Learn more about how we are integrating ESG considerations within our investment process. View online
Our ESG Philosophy
Neuberger Berman has a longstanding history of responsible investing and considering environmental, social and governance factors as important drivers of long-term investment returns from both an opportunity and a risk mitigation perspective. We also understand that for many of our clients the impact of their portfolio is an important consideration in conjunction with investment performance.
As such, we believe that material ESG factors, like any other material factor, should be incorporated in the investment decision-making process. There are various ways to integrate ESG considerations to help generate enhanced returns as well as to implement non-financial objectives within a portfolio. NB believes its approach to doing so not only benefits its clients, but can also support better-functioning capital markets and generate positive impact for people and planet as a whole.
On this basis, NB has defined an ESG Policy which provides a broad framework for its approach to ESG integration. The Policy is reviewed annually by the ESG Committee and Neuberger Berman’s Board of Directors, which is responsible for overseeing NB ESG integration efforts, setting goals, and reporting on the firm’s performance. The Policy applies to all asset classes across the investment platform, including equities, fixed income and private markets, and is intended to provide a broad framework for our approach to integrating ESG factors into investment management.
In building their portfolios, investment teams consider whether to reach a more holistic understanding of risk and return (Assess), tilt the portfolio to best-in-class ESG performers (Amplify), invest in issuers that are putting ESG at the centre of their strategy to generate positive social/environmental impact (Aim for Impact) or to simply exclude companies from sectors that damage the principles for sustainable development (Avoid).
Learn about how we are building responsible businesses and creating value through ESG. View Online
2022 Performance2 | 2022 Corporate Sustainability Report | |||
Comelz | 38% decrease in GHG emissions intensity (Scope 1 + Scope 2 Location based) | 21% increase in average hours of training per employee | Available here | |
Uteco | 23% decrease in total energy consumption | 19% decrease in waste generation | Available here | |
Hydro Holding | 35% women in total workforce | 16% decrease in GHG emissions intensity (Scope 1 + Scope 2 Location based) | Available here | |
Rino Mastrotto | 93% electrical grid energy from renewable sources | 80% SKUs are being subject to LCA analysis | Available here | |
Engineering | 40% increase in new employee hires | 73% decrease in Scope 2 GHG emissions (market based) | Available here | |
Over IT | 24% and 27% decreases in energy intensity and GHG emissions intensity (Scope 1 + Scope 2 Location based) respectively | 56% increase in average hours of training per employee | Available here | |
SICIT | 5% decrease in total energy consumption | 100% electrical grid energy from renewable sources | Available here | |
Arbo | 7% decrease in Scope 2 GHG emissions (location based) | 5% decrease in natural gas consumption | Available here | |
Neopharmed Gentili | 26% decrease in hazardous waste generation | 43% women in total workforce | First Sustainability Report expected in 2024 | |
U-Power | 36% reduction in natural gas consumption | 44% women in total workforce | Available here | |
Bending Spoons | 92% direct GHG emissions offset | 100% backing of employees’ learning investments | First Sustainability Report expected in 2024 |
We are a strong supporter of sustainability initiatives in investment markets and are active in the following industry-wide initiatives:
approach at nb.com
In addition, in October 2020, we were named to the PRI Leaders’ Group5 , a designation awarded to only 20 of approximately 2,100 investment manager PRI signatories.
PRI Modules | Neuberger Berman Ratings | Median Ratings of all Reporting Signatories |
Policy, Governance & Strategy* | ★★★★★ | ★★★ |
Indirect - Private Equity | ★★★★★ | ★★★ |
Direct - Listed Equity - Active Quantitative | ★★★★ | ★★★ |
Direct - Listed Equity - Active Fundamental | ★★★★ | ★★★★ |
Direct - Fixed income - SSA** | ★★★★★ | ★★★ |
Direct - Fixed income - Corporate | ★★★★★ | ★★★★ |
Direct - Fixed income - Securitized | ★★★★★ | ★★★ |
Direct - Fixed income - Private Debt | ★★★★★ | ★★★★ |
Confidence Building Measures | ★★★★★ | ★★★★ |
*Formerly Investment and Stewardship Policy. **SSA = Sovereign, Supranational and Agency.
To read more about Neuberger Berman’s Historical PRI Assessment Scores, please visit nb.com.