Etica Sgr is the only Italian asset management company that exclusively offers socially responsible mutual funds. The aim of the investment solutions is to create medium-long-term return opportunities by focusing on the real economy and favouring business and countries that adopt strong environmental, social and governance (ESG) practices.

Website: Etica Sgr

Etica Sgr is the asset management company of Banca Etica Group. Established in 2000 on the initiative of Banca Etica, with the collaboration of Banca Popolare di Milano, it has now also brought on board Banco BPM, BPER Banca, Banca Popolare di Sondrio and Cassa Centrale Banca – Credito Cooperativo del Nord Est. It is currently the only Italian asset management company that exclusively offers socially responsible mutual funds designed to represent the values of ethical finance in financial markets. Etica Sgr also offers consulting services to institutions seeking to plan their investments in keeping with environmental and social criteria, and it is a pioneer in Italy of active shareholding. The processes of analysing social responsibility and active shareholding with regard to the funds and the consulting service are certified as compliant with the requisites of the UNI EN ISO 9001:2015 standard. Etica Sgr funds are distributed throughout Italy by virtue of commercial agreements with over 200 placement agents that include banks, consulting networks and online placement agencies. Since 2009, Etica Sgr has adhered to the Principles for Responsible Investment (PRI) of the United Nations, and in 2015 it signed the Montréal Carbon Pledge, an action promoted by UNEP and PRI for the measuring and reporting of the carbon footprint of equity investments. Etica Sgr is also a founding member of Shareholders for Change, set up in Milan on 6 December 2017.

Etica Sgr, the asset management company of Banca Etica Group, exclusively offers socially responsible mutual funds, aimed at both private and institutional investors. The shares and securities that make up Etica sgr’s funds are selected based on two different types of analysis: financial and extra-financial. The aim of the extra-financial analysis is to identify the most virtuous countries from a social and environmental perspective and the companies most attentive to sustainability and collective wellbeing. For this reason, issuers are subjected to a detailed analysis and assessed according to environmental, social and governance parameters. Each one is assigned an overall score, based on the assessment of numerous indicators (65 for companies and 55 for countries). Issuers with scores above an absolute threshold and the best in class in their Sector are admitted to Etica sgr’s “Investable Universe”. An independent, authoritative Ethics Committee oversees the whole process for the definition of this Investable Universe. Once the Investable Universe of shares and securities with high ethical and ESG standards has been identified, the financial analysis is conducted. The aim of this analysis is to make up the Etica Sgr investment fund portfolio. The financial management is entrusted to an investment fund manager.

Investors in Etica Sgr funds can choose to devolve 0.1% of the capital invested (1 euro per each thousand) to a fund for projects in Italy with significant social/environmental value, selected by Banca Etica and funded by microcredit and crowdfunding. Etica Sgr also offers consulting services to institutional investors (pension funds, brokerage companies, management companies, religious entities, etc.) wishing to invest in initiatives respectful of the environment and

human rights. Etica Sgr was also the first asset management company in Italy to carry out active shareholding activities, intervening each year in the shareholders’ meetings of some of the companies whose funds it invests in in order to urge the companies to commit to social, environmental and governance objectives. The processes of social responsibility and active shareholding regarding the funds and consulting services are certified as compliant with the requisites of the UNI EN ISO 9001:2015 standard. Since 2009, Etica Sgr has adhered to the Principles for Responsible Investment (PRI) of the United Nations, and in 2015 it signed the Montréal Carbon Pledge, an action promoted by UNEP and PRI for the measuring and reporting of the carbon footprint of equity investments. Banca Etica has built up a network of financial services and services for cultural, environmental and human advancement, together with Etica Sgr and Fondazione Finanza Etica.