Seeyond applies the following regulatory exclusions to all its portfolios:
- Blacklisted states: Seeyond does not invest in countries subject to US or EU embargo, mentioned on the EU list of non-cooperative jurisdictions for tax purposes or which have been identified by the Financial Action Task Force as having strategic AML/CFT deficiencies.
- Anti-personnel mines and cluster bombs: exclusion of any companies involved in the production, use, storage, sale and transfer of anti-personnel mines and cluster bombs in accordance with the Ottawa convention and Oslo Treaty, to both of which France is a signatory.
In addition, Seeyond refuses to support sectors or issuers fail to respect fundamental principles of corporate social responsibility. This is central to the credibility of its responsible approach and fiduciary duty to its clients. Seeyond applies the following exclusions to equities:
- Controversial weapons :
- Biological and chemical weapons*: exclusion of all issuers involved in the in the production, use, storage, sale and transfer of biological and chemical weapons
- Depleted uranium ammunition*: exclusion of all issuers involved in the in the production, use, storage, sale and transfer of depleted uranium ammunition.
- Coal*: exclusion of issuers who earn more than 25% of revenue from either coal mining or coal-fired power generation.
- Worst offenders* :
- Exclusion of all issuers who fail to respect the principles of the UN Global Compact principles on Human Rights, Labour, Environment and Anti-Corruption.
- Exclusion of issuers that undergo the most severe controversies
* excluding Index-linked portfolios which are constrained by their benchmark indices and client dedicated equity portfolios to which the client’s policy might apply
On the other asset classes, in view of their specific features, the incorporation of ESG criteria throughout Seeyond's active quantitative investment processes is currently being structured and work is under way on how they might be incorporated consistently to Seeyond’s quantitative investment approaches.