The investment strategy of Trecento AM is guided by conviction based on a deep understanding of the companies it invests in. Trecento AM, on behalf of its clients, invests in financial markets, especially in listed equities around the world.
Investing to allocate additional resources and thus contribute to financing today’s and tomorrow’s key challenges is in the DNA of our company.
Since its inception, Trecento AM has invested in a socially responsible way, both within its structure and its financial investments.
As regards its investment strategy, Trecento’s management team strives to integrate a socially responsible consideration in response to major issues in some sectors, such as healthcare and robotics. As the management team acknowledges that taking into account environmental, social and governance criteria leads to better risk assessment, some ESG criteria are analysed as part of the fundamental research done on companies. As part of its investment policy, Trecento AM has decided not to consider simultaneously environmental, social and governance criteria but to analyse them independently.
The main ESG criteria considered:
- Overall policy of the company (ESG policy implemented)
- Governance (independent members in the governing bodies)
- Social (Stock ownership incentive plan for employees, non-discrimination policy)
Trecento’s investment policy on the financial markets is conducted through shares in publicly-traded companies. As the weight of its investment in each company is a minority participation, Trecento has no influence during general meetings of shareholders. In this context, Trecento defined a voting policy allowing it to vote when the investment represents more than 3% of the capital of the company.
The analysis of extra-financial criteria (environmental, social and governance issues) contributes to a better risk assessment.
Trecento AM share all of its reports on the ESG criteria on its website.
Collective Investment Schemes involved
The mutual funds Trecento Santé and Trecento Robotique each have net assets inferior to EUR 500 millions, Trecento AM is therefore not required to publish a report for these funds that explain the procedures to take into account the ESG criteria for these funds. However Trecento AM confirms that, during its investment process, the management team includes some analysis of socially responsible criteria. Even if Trecento AM has elected not to take into account ESG criteria simultaneously, it analyses them separately on several points.
Trecento AM also manages Employee Savings Plans for hundreds of employees of different companies. An employee saving plan is an important social initiative.
None of the employee savings plans managed by Trecento has net assets higher than EUR 500 millions, which explains why Trecento AM does not publish a report for these funds highlighting the procedures to take into account ESG criteria. However, when investments of these funds are not made directly through equities or obligations but through funds, the management team commits to select external funds compliant to SRI or ESG certification or label.
Accession to PRI
Trecento AM is a PRI signatory since 2015. The Transparency report is available on the internet.