As a specialist investment manager, Ashmore understands the importance of long-term sustainability in the Emerging Markets and it has always been at the heart of the firm's philosophy and critical to its success. Ashmore recognises the role it plays in the deployment of capital and the impact this can have on the sustainability of the environment and broader society. The effects of global challenges are most acutely felt by companies and communities in the markets in which Ashmore invests. If the targets set out by the United Nations in the Sustainable Development Goals (SDGs) are to be met, arguably the greatest gains need to be made in the Emerging Markets.
Environmental, social and governance (ESG) analysis is explicitly integrated into our bottom up process across all our strategies. Our process is fundamentally driven and our analysis encompasses a multitude of factors, including ESG. Ashmore's approach to responsible investment is overseen by the Head of Sustainability and ESG Integration.
Exclusion Policy and Controversial weapons
Ashmore believes that investments which do not meet minimum standards should be excluded from client portfolios. These exclusions are applied at a firmwide and/or fund specific level. Ashmore also restricts investments in companies engaged in the manufacture, distribution and maintenance of controversial weapons. The scope and breadth of these restrictions is outlined in Ashmore's following policies:
Investing in Emerging Markets
Ashmore believes that its reputation as an ethical, trustworthy provider of investment services is essential to its core purpose of helping clients to build their financial security. The Group seeks to establish and maintain long term relationships with its clients and intermediaries. Ashmore believes this to be a fundamental pre-requisite for growth of its business.
Ashmore supports the principles of local stewardship initiatives and keeps developments in these initiatives under review. In addition to regulatory requirements, the Group reports publicly on its stewardship activities under the UNPRI’s comprehensive sustainability framework. Ashmore became a signatory to the UNPRI in 2013, and its approach complements the Group’s highly-diversified client base comprising institutional and intermediary retail clients based in the Americas, Asia, Europe and the Middle East and Africa.
Ashmore employs approximately 300 people in 11 countries worldwide, excluding employees in companies significantly controlled by funds that Ashmore manages. Ashmore’s people have always been its most important asset and the Group's priority is to attract, develop, manage and retain this talent in order to deliver the potential of the organisation, which is reflected in the low levels of unplanned staff turnover. Ashmore wishes to be an employer which the most talented people aspire to join wherever it operates.
Ashmore seeks to ensure that its workforce reflects, as far as practicable, the diversity of the many communities in which its operations are located. Ashmore works to ensure employee policies and procedures reflect best practice within each of the countries where it has a presence. This means having policies and practices that make Ashmore an attractive place to work in respect of the day-to-day operating environment and culture, and also in respect of medium to long-term growth for employees, personally, professionally and financially.
The document below is a summary of Ashmore Group plc's data submitted to the 2019 Hampton-Alexander review:
As a company whose business is fundamentally based on intellectual capital and does not own its business premises, Ashmore's direct impact on the environment is limited and there are few environmental risks associated with the Group's business. Nevertheless, Ashmore has a responsibility to manage these risks as effectively as possible. The Group continues to promote energy efficiency and the avoidance of waste throughout its operations.
Ashmore recognises the impact that climate change could have on its operations and the sustainability of its investments. It is with this in mind that Ashmore seeks to understand the risks that significant temperature changes will have on its ability to operate as well as on the operations of the companies in which it invests.
Supplier Code of Conduct
Ashmore is committed to maintaining a strong corporate culture employing high standards of integrity and fair dealing in the conduct of the firm's activities, compliance with both the letter and the spirit of relevant laws and regulations, and standards of good market practice in all jurisdictions where the Group's business is carried out.