Fundamental Investments | Asset Allocation & Equities | Old Mutual Investment Group As an institutional investor, you get access to local and global
markets through our actively managed equity and multi-asset class solutions.

      Fundamental Investments

      We rely on in-depth economic and market analysis in managing our equity and multi-asset class solutions to deliver long-term, repeatable returns. Our fundamental, valuations-based approach forms the bedrock of these solutions. Equally important is skilful risk management, including incorporating environmental, social and governance (ESG) considerations into our investment and ownership decisions. Our solutions are available within the following categories.

      Our solutions are available within the following categories.


      Balanced

      Multi-asset class solutions capturing diverse sources of potential returns as market conditions change.

      Balanced      Absolute Return

      Multi-asset class solutions targeting positive real returns and capital protection over time.

      Absolute Return      Active Equity

      Actively managed equity strategies offering exposure to our local stock market.

      Active Equity      Africa

      Actively managed equity strategies offering access to select African (ex SA) stock markets.

      Africa      International

      US dollar-denominated solutions offering global diversification.

      International      Listed Property

      Actively managed solution that offers both income and capital growth from listed commercial and industrial real estate.

      Listed Property

      Integrating ESG Factors

      Generating the best possible returns for our clients is behind every decision we take. As such, we incorporate environmental, social and governance factors into our investment process in the same way as we do other potential risk factors. While we primarily evaluate the impact of ESG factors on a share’s price progress at a macroeconomic (theme) level, we also incorporate it at a company (valuation) level, where possible.

      We screen our investment universe using our proprietary ESG quantitative tool. This tool evaluates a company’s exposure to accounting and governance-related risks and internal and external environmental and social risks (taking into account its ability to manage these risks). It also examines the company’s history of controversial events.

      We use these outcomes to focus our qualitative/fundamental ESG research and give dimension to identified risks in terms of the material and financial impacts over different time periods. While we do not apply negative screening (excluding sectors or industries) to the relatively small SA listed universe, our ESG views are converted into meaningful scores. These scores, along with all the other investment view ratings, influence a share’s weighting in the portfolio.

      Approach to Stewardship

      Supported by our dedicated ESG team, we exercise our responsibility as active stewards of assets across all our portfolios to drive sustainable business practices within investee companies. We do this through engaging management teams and expressing our views through proxy voting. We are committed to total transparency and publish our engagement and voting activities every year. We are also able to track and report on the carbon footprint of most of our portfolios.

      Within our Africa portfolios, active ownership is affected via regular management interaction and proxy voting. We use the Glass-Lewis proxy voting service to ensure consistent voting in line with our responsible investment policy. We incorporate ESG issues into our portfolio construction on both a pre-investing and post-investing basis.

      In considering an investment, the most material factor in our universe is governance. We rely on discussions with local contacts and meetings with management to better understand governance risks. We tend to avoid investing where there is a history of poor governance. Once invested, to track ESG risks at a stock and portfolio level, we use MSCI sourced ESG data in combination with our own assessment of ESG quality and ESG event risk.

      Our ESG case studies further demonstrate how this approach has influenced our investment decisions.