View real examples where our unique approach is helping to provide detailed ESG insight and a point of difference for our investment managers. Read articles from our portfolio management teams on their views regarding upcoming ESG integration.
CASE STUDIES
Alison Yip, Technology Sector Equity Analyst
PROFILE
INVESTMENT ANALYSIS
ESG IN DEPTH
Beyond mobile phones and televisions Samsung is a market leader in the production of key technology components, including memory, LCD panels, and logical semiconductors.
As of December 2020, Samsung held more than a 50% share of the world’s memory supply. Samsung therefore holds a strong position with the potential for growing 5G penetration and data center buildouts likely increasing memory demand.
Samsung has demonstrated notable improvement across a host of ESG areas, including disclosures, climate action, supply chain management, and compliance/ ethical oversight. Samsung has:
The security identified and described is intended to illustrate the ESG security evaluation process of T. Rowe Price investment professionals and does not necessarily represent securities purchased or sold by T. Rowe Price. No assumptions should be made that the security analyzed, or other securities analyzed, purchased, or sold, was or will be profitable. This is not a recommendation to buy or sell any security. The views and opinions above are as of April 2021 and are subject to change.
Davis Collins, U.S. Municipal Bond Analyst
California has a diverse economic composition and is the most populous state in the U.S. It has benefited from prudent budgeting and strong economic growth in the years since 2008.
In the fall of 2020, the state’s 10-year bond issue appeared to be undervalued versus historical levels as well as relative to peer bond issues. While the coronavirus pandemic had severely impacted California, we believed the state’s fiscal position was supported by strong credit fundamentals and liquidity.
California has been actively managing its elevated climate risks, and the state’s social dynamics have been attractive. The state has had a climate adaptation strategy in place for over a decade, focusing on seven key areas:
Iona Dent, Financials Sector Equity Analyst
FirstRand is the second-largest bank in South Africa by assets, providing a comprehensive range of retail, commercial, corporate, and investment banking services.
FirstRand has a diverse business mix and its three main domestic brands have been strongly positioned relative to peers. Now a leading private equity franchise, significant improvements have been made in the firm’s level of ESG disclosure particularly in relation to climate change.
Prior to the pandemic, FirstRand was the worst performing of the 'Big 4' South African banks on climate-related disclosure. Only 12 months later:
ESG IN ACTION
Read the insights from our portfolio managers across Global Fixed Income, Global Equities and Emerging Market Corporate Debt highlighting the importance of ESG factors, how they impact their investment process, trends, as well as real-life implementation examples.
Scott Berg Portfolio Manager, Global Growth Equities
Quentin Fitzsimmons Portfolio Manager, Global Fixed Income
Samy Muaddi Portfolio Manager, Emerging Market Corporate Bonds