How we are different by design
We are rigorous with what we choose to invest in, but we are not infallible
We have never claimed ultimate ethical purity, nor can we guarantee zero exposure to every activity that you may consider harmful. In the 21st century, we live in a truly global economy. Companies, supply chains, legal systems, and investments that pool assets are highly complex as a result. Disclosures & data can be incomplete, delayed or simply wrong. Dangerously for investors, this information may not only be wrong, but also deliberately misleading. Our decisions therefore always reflect the best evidence reasonably available at the time & remain consistently under review. Where possible, we attempt to make decisions on divestment before the wider market discovers the extent of harmful activity caused by widely-held investments
To look beneath fund labels & corporate claims, Ayres Punchard commissions Antithesis Research Co-operative: a separately governed, worker-owned investigative research body. Antithesis examines underlying holdings for conduct that may conflict with the Ten Principles of the UN Global Compact or undermine the UN Sustainable Development Goals. We use these frameworks as tools for scrutiny, rather than as badges or guarantees of positive impact
We are prepared to act before an issue becomes widely recognised by the market. Unresolved concerns may lead, through KTTF’s governance process, to exposure being reduced or an investment being removed by Peregrine & Black as discretionary fund manager
The colour scheme used for the following feature sections of our investment approach: green indicates greater allocation, amber indicates lower allocation, and red indicates deliberate exclusion. These colours reflect the KTTF Investment Committee's own ethical & sustainability judgements, and do not represent an objective measure of an investment’s worth, quality, risk, suitability or expected performance. We have used this colour scheme for you to easily interpret what KTTF contains, when compared with a typical, 'traditional' investment portfolio
We have built the full range of KTTF portfolios intentionally to emphasise your capital's exposure certain investments, whilst reducing potential harm to people-and-planet by limiting or excluding other investments that we consider unable to deliver responsible, positive impact
No research process can promise to identify every issue early, and not every judgement could prove correct. Our commitment to you as an investor in KTTF is to look deeper, question claims, act on evidence, and change course when evidence demands action
Where we choose to focus your investment
We give greater weight to companies helping to build a healthier, more environmentally resilient, and lower-carbon economy
Where we choose to reduce investment
We invest less where market convention creates heavy concentration, makes important impacts difficult to see or gives us insufficient reason to follow the crowd
Where we draw the line
Some business models conflict too directly with KTTF’s principles. In these instances, holding less is simply not good enough. We’ll never actively fund the following investments
Understand who makes investment decisions
Find out how active & passive approaches build portfolios differently
Follow how active managers can research specific holdings, challenge fund managers, and respond to changes in market conditions, while passive funds track an index
Better understand the differences in cost, flexibility, oversight and stewardship between each approach
Active vs Passive
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