Carmignac

Our 2021 stewardship report

At Carmignac, we believe a company that does not function in harmony with its environment and stakeholders is doomed for failure. We have always been mavericks, we have always tried to make a difference, sometimes by taking side roads and always with our clients in mind. Being a family business enables us to take a long-term view while embracing Environmental, Social and Governance (ESG) credentials.

In more than 30 years of existence, we have managed to maintain and evolve a longheld practice of investing responsibly by avoiding tobacco or companies involved in the manufacture of controversial weapons. Also, we have focused on companies with a minimum appropriate level of corporate governance standards and transparency, and even more so given our long-standing exposure in emerging markets. It was deemed necessary, as we committed ourselves to make available to our clients and retail investors, asset classes and products mostly reserved to institutional investors. Over time, our active approach has remained steadfast, driven by our ultimate purpose: to efficiently manage investors’ savings.

Our responsible investment approach gives us an in-depth picture of a company’s true potential, helping us to make better investment decisions. ESG considerations are integrated within our investment team’s approach across all asset classes. I encourage you to read this inaugural Stewardship Report for you to see what we have achieved in 2021. Taking into account our investors’ interests we have continued to evolve our practices to render our accountability and understanding of ESG risks and opportunities more efficiently and take our active management and ownership a step further.

Our investors’ expectations have also evolved as they are increasingly mindful of the impact of their investment decisions on the planet they live in and on the society they are part of. Carmignac’s commitment to responsible investing is, in parallel, increasingly reflected in our fund offering as we aim to empower our end clients.

In 2021, we have engaged teams all across the firm and reached close to 90% of our assets classified Article 8 and 9 under the European Sustainable Finance Disclosures Regulation (SFDR).

As we explain in this report, this was supported by the launch of our rigorous “Outcomes Framework” for Article 9 funds based on the United Nation’s Sustainable Development Goals (SDGs) which requires companies to derive at least 50% of their revenues from activities which have a positive contribution to at least one of nine SDGs we deem as investable. These positive developments come with the recognition that the investment industry is only at the beginning of the journey towards greater integration of ESG considerations within investments. We will continue to evolve and improve our processes, actively, and with a fair balance of humility, creativity and hard work.

Managing ESG risks and opportunities across all asset classes has become overtime a key feature of our primary mandate, which is to manage our investors’ money efficiently over the long-term. Our actions do not stop at the investment decision level. We are also an active owner of the companies we invest in, on behalf of portfolios managed.

As we describe in this report, we use our voice through company engagement and exercise our voting rights to encourage them to adopt best practices and to transition to a more sustainable profitability, in line with Carmignac’s three ESG themes of focus: Climate change, Empowerment and Leadership.

In 2021, we undertook 84 company engagements and opposed the management of our investee companies at least once at 41% of the shareholder meetings we voted.

Ultimately, we believe that our fiduciary objective covers both financial returns and creating positive value for society and the environment. I hope you will find reading this report worthwhile.

2021 Stewardship Report

Our mission is to create value for our clients and positive outcomes for society and the environment

Download the report

Marketing communication. Please refer to the KIID/prospectus of the fund before making any final investment decisions. ​​This document is intended for professional clients.

This material may not be reproduced, in whole or in part, without prior authorisation from the Management Company. This material does not constitute a subscription offer, nor does it constitute investment advice. This material is not intended to provide, and should not be relied on for, accounting, legal or tax advice. This material has been provided to you for informational purposes only and may not be relied upon by you in evaluating the merits of investing in any securities or interests referred to herein or for any other purposes. The information contained in this material may be partial information and may be modified without prior notice. They are expressed as of the date of writing and are derived from proprietary and non-proprietary sources deemed by Carmignac to be reliable, are not necessarily all-inclusive and are not guaranteed as to accuracy. As such, no warranty of accuracy or reliability is given and no responsibility arising in any other way for errors and omissions (including responsibility to any person by reason of negligence) is accepted by Carmignac, its officers, employees or agents.​

Past performance is not necessarily indicative of future performance. Performances are net of fees (excluding possible entrance fees charged by the distributor).​ The return may increase or decrease as a result of currency fluctuations, for the shares which are not currency-hedged.​

Reference to certain securities and financial instruments is for illustrative purposes to highlight stocks that are or have been included in the portfolios of funds in the Carmignac range. This is not intended to promote direct investment in those instruments, nor does it constitute investment advice. The Management Company is not subject to prohibition on trading in these instruments prior to issuing any communication. The portfolios of Carmignac funds may change without previous notice. The reference to a ranking or prize, is no guarantee of the future results of the UCIS or the manager.​

Morningstar Rating™ : © Morningstar, Inc. All Rights Reserved. The information contained herein: is proprietary to Morningstar and/or its content providers; may not be copied or distributed; and is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information.​

Access to the Funds may be subject to restrictions regarding certain persons or countries. This material is not directed to any person in any jurisdiction where (by reason of that person’s nationality, residence or otherwise) the material or availability of this material is prohibited. Persons in respect of whom such prohibitions apply must not access this material. Taxation depends on the situation of the individual. The Funds are not registered for retail distribution in Asia, in Japan, in North America, nor are they registered in South America. Carmignac Funds are registered in Singapore as restricted foreign scheme (for professional clients only). The Funds have not been registered under the US Securities Act of 1933. The Funds may not be offered or sold, directly or indirectly, for the benefit or on behalf of a «U.S. person», according to the definition of the US Regulation S and FATCA. Company. The risks, fees and ongoing charges are described in the KIID (Key Investor Information Material). The KIID must be made available to the subscriber prior to subscription. The subscriber must read the KIID. Investors may lose some or all their capital, as the capital in the funds are not guaranteed. The Funds present a risk of loss of capital. ​

The Funds’ prospectus, KIIDs, NAV and annual reports are available at www.carmignac.com, or upon request to the Management​ Carmignac Portfolio refers to the sub-funds of Carmignac Portfolio SICAV, an investment company under Luxembourg law, conforming to the UCITS Directive.​ The French investment funds (fonds communs de placement or FCP) are common funds in contractual form conforming to the UCITS or AIFM Directive under French law

  • UK: This document was prepared by Carmignac Gestion and/or Carmignac Gestion Luxembourg and is being distributed in the UK by Carmignac Gestion Luxembourg UK Branch (Registered in England and Wales with number FC031103, CSSF agreement of 10/06/2013).​ ​FP Carmignac ICVC (the “Company”) is an Investment Company with variable capital incorporated in England and Wales under registered number 839620 and is authorised by the Financial Conduct Authority (the “FCA”) with effect from 4 April 2019 and launched on 15 May 2019. FundRock Partners Limited is the Authorised Corporate Director (the “ACD”) of the Company and is authorised and regulated by the FCA. Registered Office: Second Floor, 52-54 Gracechurch Street, London EC3V 0EH, UK; Registered in England and Wales with number 4162989. Carmignac Gestion Luxembourg SA, UK Branch (Registered in England and Wales with number FC031103, CSSF agreement of 10/06/2013) has been appointed as the Investment Manager and distributor in respect of the Company.

  • In Switzerland: the prospectus, KIIDs and annual report are available at www.carmignac.ch, or through our representative in Switzerland, CACEIS (Switzerland), S.A., Route de Signy 35, CH-1260 Nyon. The paying agent is CACEIS Bank, Montrouge, Nyon Branch / Switzerland, Route de Signy 35, 1260 Nyon.

The Management Company can cease promotion in your country anytime. Investors have access to a summary of their rights in English on the following links: UK ; Switzerland ; France ; Luxembourg ; Sweden