -0.49 -0.38 -2.49 1.52 -4.97 -1.13 4.00 1.90 -1.86 2.19

2016 -3.02 -2.12 1.21 -0.19 -0.17 -1.83 0.64 0.50 -0.47 -0.37 -0.93 1.41 -5.32

2017 0.16 1.13 1.51 0.85 0.28 -1.33 0.34 -0.72 2.96 0.84 -0.62 -0.32 5.12

2018 0.92 -1.36 -1.01 1.38 -1.23 -0.53 1.16 -0.84 -0.12 -1.57 0.42 -2.09 -4.84

2019 1.78 1.65 0.44 1.17 -1.07 -1.13 0.03 -1.22 -0.83 -0.08 1.18 0.68 2.55

2020 0.32 0.52 -6.43 2.72 0.20 3.22 0.53 0.78

36

* since July 2nd 2018 ESG Portfolio Management GmbH advises the SDG Evolution Flexibel


37

Performance funds versus “benchmarks” 1.1.-30.6.2020

Source: Bloomberg, July 1st 2020, January 1st = 100

60

65

70

75

80

85

90

95

100

105

110

30.12.2019 29.01.2020 28.02.2020 29.03.2020 28.04.2020 28.05.2020 27.06.2020

SDG Evolution Flexibel Mayence iShares MSCI Europe ESG Xtrackers II ESG Corp

38

SDG Evolution Flexibel – Attribution Analysis 2.7.2018 - 31.07.2020


39

SDG Evolution Flexibel – attribution analysis 2.7.2018 - 31.07.2020

Equity performance

Before hedges: 8.83%

Equity options performed -1.81%%

In Q4 2018 and Q1 2019 the equity (DAX) put options reduced the draw downs significantly

Bond performance

Before hedges: 4.23%. Here the interest hedges dragged 7.39%

The performance of SDG Evolution Flexibel would have been 9.2% better without

derivatives

Analysis: The micro decisions have been good, the interest rate positioning in 2019 has been very

poor (especially the BTP short)

Conclusion:

We will focus on our strengths and will reduce the size of our bond derivative positions.

We will trade derivatives more tactically.

Source: Universal Investment, Bloomberg, August 3rd 2020

40

Since February 2019

ESG Portfolio

Management GmbH

advises the fund

Mayence Fair Value Bond Fonds

ISIN: WKN: Currency: Total fund size:

DE000A2AQZE9 A2AQZE EUR 21,190,842 EUR

Cumulated performance (in %)

1 M 1 J 3 J 5 JSince

inception KJ 2017 2018 2019

Fund 0.95 -1.12 -1.81 -0.89 0.72 -3.07 -0.06

Fund p.a. -0.61 -0.25

Monthly Returns (in %) - ESG Portfolio Management GmbH advises since February 2019

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec YTD

2017 -0.54 1.62 -0.15 1.04 -0.20 -0.35 -0.46 0.09 0.39 0.79 -0.66 0.03 1.58

2018 -0.55 0.07 -0.66 0.61 -0.41 -1.75 1.31 -0.56 0.81 -0.68 -0.73 -0.52 -3.07

2019 1.06 0.63 -0.37 0.68 0.01 -0.30 0.07 -0.98 -0.72 0.12 -0.29 0.04 -0.06

2020 0.41 0.45 -3.93 0.65 0.75 1.55 0.95 0.72


41

since February 1st 2019 ESG Portfolio Management GmbH advises this fund


42

Risk Management

Actively using suitable instruments for risk management:

• Reduction of equity exposure with put options for relevant equity indices like

DAX or EuroStoxx and careful selection of portfolio weightings, strikes and

maturities to remain cost efficient and to introduce a positive convexity to the

portfolios

• In volatile market conditions we use tactical positions for the short term and

anticyclical positions for the longer term.

• Managing the interest duration using various instruments to avoid the „Bund

Future Squeeze Risk“

• Hedging FX exposures

43

Fund data

TranchesSDG Evolution

Flexibel AK I

SDG Evolution

Flexibel AK R

SDG Evolution

Flexibel AK SMayence Fair Value Bond Fonds

Share class Institutional Retail Seed -

WKN A1W9AZ A1W9AA A1W9A0 A2AQZE

ISIN DE000A1W9AZ5 DE000A1W9AA8 DE000A1W9A02 DE000A2AQZE9

Volume 8,577,091 EUR 182,916 EUR 1.912,723 EUR 20,992,319 EUR

mind. order volume From 100,000 EUR Unlimited From 1 mio EUR Ab 25,000 EUR

Distribution Distributing Distributing Distributing Distributing

Current benchmark No benchmark No benchmark No benchmark No benchmark

Costs

(As at May 2 nd 2019)

Total costs* p.a. 1.04% 2.00% 0.67% 1.13%

Advisor ESG Portfolio Management GmbH ESG Portfolio Management GmbH

Investment Management

Company Universal-Investment-Gesellschaft mbH Universal-Investment-Gesellschaft mbH

Custodian State Street Bank International GmbH Joh. Berenberg, Gossler & Co. KG

*related to the last year and estimate for new funds


44

Summary

We offer investment solutions

• Positive impact towards the Sustainable Development Goals

• Positions in corporations and countries with high ESG quality

• Incorporating strict exclusion criteria

• Relatively low CO2-emissions

• Active engagement and proxy voting

• Prudent portfolio construction using different performance drivers

• Active risk management to reduce losses

• Permanent and transparent reporting

45

Managing Partner

• Successful Credit Analyst and Portfolio Manager since 1998

• Bankkaufmann Deutsche Bank Bremen, 1991-1993

• Diplomkaufmann Universität Trier, 1999

• Visiting Scholar New York University, 2000

• Credit Analyst at Deutsche Bank, 1998 - 2000

• Credit Portfolio Manager at Deutsche Asset Management, 2000 - 2004

• Credit Hedge Fonds Manager at Credaris and Tripoint, 2004 - 2007

• Managing Director, Head Non-Financial Credit, Head ESG Credit,

Senior Multi Asset Manager at Deutsche Asset Management, 2007 - 2017

• Partner and Portfolio Manager nordIX AG, 2017 - 2018

• 2018: Founding ESG Portfolio Management GmbH

• Long term member of UN PRI Fixed Income Working Group

• Lecturer at DVFA

• Head DVFA Bond Commission and member of DVFA Sustainable Investing Commission

• Volunteer at CFA Institute

Christoph Klein CFA, CEFA

46

Co-Portfolio Manager

• More than 20 years of professional equity experience

• Advised as equity analyst many fund managers regarding equity selection

• Head of the technology sector research team at Sal. Oppenheim

• Multiple winner as Germany‘s best telecom analyst

• Contributed to more than 40 capital market transactions

• Head of the audit committee at the supervisory board of the TecDax-company

Drillisch AG, until October 2017

• Portfolio Manager of the fund Universal – AHP Aristoteles UI

• Managing Partner of AHP Capital Management

Frank Rothauge CFA

47

Advisory Board

Dr. Bob Buhr

• Founder and Direktor Green Planet

Consulting Ltd.

• Honorary Research Fellow at the Center for

Climate Finance and Investment at Imperial

College Business School.

• previously Managing Director at Citigroup

und Director at Societe Generale

Prof. Dr. Edward Altman

• Director of the Credit and Fixed Income Research

Programme at NYU Salomon Centers

• Professor for Finance at Stern School of Business

(NY University)

• Internationally famous expert for credit risk analysis

• In 2005 Dr. Altman was named by Treasury & Risk

Management as one of the 100 most influential

financial experts

• Internationally known experts in the fields of credit analysis and asset management

• Valuable input and feedback

• Active support in portfolio management

48

Advisory Board

Eveline Lemke

• Founder of Thinking Circular®

• Former Minister for Economy, Climate Protection, Energy and Land Planning in Rhineland-Palatine

• She is a dual trained steel merchant coming from the recycling sector and carries BSc in economy and management (University of Hannover).

Paul Smith, FCA, CFA, MA

• Independent Corporate Director

• He served as President and CEO of CFA Institute

from January 2015 to September 2019

• Previously he owned and ran Asia Alternative Asset

Partners, a Hong Kong Hedge Fund Group

• Global Head HSBC’s Alternative Funds Servicing

• Paul is a Fellow of the Chartered Accountants of

England and Wales, a Chartered Financial Analyst

and holds a Master of Arts degree from Oxford

University

• Internationally known experts in the fields of credit analysis and asset management

• Valuable input and feedback

• Active support in portfolio management

https://thinking-circular.com/

49

Our Partners

50

We are active signatories of the UN PRI

1. We will implement ESG in our decision-making processes

2. We will be active owners

3. We will support transparency

4. We will work to enhance the values in the financial industry

5. We will cooperate to increase the effectiveness

6. We will report about our activities and progress

51

ESG Portfolio Management received a very positive

assessment for its PRI report

Source: PRI Assessment Report 2020

https://www.esg-portfolio-management.com/wp-content/uploads/2020/08/2020-Assessment-Report-

for-ESG-Portfolio-Management.pdf

https://www.esg-portfolio-management.com/wp-content/uploads/2020/08/2020-Assessment-Report-for-ESG-Portfolio-Management.pdf

52

Contact


Christoph Klein, CFA, CEFA

Weißfrauenstraße 12-16

60311 Frankfurt am Main

Mail: [email protected]

Phone: +49 151 50408817

www.esg-portfolio-management.com

DEUTSCHE EXCELLENCE-PRICE 2020

for ESG Portfolio Management

in the category Financials – Startups.

Source: https://www.n-tv.de/ratgeber/tests/Deutscher-

Exzellenz-Preis-2020-verliehen-article21409714.html

Picture: Thomas Ecke / DISQ / n-tv / DUB

mailto:[email protected]

https://www.n-tv.de/ratgeber/tests/Deutscher-Exzellenz-Preis-2020-verliehen-article21409714.html

53

Break MSCI SDG values down to the 17 SDGs

Explanation Impact Measurement Method

For the SDG impact measurement of our funds, we have constructed our own

measurement model based on the MSCI ESG Research Tool. Since MSCI ESG Inc.

relates the impact measurement to 11 subject areas, the challenge was to

meaningfully assign these 11 topics to the 17 SDG’s. This enables an impact

measurement on the respective goals.

The figures in the tables above reflect the estimated annual sales that companies

achieve with products and services that offer sustainable impact solutions based on a

$ 1 million investment in the portfolio or a hypothetical $ 1 million investment used

to replicate the benchmark.

54Source: MSCI ESG, August 3rd 2020, own calculations

1 No poverty

2 Zero hunger

3 Good health and well-being

4 Quality education

5 Gender equality

6 Clean water and sanitation

7 Sustainable energy

8 Decent work and economic growth

9 Industry, innovation and infrastructure

10 Reduce inequalities

11 Sustainable cities and communities

12 Sustainable consumption and production

13 Climate action

14 Life below water

15 Life on Land

16 Peace, justice and strong institutions

17 Partnerships for the goals

Flexibel as at July 31st 2020

MSCI ESG Area MSCI ESG ThemeUSD according

to MSCI ESG

allocation

SDG

Basic Needs Nutrition 108.810 2

Affordable Real Estate 2 1

Major Desease Treatment 18.001 3

Sanitation 6.956 6

Empowerement Education 20.261 4

SME Finance - 1, 8

Climate Change

Alternative Energy 30.032 13

Energy Efficiency 68.902 7

Green Building 11.804 9, 11

Natural Capital

Sustainable Water 8.443 6

Pollution Prevention 147.942 12

Sum (without Hylea) 421.153 50,1%

1,9960 Factor

840.625 100%

in %

2 0,0

108810 12,9

18001 2,1

20261 2,4

0 0,0

15399 1,8

68902 8,2

0 0,0

5902 0,7

0 0,0

5902 0,7

147942 17,6

30032 3,6

0 0,0

0 0,0

55

SDG Impact Measurement for Mayence Fair Value Bond Fonds

35.0 %

5.2 %12.5 % 3.1 %6.9 %


3.7 %

56

1 No poverty

2 Zero hunger

3 Good health and well-being

4 Quality education

5 Gender equality

6 Clean water and sanitation

7 Sustainable energy

8 Decent work and economic growth

9 Industry, innovation and infrastructure

10 Reduce inequalities

11 Sustainable cities and communities

12 Sustainable consumption and production

13 Climate action

14 Life below water

15 Life on Land

16 Peace, justice and strong institutions

17 Partnerships for the goals


Mayence as at Juli 31st 2020

MSCI ESG Area MSCI ESG ThemeUSD according

to MSCI ESG

allocation

SDG

Basic Needs Nutrition 34.661 2

Affordable Real Estate 151 1

Major Desease Treatment 18.477 3

Sanitation 6.365 6

Empowerement Education - 4

SME Finance - 1, 8

Climate Change

Alternative Energy 26.292 13

Energy Efficiency 62.552 7

Green Building 14.919 9, 11

Natural Capital

Sustainable Water 9.155 6

Pollution Prevention 3.205 12

Sum (without Hylea) 175.777 35,0%

2,8571 Factor

502.220 100%

in %

151 0,0

34661 6,9

18477 3,7

0 0,0

0 0,0

15520 3,1

62552 12,5

0 0,0

7460 1,5

0 0,0

7460 1,5

3205 0,6

26292 5,2

0 0,0

0 0,0

35,0%

57

Lower Carbon Footprint and transparent Reporting

*the historic CO2-Values are linked to the current (funds and benchmarks) and are calculated backwards for every corporation

Development of the ESG quality, SDG impact and carbon emissions of the Mayence Fair Value Bonds Fonds compared

to the benchmark (db x-trackers II ESG EUR Corporate Bond UCITS ETF).

Source: MSCI ESG, August 3rd 2020

58

Important Information & Disclaimer

This information is intended exclusively for professional customers or suitable counterparties as defined in the WpHG and is not intended for private customers. This advertisement does not constitute investment advice. No guarantee is given as to the accuracy andcompleteness of the information and any liability for any damage resulting from the use and / or disclosure of this information is rejected.

The information is directed only at investors in the countries in which the respective fund is authorized for distribution. They are not intended for publication or use by persons or companies in a country in which the fund is not authorized for distribution. In particular, the units of the respective fund may not be offered for sale or sold within the USA nor to or for the account of US citizens or US persons resident in the USA. The documents published here, and the information contained therein may not be distributed in the USA or in other countries in which distribution is not permitted.

The fund portrait is for information purposes only and does not constitute investment advice or solicitation to buy or sell shares in the fund. The sole basis for the purchase of units is the sales documents (key investor information, sales prospectus, annual and semi-annual reports) relating to the fund. Sales documents relating to all of the investment funds of Universal-Investment are available free of charge from your adviser / broker, the responsible depositary or Universal-Investment at http://www.universalinvestment.com.

The fund has increased volatility due to its composition and investment policy, which means that unit prices may be subject to significant upward and downward fluctuations within a short period of time. Calculations or yield data are not to be understood as a yield commitment; they are purely indicative and based on data and assumptions that may possibly not be realized in practice, only in a different form or at different times. As a result, there is a risk that, in reality, lower returns or even losses, even total loss, will be achieved. Past performance is no indication of future performance.

ESG Portfolio Management GmbH, headquartered in Frankfurt am Main, is an owner-managed company with core competence in bank-independent advice on capital market products. It develops tailor-made solutions for professional investors in order to generate sustainably adequate income despite rather low risk budgets. ESG Portfolio Management is initiator and advisor to the funds SDG Evolution Flexibeland Mayence Fair Value Bond Fonds.

The information may not be reproduced in extracts or as a whole without the written permission of the creator or passed on to other persons. ESG Portfolio Management GmbH is part of the investment brokerage of financial instruments and investment advice pursuant to Sec. § 1 KWG exclusively on account and under the liability of AHP Capital Management GmbH, Weißfrauenstraße 12-16, 60311 Frankfurt am Main, active (§ 2 para 10 KWG).

fng designation for both funds · 1 as at august 121h 2020 only for professional investors. no...

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