Responsible Investment at ING Luxembourg
As a company and a player in society, ING conducts business honestly and responsibly, taking current and future generations into consideration. Acting sustainably not only means reducing our environmental footprint. It applies to all the choices we make – as an employer, an investor, and a credit institution and in the products and services we offer to our customers.
As a signatory of the Principles for Responsible Investment (PRI), the ING group is firmly intent on positioning itself as a key player in the sphere of sustainable investment products. Knowing that financial services play an important role in creating a responsible world, we want to contribute to this by offering investment solutions that have a positive environmental and social impact.
What is responsible investment?
Socially Responsible Investment (SRI), alongside the search for financial performance, takes into account non-financial criteria (ESG: Environment, Social, Governance) in assessing and selecting assets to generate social and/or environmental added value. The analysis of ESG aspects makes it possible to incorporate a responsibility approach but also to select the players best prepared for the changes in our society and best anticipating their risks and the challenges of tomorrow.
- Air, water and ground pollution
- Greenhouse gases emissions
- Energy use and efficiency
- Raw materials consumption
- Water and waste management
- Biodiversity and its protection
- Lifecycle impacts
- Net social utility
- Working conditions, health & safety
- Diversity programmes
- Human righty
- Relationships with stakeholders (unions, NGOs, communities, etc.)
- Supply chain management
- Materials sourcing
- Product safety and quality
- Customer relationships
- Culture and ethics
- Shareholder rights
- Audit and accounting
- Corruption and bribery
- Board and Board Commitee characteristics
- Board member competence
- Risk management
- Regulatory capture
Why invest in socially responsible financial instruments?
As a consumer, you already act responsibly by choosing sustainable products or sorting your waste. As an investor, you can also play a role in the development of a greener, more socially responsible society.
The benefits are real:
• You invest for a better world for yourself, for others, and for future generations.
• You invest in transparent companies committed to the future and sharing our sustainability ambitions.
• The invested assets retain their standard performance drivers and could eventually benefit from the sustainable strategy of the company in question. At ING, we even believe that those businesses and countries that adopt a sustainable position will fare better in the long term. By keeping up with consumers, increasingly eager for sustainable products, they will be ones that survive and grow.
Sustainable investment solutions at ING Luxembourg
The SRI approach is central to our management philosophy. More than a revolution, it is a natural evolution that affects many of our investment solutions:
- SRI styled discretionary management: based on its own methodology and a battery of more than a hundred ESG indicators, the restrictions of SRI management aim to optimise the non-financial score of portfolio investments (directly managed equities and/or bonds, investment funds selected on the basis of an open architecture) to favour players with the best sustainable positioning. This type of mandate, built on an open-architecture selection, is available starting at 2,000,000 euros.
- ING Aria Sustainable Bonds “house” fund of directly managed bonds: this fund invests primarily in a selection of green, social, and/or sustainable bonds from private and public issuers. This selection is based on the application of negative screening (exclusion of certain issuers on an ethical basis) and positive screening (focus on issuers with a high ESG score with an equivalent financial profile).
- A range of SRI funds: our range of ING Aria Lion funds is making a smooth transition to sustainable finance. This range will then offer the perfect compromise between ING’s investment strategy and an open-architecture selection of the market’s best sustainable funds.
- SRI building block: through a Private Banking Access Service (PBAS) advisory management mandate, you can access a selection of the market’s best sustainable funds (geographic equity funds, thematic funds, funds of funds, etc.)
We go green!
More information about responsible investment
Investors sometimes find it difficult to identify funds that reflect their own sustainable goals. How can you be sure that the funds are really sustainable?
Socially Responsible Investment is attracting increasing levels of investor interest. Despite its growing success, however, misconceptions still abound.