Frontier Advisors believes environmental, social and governance (ESG) factors directly impact long-term investment performance. We actively incorporate responsible investment into our investment research, manager research and client advisory services. Frontier’s Responsible Investment Policy is available here.
Frontier Advisors’ Climate Change Position Statement encapsulates why we systematically consider climate change factors when supporting clients, and can be found here.
As each investor’s responsible investment needs are unique, our approach to responsible investment service is modular and covers a range of factors to help us tailor flexible solutions.
Joey Alcock leads our Responsible Investment Group. The Group includes senior representatives from Frontier’s consulting, research, investment strategy and governance functions, reflecting the integrated nature of our responsible investment approach. ESG is not an adjunct or afterthought to our traditional consulting business, but a front-line consideration.
Our Portfolio Analytics technology includes a Climate Change Module which provides an understanding of the potential impacts of climate change on investment portfolio outcomes under different potential transition scenarios.
Frontier became an early signatory of the Principles of Responsible Investment (PRI) in 2006. In accordance with PRI requirements, Frontier reports publicly on its responsible investment activities each year including the disclosure of its PRI Transparency Report (our latest report available here).
Frontier is a signatory to the Paris Pledge for Action which represents a public commitment to support the greenhouse gas reduction objectives of the Paris Agreement. Frontier is also a financial member of the Investor Group on Climate Change, supporting its efforts in helping investors to manage the impacts on their investments of the economic transition arising from climate change, and a founding member of the Net Zero Investment Consultants Initiative (NZICI).
Frontier also produced its first annual Responsible Investment Report, which covers the 2022 calendar year. The report provides an overview of how Frontier approaches responsible investment in helping our clients manage material environmental, social and governance (ESG) issues through our research and advisory efforts and in particular highlights key achievements across 2022.
Learn more about Responsible Investment at Frontier Advisors.
Net Zero Investment Consultants Initiative – Frontier’s progress report
In 2021, Frontier was one of twelve asset consultants who were inaugural signatories to the Net Zero Investment Consultants Initiative (NZICI). NZICI is committed to supporting the goal of global net zero greenhouse gas emissions by 2050 or sooner, in line with the ambition to limit the global average temperature increase to 1.5°C above preindustrial levels. Signatories recognise significant financial risks associated with climate change and the transition to a net zero and resilient economy. These include, but are not limited to, the risk of stranded assets and loss of earnings for organisations with operations not aligned with this transition, as well as increased weather events, such as flooding, droughts or the consequences of sea level rise. Signatories have committed to support their clients on this journey.
All NZICI signatories will formally report on their progress on net zero in late 2023. Our latest report provides an update on Frontier’s activities toward nine underlying NZICI commitments as at December 2022.