Sustainable Opportunities

A high-conviction, sustainability-themed strategy that invests in companies positioned to thrive as we transition to a more sustainable economy.

Overview

Portfolio

Performance

Impact

Documents

Strategy Overview

A high-conviction, sustainability-themed strategy that invests in companies positioned to thrive as we transition to a more sustainable economy.

Investment Process

The strategy uses a thematic approach to identify companies addressing sustainability challenges in three areas: Climate Solutions, Economic Empowerment, and Healthy Living. A team of fundamental, sector focused analysts conduct bottom-up financial analysis including a rigorous integrated review of financial and environmental, social, and governance (ESG) factors. The Investment Management Committee, comprised of portfolio managers and analysts, meets periodically to review and approve recommendations to the buy-list recommended by the analysts. A strategy team, headed by the lead Portfolio Manager, rebalances the portfolio on at least a quarterly basis to identify the best sub-set of names from the buy-list at that particular point of time. The team leverages an optimization process that helps monitor and control portfolio characteristic exposures while overweighting companies based on a proprietary alpha score that includes an analyst rating. The portfolio has no fossil fuel exposure.

Contact Information:

Tom Simunovic

ESG Investment Strategy Specialist and Relationship Manager

tsimunovic@trilliuminvest.com617-532-6673

Portfolio Managers

Paul Hilton, CFA

Lead Portfolio Manager

Bio >

Laura McGonagle, CFA

Portfolio Manager

Bio >

Matthew W. Patsky, CFA

Portfolio Manager

Bio >

Benchmark

S&P 1500

Inception Date

2008

Strategy Assets*

$797m

Holdings

40-60

% Top 10 Holdings

29.64%

Initial Position Size

0-5%

Target Tracking Error

4-7%

Sector Deviation +/-

n/a

Annual Turnover

20-30%

* Strategy Assets are supplemental

Portfolio

Equity Characteristics

as of 9/30/21

Sust. Opp.

S&P 1500

Market Capitalization
(weighted avg. billions)

$176.95

$516.87

Dividend Yield

0.80%

1.34%

P/E (FTM EST)

28.6x

19.9x

Price/Book

4.4x

4.0x

Est. 3-5 Yr. EPS Growth

16.23%

15.52%

ROIC

10.99%

13.49%

LT Debt/Capital

40.42%

43.25%

Sector Allocation vs. Benchmark

as of 9/30/21

Sust. Opp.

S&P 1500

Information Technology

27.1%

26.5%

Financial Services

14.3%

11.8%

Industrial Goods

13.2%

8.9%

Consumer Discretionary

12.2%

12.6%

Health Care

12.1%

13.1%

Communication Services

6.5%

10.5%

Materials

3.9%

2.7%

Consumer Staples

3.9%

5.6%

Real Estate

3.6%

3.1%

Utilities

3.3%

2.5%

Energy

0.0%

2.8%

Sector Allocation, Equity Characteristics and Top Holdings based on a representative account as of 9/30/2021 and exclude cash.

As of 9/30/21

Performance

.

QTR

YTD

1 Year

3 Year

5 Year

10 Year

GIPS Inception
(10/1/2008)

Gross of Fees

0.1%

11.8%

36.1%

20.6%

19.8%

15.7%

12.7%

Net of Fees

-0.1%

11.3%

35.3%

19.9%

19.0%

14.9%

11.9%

S&P 1500

0.4%

16.0%

31.4%

15.5%

16.6%

16.5%

12.8%

MSCI EAFE

-0.4%

8.8%

26.3%

8.1%

9.3%

8.6%

6.4%

Annualized returns for Sustainable Opportunities composite through 9/30/2021. GIPS composite inception is 10/1/2008 for the Sustainable Opportunities Composite. Please see important performance disclosures at the bottom of this page. Composite assets are $343 million as of 9/30/2021.

Environmental Analysis

Impact Report

Documents

Fact Sheet

Quarterly Commentary

Additional Information

For AdvisorsFor ConsultantsFor Private Clients

Trillium Asset Management, LLC (Trillium) claims compliance with the Global Investment Performance Standards (GIPS®). Trillium is an investment advisor registered with the Securities and Exchange Commission under the Investment Advisors act of 1940. For the purposes of establishing and maintaining compliance with the GIPS standards, the firm has elected to define itself exclusive of wrap-fee assets under management historically until 10/1/2013. Effective 10/1/2013 the firm has redefined itself to include wrap-fee assets under management. Previously, the firm included only institutional and high net worth accounts. The firm was redefined to include the wrap-fee business to reflect all business lines managed by the organization.

The Sustainable Opportunities Composite was created on August 28TH 2011 and has an inception date of October 1, 2008. The U.S. Dollar is the currency used to express valuations and performance.
‍
Performance is presented for all periods net of trading costs and both net and gross of management fees, includes the reinvestment of all income, and is vested and calculated on a trade date basis. Individual performance will vary from that of the composite.

Lists, descriptions, and GIPS Composite Reports are available upon request for all Trillium performance composites.

The S&P Indices are widely recognized, unmanaged indices of common stock. It is not possible to invest directly in an index. The S&P 1500 combines three indices, the S&P 500, the S&P MidCap 400, and the S&P SmallCap 600 to cover approximately 90% of the U.S.market capitalization.

The MSCI EAFE Index is a broadly recognized index to measure international equity performance. It comprises the MSCI country indexes capturing large and mid-cap equities across developed markets in Europe, Australasia and the Far East, excluding the U.S. and Canada. It is not possible to invest directly in an index.

Past performance is no guarantee of future results. Every investment carries the potential for both profit and loss.

Investments in smaller companies generally carry greater risk than is customarily associated with larger companies for various reasons, such as narrower markets, limited financial resources and less liquid stock.