Responsible Investment not only involves looking at the financial matrix of a company, but also at qualitative matrices that try to assess companies based on longer-term risk factors.

People, planet, and growth issues impact a company’s daily operations and its long-term success. That’s why we consider these dimensions throughout our investment process.

Besides financial aspects, we factor environmental, social and governance criteria into our analysis of all investments.

Because we care.

In the long run, this investment approach strives to result in improved risk-adjusted returns, as ESG leaders will manage industry-specific risks more efficiently than their competitors and thus report higher profitability and credit worthiness.

What is unique?

Responsible Investment at Julius Baer is unique for three reasons:

Different from our peers

Julius Baer considers ESG as an additional investment criteria during the investment selection process. As a result, we are in the process of integrating this complementary layer to all our investments and do not exclude certain companies based on ethical considerations which might not be suitable for all our clients. With this approach we aim to become more aware of the risks and opportunities of all our investment recommendations to our clients by understanding different dimensions in addition to traditional financial analysis. This makes us distinctive and puts us ahead of our global peers as well as provides an extra brake that helps clients avoid large losses.

Fully transparent

To promote awareness and transparency of environmental, social and governance dimensions for our clients, we publish MSCI ESG Ratings and the MSCI ESG Impact Monitor for equities and fixed income in our research reports and marketing materials. MSCI ESG Research is an in-depth research, ratings and analysis provider of environmental, social and governance-related business practices.

Incubator for industry leaders

As we decided to actively promote the acceptance of responsible investment within the investment industry, Julius Baer is the incubator and first-reference client of Morningstar's soon-to-be-launched ESG score for funds. Morningstar is a leading provider of independent investment research. Our Fund Solutions team will integrate Morningstar’s fund ESG score to its fund due diligence process, and the Julius Baer Responsible Investment Fund Rating will soon become available to clients.

Julius Baer signatory of the Principles for Responsible Investment (PRI)

Julius Baer signed the United Nations-supported Principles for Responsible Investment (PRI) Initiative in September 2014, and we are in the process of incorporating the Principles throughout Julius Baer. As a signatory, we are committed to follow the PRI guidelines by incorporating ESG metrics into our investment decision-making and ownership practices and to report about our activities under the annual reporting framework.