The Polaris funds are ODDO BHF AM’s longstanding traditional funds, managed in Frankfurt by a stable and experienced team that has been through many different market phases since 2005. These four diversified funds, with risk profiles adapted to different types of investors, now formally integrate ESG criteria into their investment process.
The ODDO BHF Polaris fund range, with 4 or 5 stars, is mainly invested in listed international equities and bonds, selected for their robustness and the quality of their fundamentals. With €3 billion of assets under management as of 31 March 2021, it has a 15-year track record, demonstrating the value of the stock selection process which we believe is at the heart of an alpha generation.
With a Morningstar sustainability rating of 4 or 5 globes, ODDO BHF Polaris Moderate, ODDO BHF Polaris Balanced, ODDO BHF Polaris Dynamic, and ODDO BHF Polaris Flexible exclude more than 20% of their investment universe (MSCI ACWI index) based on rigorous ESG criteria. In addition, at least 90% of the securities in the portfolio are rated according to non-financial criteria. In line with ODDO BHF AM’s sustainable investment policy, the four funds also exclude companies that do not comply with the United Nations Global Compact Principles. With the aim of obtaining an ‘A’ rating, the lowest-rated companies on the MSCI5 scale are also excluded. Finally, the systematic dialogue with the companies in the portfolio allows the portfolio managers to ensure the ESG progress of the funds.
“The explicit integration of ESG criteria in the selection process of the ODDO BHF Polaris funds further strengthens our sustainability profile. We believe that well-managed companies with responsible practices can outperform over the long term.”
Prof. Dr. Jan Viebig, CIO ODDO BHF AG and Head of Portfolio Management ODDO BHF TRUST, responsible for the Polaris fund range.
“We are convinced that taking ESG criteria into account in the investment process creates value for our clients. From now on, 52% of our assets in open-ended funds include ESG criteria at ODDO BHF Asset Management and we are delighted with this.”
Martina Macpherson, Head of ESG Strategy for Asset Management and Private Equity at ODDO BHF AM.