For Professional investor use only, not suitable for use with a retail audience. This is a marketing communication. Please refer to the prospectus of the Fund and to the KIID and/or offering documents before making any final investment decisions. Please refer to the sustainability-related disclosures for information on the commitments of the portfolio(s).
As impact investing gains traction, investors, regulators and end clients are placing greater scrutiny on impact measurement and management (IMM). While the quest for robust IMM practices and standards may be shared by the impact community, the journey is less than straightforward. Impact investors need to balance myriad nuances with an objective, transparent and evidence-based approach to impact assessment and measurement.
Wellington's Impact Platform has a robust framework to assess impact according to materiality, additionality and measurability. While these requirements provide a sound starting point for identifying impact companies and issuers, clarifying the impact thesis for some investments can be more challenging, requiring granular analysis. Impact measurement is even trickier. Developing a standard set of impact key performance indicators (KPIs) or leveraging IMM frameworks might bolster the authenticity and transparency of impact, but every company, issuer and issue is different. A blanket approach could lead to the exclusion of worthy candidates from the impact opportunity set. Here, we offer a few examples of common issues where a fundamental, issuer-specific approach can help.
This post is funded by Wellington Management
Disclaimer:
This material and its contents may not be reproduced or distributed, in whole or in part, without the express written consent of Wellington Management. This document is intended for marketing purposes only. It is not an offer to anyone, or a solicitation by anyone, to subscribe for units or shares of any Wellington Management Fund ("Fund"). Nothing in this document should be interpreted as advice, nor is it a recommendation to buy or sell securities. Investment in the Fund may not be suitable for all investors. Any views expressed in this document are those of the author at the time of writing and are subject to change without notice. Fund shares/ units are made available only in jurisdictions where such offer or solicitation is lawful. The Fund only accepts professional clients or investment through financial intermediaries. Please refer to the Fund offering documents for further risk factors, pre-investment disclosures, the latest annual report (and semi-annual report), and for UCITS Funds, the latest Key Investor Information Document (KIID) before investing. For each country where UCITS Funds are registered for sale, the prospectus and summary of investor rights in English, and the KIID in English and an official language, are available at www.wellington.com/KIIDs. For share/unit classes registered in Switzerland, Fund offering documents in English, French, Swiss French can be obtained from the local Representative and Paying Agent — BNP Paribas Securities Services, Selnaustrasse 16, 8002 Zurich, Switzerland. Wellington Management Funds (Luxembourg) and Wellington Management Funds (Luxembourg) III SICAV are authorised and regulated by the Commission de Surveillance du Secteur Financier and Wellington Management Funds (Ireland) plc is authorized and regulated by the Central Bank of Ireland. The Fund may decide to terminate marketing arrangements for shares/units in an EU Member State by giving 30 working days' notice.
In the UK, issued Wellington Management International Limited (WMIL), a firm authorised and regulated by the Financial Conduct Authority (Reference number: 208573).
©2022 Wellington Management. All rights reserved. As of 30 September 2022. WELLINGTON MANAGEMENT FUNDS ® is a registered service mark of Wellington Group Holdings LLP
