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March A.M. joins United Nations Global Compact

05 October 2021 Category: Banca March

The United Nations Global Compact is the world's largest corporate sustainability initiative.

  • The initiative underpins March A.M.'s firm goal of placing sustainability at the core of its activity, offering its customers more responsible long-term returns.
  • Through its Sustainable, Responsible Investment policy, the asset manager seeks greater influence over its investee companies and integrates environmental, social and corporate governance factors into investment decisions.
  • Through this agreement, March A.M. is the third Group company to sign up to the Compact. Banca March has renewed its own commitment several times since joining in 2002 and March Private Equity is also a signatory.

March A.M. has become a signatory to the United Nations Global Compact, taking an active role in driving sustainability in Spain.

The agreement is an endorsement of the asset manager's close ties with the Sustainable Development Goals (SDGs) outlined in the 2030 Agenda and reinforces its commitment to creating products that promote sustainable investment with one clear goal: to generate more responsible returns for its customers and to more effectively integrate environmental, social and governance (ESG) risk factors into its products. 

The United Nations Global Compact is the world's largest corporate sustainability initiative. Signatories commit to integrating the Ten Principles of the UN Global Compact - related to human rights, labour, the environment and anti-corruption - into their strategies and operations with a view to contributing to social progress and implementing the SDGs. 

The decision to join the global compact responds to one of the asset manager's top priorities: to offer sustainable long-term returns for its customers. To achieve that goal, March A.M. has a Sustainable Responsible Investing (SRI) policy in place for all of its products, which is underpinned by the following principles:

  • Integrate environmental, social and corporate governance (ESG) risk factors into the investment decision-making process, in addition to the traditional quantitative and qualitative financial criteria which have historically informed its investment decisions.
  • Step up March A.M.'s engagement with investee companies through greater participation in corporate governance decisions by exercising voting rights. 
  • Open dialogue and engagement with investee companies on matters related to environmental, social and corporate governance (ESG) risk factors. 

Through this agreement, March A.M. is the third Group company to sign up to the Compact. Banca March has renewed its own commitment several times since joining in 2002 and March Private Equity also became a signatory this year. This is a clear reflection of the Group's determination to offer its customers more sustainable, responsible returns. 

“The decision to sign up to the UN Global Compact is a reflection of our utter commitment to sustainability as the cornerstone of our activity," said Francisco Javier Escribano, Managing Director of March A.M. "The returns we offer our customers must be intrinsically linked to March A.M.'s values, which are rooted in responsibility and the ethical principles of respect for our surroundings and for society. These values are coherent with our commitment to shared growth with customers, employees, shareholders and society as a whole; a commitment which underpins Banca March's century-old philosophy and makes it imperative that our management contributes to an inclusive, sustainable economic model whilst also remaining profitable. We are deeply proud that all of our strategies and operations contribute to building a fairer, more responsible future,” Escribano added. 

Signing up to the Compact cements March A.M.'s commitment to accountability. Since April 2021, it has also been a signatory to the UN Principles for Responsible Investment (UNPRI), an initiative which has over 2,000 signatories in more than 60 countries, representing a total of around 80 trillion dollars in assets under management. Applying these Principles has allowed March A.M. to go a step further in its contribution to a sustainable financial system, promoting good corporate governance, integrity and accountability by incorporating ESG risk factors into its investment decisions. To ensure its interests are fully aligned with those of its investors and society as a whole, March A.M. has incorporated the six core Principles of this global initiative, which are as follows: incorporate ESG issues into decision-making processes; be active owners by exercising voting rights; seek appropriate disclosure on ESG issues by investee companies; promote acceptance and implementation of the Principles within the investment industry; work together to enhance our effectiveness in implementing the Principles; and report on our activities and progress towards implementing the Principles. 

As part of its commitment to environmental, social and corporate governance values, March A.M. has rolled out a new range of risk-profiled funds classified as Article 8 by SFDR, comprising four funds of funds tailored to different risk profiles (defensive, conservative, moderate and adventurous) and offering investors returns based on sustainability criteria. 

It also offers investment products linked to water and the oceans economy, including the Mediterranean Fund, which is the first ever fund to invest specifically in this theme and thereby contribute to sustainable development goals 6 (clean water), 13 (climate action) and 14 (life below water).  

Against the current economic backdrop – with even central banks incorporating climate change matters into their agendas – the influence of risk-weighted ESG factors and the PRIs on the generation of stronger investment returns is indisputable. 

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