Emerging Markets

Technological innovation

BMO Responsible Global Emerging Markets Equity Strategy ESG Profile and Impact Report 2020
August 2020

Emerging Markets Team: LGM

Share
Subscribe to our Insights

Risk Disclaimer

The value of investments and any income derived from them can go down as well as up as a result of market or currency movements and investors may not get back the original amount invested.

Investing in emerging markets is generally considered to involve more risk than developed markets.

Views and opinions have been arrived at by BMO Global Asset Management and should not be considered to be a recommendation or solicitation to buy or sell any stocks or products that may be mentioned.

Companies focusing on advancing technology, building and operating critical infrastructure and supporting the energy transition have a significant role to play in achieving sustainable development in emerging markets.

SDG - 3 Good health and well-being        SDG - 6 Clean water and sanitation        SDG - 8 decent work and economic growth


Technological innovation: Meeting sustainable development goals will require action on several fronts, including harnessing and maximising the potential of technological innovation. We will aim to find companies working on disruptive innovations for transformative change – those that through tech-based solutions are making breakthrough advances, or helping their clients make such advances in areas like productivity, energy efficiency, healthcare and education. Importantly, we also look for companies offering digital communications solutions to improve connectivity for all.

Energy Transition: Around half of current total global carbon emissions are a result of power generation for electricity and heating. At the same time, there are still close to 900 million people worldwide that lack access to energy – the vast majority of whom live in emerging markets. We will aim to invest in companies offering solutions that can help effectively and efficiently balance people’s need for access to reliable and affordable energy while helping to reduce global emissions.

Infrastructure: Public infrastructures are essential to the efficient functioning of society and its ability to achieve sustainable development. These include water and energy systems, bridges, roads, as well as communications and transportation facilities. Our Strategy will strive to invest in companies designing, building and operating such infrastructure in a way that incorporates environmental and social considerations.

    Sustainable Investment Awards 2020 Winner ESG research of the year - fixed income 

Risk Disclaimer

The value of investments and any income derived from them can go down as well as up as a result of market or currency movements and investors may not get back the original amount invested.

Investing in emerging markets is generally considered to involve more risk than developed markets.

Views and opinions have been arrived at by BMO Global Asset Management and should not be considered to be a recommendation or solicitation to buy or sell any stocks or products that may be mentioned.

Company No. of employees Company description SDG Alignment Number and subject of engagement(s)

Aguas Andinas SA
Utilities
CHILE

1,351

Distributes potable water and offers sewage treatment services in the Metropolitan Region of Santiago de Chile.

+ Target 6.1; Share of company revenue 100%
Helps achieve universal and equitable access to safe and affordable drinking water

 

1: Corporate governance

Bajaj Auto Ltd
Automobiles & Components
INDIA

10,258

Manufactures and distributes motorised two-wheeled and three-wheeled scooters, motorcycles and mopeds.

-Target 3.9; Share of company revenue 100%
Manufactures two- and three-wheelers that contribute to air pollution

1: Climate change, environmental stewardship

China Resources Gas Group Ltd
Utilities
HONG KONG

48,031

Distributes natural gas to a growing number of cities across China.

- Target 13.2; Share of company revenue 100%
Distributes natural gas to commercial and residential customers across China

2: Climate change, environmental stewardship, labour standards

Infosys Ltd
Software & Services
INDIA

243,454

Provides IT consulting and software services, including e-business, program management and supply chain solutions.

n/a

1: Business conduct

Ultrapar Participacoes SA
Energy
BRAZIL

16,024

Holding company with subsidiaries involved in fuel and gas distribution, petrochemicals and drug retail.

+Target 3.8; Share of company revenue 2%
Promotes access to safe, effective and affordable essential medicines through its drug distribution activities


-Target 13.2; Share of company revenue 92%
Brazil’s largest fuel distributor; it also distributes natural gas

0

Taiwan Semiconductor
Manufacturing Co Ltd
Semiconductors &
Semiconductor Equipment
TAIWAN

48,752

The world's largest dedicated pure-play semiconductor foundry, TSMC manufactures and markets integrated circuits.

+ Target 8.2; Share of company revenue 100%
Helps its customers achieve higher levels of productivity through diversification, technological upgrading and innovation

1: Environmental stewardship

Tata Consultancy Services Ltd
Software & Services
INDIA

446,675

Global IT services organisation that provides a comprehensive range of IT services to its clients in diverse industries.

n/a

1: Labour standards

Tencent Holdings Ltd
Media & Entertainment
CHINA

62,885

Provides internet and mobile value-added services (VAS), online advertising, online gaming, and e-commerce transactions.

+ Target 8.2; Share of company revenue 27%
Helps its customers achieve higher levels of productivity through diversification, technological upgrading and innovation

 

2: Climate change, business conduct, corporate governance

Where company revenues do not add to 100%, then there is no SDG link for the remainder of the business revenues

Read our BMO Responsible Global Emerging Markets Equity Strategy ESG Profile and Impact Report 2020

For Professional Clients and/or Qualified Investors only

Subscribe to our Insights
Related articles
No posts matching your criteria
VIEW MORE