Sustainability and Corporate Governance Report 202
0 1
HANDELSBANKEN FONDER – HOW WE WANT TO HELP RAISE
LIVING STANDARDS Investing globally with respect for human rights The 2030 Agenda, with its 17 SDGs and 169 targets, aims to achieve long-term sustainable development to eradicate extreme poverty, and reduce inequalities and injustices in the world. The fulfilment of human rights for all informs the entire agenda and is a prerequisite for achieving the goals. Many of the targets are aimed at fundamental needs and rights that are often overlooked in many countries. Globalisation, digitalisation and the transition to a climate-neutral economy mean that developments are moving at a rapid pace in many areas. At the same time, we live in a world of great inequalities where not everyone is included in society and the economic system. Companies are increasingly being held accountable for human rights in their day-to-day operations, in value chains and in their business relationships. As a company, being associated with human rights violations brings financial, legal and reputational risks. Therefore, companies that manage human rights in a careful, genuine way strengthen their brand while contributing to positive social change. In 2011, the UN Guiding Principles on Business and Human Rights (UNGPs) were adopted. The principles state that all companies – regardless of size and sector – have a responsibility to respect human rights. The UN guidelines are structured on three pillars: protect, respect and remedy. In several countries, voices are being raised from civil society, the private sector and legislators that companies must conduct human rights due diligence. Regulatory requirements around this have also been introduced in some countries. We as asset managers have a responsibility to respect human rights. This responsibility was formalised with the adoption of UNGPs and since then, expectations – from employees, beneficiaries, customers, governments and society at large – are only growing. Expectations have been driven not only by increased visibility and urgency around human rights issues, but by a better understanding of the role of investors in creating lasting real-world outcomes and a responsibility to do so in all our investment activities. We invest globally and thus in countries and environments where human rights are overlooked. This places huge demands on us as an investor, on our risk analysis and the requirements for the companies we invest in. This is true not only for companies with operations in the most challenging environments, but for the vast majority of companies given today’s complex global value chains. This means that many companies are indirectly impacted by risks. We expect companies to have analysed their risks and impact in relation to human rights and to address these issues in a transparent, systematic way. Information about risk Past performance does not predict future returns. The value of the money invested in the fund can increase or decrease and there is no guarantee that all of your invested capital can be redeemed. The fund’s prospectus (“Informations broschyr”), fund rules and KIID are available at handelsbanken.se/funds. 44