AN EFFECTIVE AND EFFICIENT ESG/SRI/SI APPROACH THAT IS TRULY INTEGRATED
THERE IS A REMARKABLE LACK OF STANDARDS REGARDING WHAT IS ESG/SRI/SI AND THEREFORE A LOT OF CONFUSION. EVEN MORE IMPORTANTLY, THE COMMON METHODOLOGIES TYPICALLY FOCUS ON LISTED LARGE CAP AND USE "OLD" DATA WHICH CAN LEAD TO SUBSTANTIAL WEAKNESSES. WE DEVELOPED AN APPROACH THAT IS CONSISTENT AND INTEGRATIVE IN ORDER TO TAKE ACCOUNT OF WHAT WE CALL "FUTURE CONSCIOUSNESS"
Currently, we propose a methodology for the dynamic integration of the future conscious dimension for equity - encompassing very small to very large cap - and their related debt as well as the financial commodities markets
- Equity and debt: a system based on a set of Key Risk Indicators (KRIs) which includes several eliminating KRIs. With KRIs, the methodology is effectively consistent and allows proper monitoring. Above all, it is useful for the evaluation of small and very small companies. The main characteristics are following:
- A score for each company
- A score of 0 (eliminating in absolute) in case of a proven risk control matter. It can be revalued under certain circumstances
- A deep cut of the of points, if the Board of Directors is not clearly independent
- For a consumer product or service, a KRI is the independent testing under real conditions ordered by the Board of Directors
- Commodities: there, it is about the so-called 4th generation Strategies that are future conscious - our Strategies do reflect that
- By not including commodities exhibiting too erratic price movements (commodities that are nature related, for example) if not wanted
- Go long and short but without excessive leverage
- Consider commodities in a broader market context: especially the risk information provided by markets from other sectors. That risk-based approach allows to avoid the potential negative impact of classic trend-following Managed Futures during a trend - especially when it is smooth for a while
- Better, our modular approach allows for high flexibility at the level of the individual commodities to be combined together (Client needs related)
PLEASE DON'T HESITATE TO ASK FOR A PROPOSAL (RFP) REGARDING OUR METHODOLOGY VIA "CONTACT US"