ESG Integration in Fisher Investments' Investment Process

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We Evaluate and Integrate ESG Factors Throughout the Investment Process

Fisher Investments’ Investment Process

Top-Down Investment Process

Fisher Investments employs a top-down investment process, leveraging a large research team to help make sense of a complex and vast investment landscape. Capital Markets Analysts and the Investment Policy Committee (IPC)—with over 150 years of combined industry experience—consider sustainability risks and ESG factors among the many economic, political and sentiment drivers when developing country, sector and thematic preferences. The investment strategy and positioning reflects Fisher Investments’ outlook over a 12-18 month horizon.

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A Variety of Factors

ESG factors assessed when determining country and sector/industry allocations and shaping an initial prospect list of portfolio positions include, but are not limited to:

  • Environmental regulation

  • Social policy

  • Economic and market reforms

  • Labour and human rights

Assess Importance and Refine

Fisher Investments’ Investment Policy Committee (IPC), supported by Securities and Capital Markets Analysts, determines the materiality of the ESG considerations based on the exposure among publicly traded companies in these categories. Higher materiality could imply larger ESG-related risks or opportunities, and may influence sector and country weight preferences as well as individual security selection.

Fisher Investments is able to refine prospective equity lists further by applying the firm’s or client-provided responsible investing screens to the list of prospective securities for separately managed accounts.

ESG Top-Down Process

Bottom-Up Investment Process

Fisher Investments’ Securities Analysts perform fundamental bottom-up research to identify securities with strategic attributes consistent with the firm’s top-down views. Analysts review and evaluate a comprehensive set of qualitative and quantitative data—including ESG factors—during the fundamental research process prior to purchasing a security. Factors considered in portfolios include, but are not limited to shareholder concentration, corporate stewardship, environmental opportunities and liabilities, and labour or human rights controversies.

How Does A Top-Down Process Benefit ESG Investors?

Fisher Investments believes that asset allocation and sub-asset allocation decisions are critical to long-term investment success and that our top-down investment process is particularly well suited to building successful responsible investing portfolios.

We believe ESG investors are best served by an investment process that considers both top-down and bottom-up factors. Integrating ESG analysis at the country, sector and security levels consistent with clients’ investment goals and ESG policies increases the likelihood of achieving desired performance and improving environmental and social conditions worldwide.

Learn More About Our ESG Strategies

ESG Policy Statement

Learn more about how Fisher Investments considers ESG factors throughout our investment process.

Download Our PDF

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