Sagitta SGR, in line with Arrow Global’s sustainability program, is committed to adopting the principles of sustainability as defined by the 2030 Agenda, with the aim of acting increasingly responsibly towards its stakeholders: shareholders, communities , investors and employees, as well as to all the third parties.
Sagitta SGR has decided to apply the principles of responsible finance to its business. This approach will be deployed, with the aim at increasing long-term financial growth, also thanks to the use of environmental, social and governance (ESG) variables, both directly and through the choices to be made in the development of the investment policies of its funds.
The introduction of ESG criteria within the entire life cycle of an investment is an essential factor for the creation of lasting value and valorization of the assets.
Taking these principles fully into consideration allows the SGR to seize risks and opportunities, usually less considered, which could have a direct impact on the financial returns of its investors and shareholders.
LACK OF CONDISERATION OF NEGATIVE EFFECTS ON SUSTAINABILITY
Sagitta SGR S.p.A. (the “Company“), as a “financial market participant”, already considers certain negative effects of the investment decisions by carrying out a negative ESG screening on the investments and, under identified conditions, a positive ESG screening. In particular, with reference to all products, the Company has decided not to invest directly in issuers operating in the production of unconventional armaments, such as atomic weapons, prostitution and pornography, operating in the unalloyed asbestos fibres sector or in the production of radioactive material, in the production or trade of illegal drugs or narcotics or in the trade of recreational cannabis or in the production and distribution of opioids, as well as in entities that have received criminal convictions that have become final, or that do not guarantee the respect of human rights including forced or harmful child labour or that make systematic use of corruption in the management of the business. In relation to credit and multi-asset funds (for the credit part), the investment consists of the purchase of credits, notes or invoices from banks and the underlyings may be companies operating in sectors that would be excluded by applying the above negative screening. In the case of real estate funds, negative screening refers to the purchase of real estate from issuers operating in those sectors and which will remain in use by companies operating in those sectors. Similarly, the real estate acquired is sold or leased, rented or in another equivalent form to entities operating in the excluded sectors.
However, given that:
- the reference regulatory framework needs to be supplemented by the detailed provisions contained in a specific delegated regulation of the European Commission, currently published in its draft version, whose entry into force is set for 1 January 2023;
- the detailed provisions under (i) do not serve as a further specification of the provisions contained in Regulation (EU) 2019/2088 of the European Parliament and of the Council of 27 November 2019 on sustainability reporting in the financial services sector, as amended by Regulation (EU) 2020/852 of the European Parliament and of the Council of 18 June 2020 on establishing a framework to encourage sustainable investment and amending Regulation (EU) 2019/2088, but as a necessary complement to the top-level framework;
- the Company employs less than 500 people directly;
the Company, although it has already undertaken an internal process aimed at integrating risk and sustainability factors into its decision-making processes, at this first stage it does not take into consideration the negative effects of investment decisions on sustainability factors pursuant to Article 4, co. 1, letter b) of Regulation (EU) 2019/2088 of the European Parliament and of the Council of 27 November 2019, for the reasons given above, unless specifically provided for in the investment products.
From 1 January 2022, the Company declares that it takes into account the adverse effects of investment decisions within the meaning of Article 4(1)(a) of Regulation (EU) 2019/2088 of the European Parliament and of the Council of 27 November 2019, in accordance with company policies.