What is ESG?

ESG – stands for environmental, social and governance – a term that is used by investors to describe areas that characterize a sustainable, responsible, or ethical practices of a company. Companies with strong sustainability show greater operational performance with lower risk. In addition, investment opportunity that incorporates ESG elements has been proven to perform better and creates significant value for both the companies and investor.

E – ENVIROMENT

It is related to the company’s advocacy of nature itself. Matters such as reduction of pollution, waste prevention, and proper environmental management are taken into consideration to create a positive corporate environment.

S – SOCIAL

It is the area to foster a good relationship with three major stakeholders – employees, customers, and community with practices such as diverse workforce, uphold human rights and worker safety standards which will influences a company’s financial performance.

G – GOVERNANCE

Governance deals with areas such as company’s leadership, financial management, and stakeholder rights. A good corporate environment leads to better evaluation within firms. This applies to a company’s legislation with functional and transparent board structure, which affects the company’s leadership environment.

Integrating ESG in the investment process based on our philosophy:

Sustainability:
ESG data shows sustainability performance of a company that is linked directly to the long-term financial success of the company with positive economic and social value.

Quantitative:
We apply a rules-based quantitative process. It is to remove biases, in -depth assessment of quantity to obtain relevant information.

From more than 50,000 sources of data and news signals across 15 languages and applying more than 200 ESG metrics, we are able to assess the sustainability performance of companies, insights on the management quality of a company and strategic decisions taken to secure long-term financial success.
Companies are rated from the normative principles of the United Nations Global Compact (UNGC) that covers Human Rights, Labours Rights, the Environment and Anti Corruption, which is a first kind in Malaysia.

Explore a diverse range of investment opportunities designed to meet both your individual and corporate financial goals seamlessly. Our fund offerings are tailored to align with your needs, ensuring not only potential profitability but also sustainable returns. Our Shariah-SRI fund offerings are as follows: