Themes and sectors
The general principles of responsible investing that Delta Lloyd has implemented, are laid down in our Responsible investment policy. In addition to this general policy, we have developed and written our vision on certain sectors and themes relating to sustainability. To decide which sectors and themes that should be, we have looked at the sustainability objectives of Delta Lloyd on the one hand (resulting in climate change and human rights), and we have conducted a materiality analysis of our investments on the other.
In the materiality analysis we have identified sectors that are important to us in terms of invested capital (such as sovereign bonds and the sectors Financials and Consumergoods) and we have identified sectors that are important because of their large (potential) ESG impact (such as the Oil & Gas sector, and Construction & Real Estate).
We have set additional policies for these most material sectors.
It is our ambition to write, implement and publish policies on more themes and sectors step by step. Our vision on specific themes and sectors -as an addition to our Responsible investment policy- can be found below in detail.
Focussectors and focusthemes
Focustheme Climate change
Focustheme Human rights
Sectorvision Financial service providers
Sectorvision Oil & Gas
Sectorvision Construction & Real Estate
We also publish our view regarding various other sectors and themes.
Thematic paper Nature
Thematic paper Myanmar
Thematic paper Landgrabbing
Traditionally, sovereign bond investments form the cornerstone of pension investments, because of the long term consistency of this asset class. For Delta Lloyd as well, government bonds (also called 'sovereigns') are by far the biggest investment-category. The unique position of sovereign bond investments within Delta Lloyd Asset Management's investment strategy calls for a separate ESG policy. More about this can be found under the Country policy header.
In the abovementioned sustainability policies on sectors and themes, we describe how we want to assess and judge these subjects. This does not mean that everything is implemented directly. However, we are transparent about the direction into which we want to develop, what we think is most relevant and what we expect from companies in these sectors.
To further implement these policies, we will conduct an impact analysis, assessing how the companies in our portfolios behave in these areas, and we will investigate which of the elements in these policies are already part of our ESG research and which elements are not. In this way, we translate our ideas into our investment process, such as the analysis of ESG information, or entering into engagement dialogues.