TAM Sustainable World - TAM Asset Management

Our sustainabilty-focused investment solution

Our TAM Sustainable World service provides investors with a range of sustainability-focused investment portfolios designed to protect and grow their wealth in a socially responsible manner.

Portfolio information

PORTFOLIO	INCEPTION	AMC	THIRD PARTY PLATFORM AVAILABILITY
Defensive	01-Mar-2016	0.40%	7IM \| Abrdn \| Aviva \| Embark \| M&G Wealth \| Morningstar Wealth \| Novia Global \| Nucleus \| Transact
Cautious	01-Aug-2013	0.40%	7IM \| Abrdn \| Aviva \| Embark \| M&G Wealth \| Morningstar Wealth \| Novia Global \| Nucleus \| Transact
Balanced	01-Sep-2014	0.40%	7IM \| Abrdn \| Aviva \| Embark \| M&G Wealth \| Morningstar Wealth \| Novia Global \| Nucleus \| Transact
Growth	01-Sep-2014	0.40%	7IM \| Abrdn \| Aviva \| Embark \| M&G Wealth \| Morningstar Wealth \| Novia Global \| Nucleus \| Transact
Adventurous	01-Jun-2014	0.40%	7IM \| Abrdn \| Aviva \| Embark \| M&G Wealth \| Morningstar Wealth \| Novia Global \| Nucleus \| Transact

What is sustainability-focused investing?

Sustainability-focused refers to investing in a way that contributes to a sustainable economy. A sustainable economy is one that is resilient and provides a good quality of life for everybody. It stays within the limits of the planet and helps keep global warming well within the below 2°C threshold. There are various frameworks through which to invest to contribute to these outcomes, such as sustainable impact, green and thematic investing approaches, alongside strong stakeholder engagement.

Investing responsibly has evolved drastically in the last few decades. Beginning primarily as ethical investing, where funds would solely screen out unsustainability at the sector level. As the market has evolved, with growing awareness of the mounting issues humankind faces, asset managers have developed a series of innovative approaches enabling clients to generate genuine positive impact by investing in companies that are tackling the world’s biggest challenges.

Our approach to sustainability-focused investing

Clarity AI

TAM has run sustainability-focused portfolios for a decade. Our policy has always been to avoid controversy, look for strong governance, conduct negative screening of unsustainable/unethical practices, and to analyse the fund providers’ commitment. We build on this consistently, moving towards strategies encompassing a focus on sustainability, in line with the broadening investment pool and increased depth of sustainability credentials and research. Moving forward, the portfolios look only to include funds demonstrating industry-leading sustainability or, where appropriate, impact characteristics, assessing where we believe positive change can be generated and avoiding those areas where we are not yet convinced.

Clarity AI is an award-winning state-of-the-art sustainability assessment tool which aims to quantify ESG characteristics from negative exclusions to impact, using seven providers to peel back what each fund is investing in at a constituent stock level. This innovation arms us with our own raw data to make sure the funds in our industry are accurately presenting their sustainability credentials and offers us a platform to engage with the funds in which we invest for our clients. The long-term goal is to increase transparency of impact generation and ESG credentials for our clients, as well as incrementally increasing the sustainable credentials of our portfolios.

The TAM Sustainable World Portfolios

What you will find

Cyber Security

Global Efficiencies

Healthcare

Human Rights

Renewable Energy

Social Equality

Strong Corporate Governance

Sustainable Food Sources

What you won’t find

Adult Entertainment

Animal Testing for Cosmetic Purposes

Fossil Fuels

Gambling

Nuclear Power

Tobacco

Weapons

A risk-graded approach

Clients can select an investment portfolio that most closely reflects their investment return objectives and attitude to risk. We offer five Defaqto and Dynamic Planner risk-rated model portfolio options, ranging from more defensive lower risk returns, through to higher risk equity-based returns.

Defensive
This model seeks to generate modest returns higher than cash in the bank over the short medium term (3 to 5 years or more) with potential for consistent though constrained capital growth. Portfolios will typically comprise 10% equity and 90% non-equity - though weightings may deviate within set parameters, allowing our managers to react to market conditions.

Cautious
This model seeks to generate modest capital growth higher than bond based returns over the short to medium term (3 to 5 years or more) by employing a more cautious investment strategy. Portfolios will typically comprise 30% equity and 70% non-equity - though weightings may deviate within set parameters, allowing our managers to react to market conditions.

Balanced
This model seeks to generate capital growth over the medium term (5 years or more), with the aim of riding out short term fluctuations in value. Portfolios will typically comprise 50% equity and 50% non-equity - though weightings may deviate within set parameters, allowing managers to react to market conditions.

Growth
This model seeks to generate higher capital growth over the medium to long term (5 to 7 years or more) by employing a more dynamic investment strategy. Portfolios will typically comprise 70% equity and 30% non-equity - though weightings may deviate within set parameters, allowing managers to react to market conditions.

Adventurous
This model seeks to generate strong capital growth over the long term (7 years or more) and can experience frequent and higher levels of volatility. Portfolios will typically comprise 90% equity and 10% non-equity - though weightings may deviate within set parameters, allowing managers to react to market conditions.

The diagram is for illustrative purposes only. The value of investments, and the income from it, may go down as well as up and may fall below the amount initially invested. Weightings may deviate from these levels at the Investment Team's discretion whilst staying within speciﬁc guidelines, so the above asset allocation is intended as a guide only.