Sustainable, Responsible &/or ESG Policy:

Head of Global Sustainable Equities Hamish Chamberlayne, CFA, Andrew Jones, Tim Winstone, CFA, and Brad Smith are the co-portfolio managers of the Fund. The Fund consists of three sub-portfolios: global equities managed by Hamish, UK equities managed by Andrew and a fixed income sub-portfolio managed by Tim and Brad.

The portfolio management team work closely with the broader Global Sustainable Equities Team and with the firm’s Responsible Investment and Governance Team, part of the central Responsibility Team.The Responsible Investment and Governance Team focuses on ESG data analysis and research, governance, ESG company and thematic engagement, proxy voting and advisory services that serves as a resource for all our investment desks. The team deliver ESG training, support on developing frameworks to identify financial material ESG issues, planning and conducting engagements, supporting research on ESG issues that can impact cash flows or valuation, and advising on proxy voting.

Key differentiators

Diversified multi-asset portfolio with an attractive risk-return profile and clear exclusionary criteria
The Global Responsible Managed Fund provides clients with exposure to a blend of equities and bonds that is diversified in terms of geography, sectors, themes, and style. The Fund operates a three sub-portfolio approach covering global equities, UK equities and fixed income. This mix of assets gives the Fund the potential to outperform in a variety of market conditions and is an option for clients not wanting full exposure to equity market volatility.

Environmental & social avoidance criteria and ESG investment framework
Since inception, the Fund has applied strict avoidance criteria to avoid companies involved in business activities that may be environmentally and/or socially harmful. ESG considerations are integral to the investment philosophy and process, from universe definition and idea generation through to fundamental analysis, engagement, and portfolio management. For more information on the Fund’s most material and quantifiable ESG key performance indicators (KPIs) please refer to the strategy’s latest Annual ESG Report on www.janushenderson.com.

Low carbon characteristics
As a result of the Fund’s responsible investment approach, the Fund’s carbon characteristics, such as carbon footprint and carbon intensity, will be lower than if this approach was not applied*.

Diversified by style and theme
The global equity sub-portfolio provides investors with exposure to the global growth characteristics and positive investment themes of the Janus Henderson Global Sustainable Equity strategy. The UK equity sub-portfolio provides exposure to the UK Responsible Income strategy with a focus on free cash flow generation, dividend yield and, dividend growth within a valuation framework. Finally, the fixed income sub-portfolio helps dampen the Fund’s volatility and offers exposure to themes such as social housing and infrastructure that are harder to access through public equity markets.

Long history of sustainable investing with a highly experienced investment team
Janus Henderson has a long and successful track record in the consistent application of a sustainability framework – the first sustainable strategy was launched in 1991 and Andrew and Hamish have been involved in the management of this Fund since 2012 and 2013 respectively. The Fund itself is over 20 years old with a strong track record of producing attractive risk adjusted returns for clients*.

**Past performance does not predict future returns.

The Fund consists of three investment sub - portfolios: global equities, UK equities, and fixed income:

The global equities sub - portfolio provides investors with exposure to the global growth characteristics and positive investment themes of the Janus Henderson Global Sustainable Equity strategy. The UK equities sub - portfolio meanwhile delivers an attractive dividend yield with a focus on free cash flow generation and valuation. Finally, exposure to fixed income helps dampen the Fund’ volatility. The result is a Fund that can outperform in a variety of market conditions and offers clients compelling risk - return characteristics, an attractive option for those not wanting full exposure to equity market volatility.

The investment approach of the Fund is primarily one of bottom - up security selection, operated within the ESG investment framework and avoidance criteria parameters of the Fund*.

*ESG integration is the practice of incorporating material environmental, social and governance (ESG) information or insights in a non - binding manner alongside traditional measures into the investment decision process to improve long term financial outcomes of portfolios. This product does not pursue a sustainable investment strategy or have a sustainable investment objective or otherwise take ESG factors into account in a binding manner. ESG related research is one of many factors considered within the investment process and in this material, we seek to show why it is financially relevant.

Each of the sub - portfolios initially start with determining the investment universe where we seek to avoid businesses that have products or operations directly associated with the following exclusionary criteria:

Environmental and social avoidance criteria

Alcohol - We avoid companies involved in the production and sale of alcoholic drinks.

Animal testing - We avoid companies that manufacture vitamins, cosmetics, soaps, or toiletries unless they make it clear that their products and ingredients are not animal tested. We allow animal testing for medical purposes only where the company employs best practices in accordance with the ‘3Rs’ policy of refinement, reduction, and replacement.

Armaments - We avoid companies involved in the direct production or sale of weapons. We will not invest in companies involved in the direct production of land mines, cluster munitions, biological/chemical weapons, and nuclear weapons.

Chemicals of concern - We avoid companies which manufacture or sell chemicals, or products containing chemicals, subject to bans or severe restrictions in major markets around the world. This includes ozone - depleting substances micro beads, persistent organic pollutants, and the manufacture of any other substances banned or restricted under international conventions.

Fossil fuel extraction & refining - We avoid companies engaged in the extraction and refining of coal, oil, and gas.

Fossil fuel power generation - We avoid companies engaged in fossil fuel power generation; however, investment in companies generating power from natural gas may be allowed in cases where the company’s strategy involves a transition to renewable energy power generation 4. In the case of labelled bonds, we may consider bonds issued by companies engaged in fossil fuel power generation where there is no association with tar sands, oil shale, fracking, or a predominant reliance on thermal coal power generation, and where there is a credible plan for transition to net zero or renewable energy.

Fur - We avoid companies involved in the sale or manufacture of animal fur products.

Gambling - We avoid companies with activities related to gambling.

Genetic engineering - We avoid companies involved in the deliberate release of genetically modified organisms (eg, animals or plants). Investment in companies where genetic technologies are used for medical or industrial applications may be acceptable providing high environmental and social standards can be demonstrated. Companies that use or sell products that make use of such technologies may be acceptable providing genetically modified organism (GMO) ingredients that are clearly labelled.

Nuclear power - We avoid companies that are involved in the uranium fuel cycle, treat radioactive waste, or supply specialist nuclear related equipment or services for constructing or running nuclear plant or facilities.

Pornography - We avoid companies that are involved in producing or distributing pornography and adult entertainment materials or services.

Tobacco - We avoid companies that engage in activities related to the production and sale of tobacco products.

We also seek to avoid companies operating in contentious industries which have a high degree of negative environmental or social impact unless the company is taking action to mitigate negative impacts. Examples of contentious industries include cement, mining, and timber.

’R’s: Refine experiments to ensure suffering is minimised. Reduce the number of animals to a minimum. Replace animals with alternative techniques.

As a firm wide policy, we exclude companies involved in controversial weapons.

Transitioning companies are companies whose strategy involves a transitioning to renewables energy power generation and with a carbon intensity aligned with the scenario of restricting global warming to two degrees above pre - industrial levels. Where carbon intensity cannot be determined, there is a 10% threshold for energy production from natural gas.

In addition to the avoidance criteria, all holdings in the Fund are compliant with the UN Global Compact Principles and the Organisation for Economic Co - operation and Development (OECD) Guidelines for Multinational Enterprises. The UN Global Compact’s ten principles cover human rights, the International Labour Organisation’s declaration on workers’ rights, corruption, and environmental pollution, while the OECD guidelines cover a range of issues to including but not limited to employment, bribery, disclosure, and competition.

The OECD Guidelines for Multinational Enterprises are recommendations addressed by governments to multinational enterprises operating in or from adhering countries. They provide non - binding principles and standards for responsible business conduct in a global context consistent with applicable laws and internationally recognised standards.

Government bond criteria

The Fund will only invest in G7 government debt.

De minimis limits

In order to minimise exposure to business activities and behaviours that may be environmentally and/or socially harmful, the Fund seeks to avoid businesses that have products or operations directly associated with the certain criteria, subject to de minimis limits.

Where possible, we will seek to achieve zero exposure in respect of the avoidance criteria. However, there may be instances when we will apply a de minimis limit. A de minimis limit is a threshold above which investment will not be made and relates to the scope of a company’s business activity; the limit may be quantitative (eg, expressed as a percentage of a company’s revenues) or may involve a more qualitative assessment. De minimis limits exist because sometimes avoiding an industry entirely may not be feasible given the complex nature of business operations.

In such instances, we will invest in a company only if we are satisfied that the ‘avoided’ activity forms a small part of the company’s business, and when our research shows that the company manages the activity in line with best practice.

When the activity relates to a company’s revenues, we use a 10% threshold, unless otherwise stated. When the activity relates to a company’s operations, we will seek to gain comfort that the company is taking action to improve its performance or is managing it in an exemplary fashion. Any company with a persistent record of misconduct will be excluded unless there is clear evidence of significant progress.

The Fund may invest in companies that would be excluded by the screens described above if the investment manager believes, based on its own research, and as approved by its ESG Oversight Committee, that the third - party data used to apply the exclusions is insufficient or inaccurate. Exclusionary screens are applied to direct investments (excluding government bonds) using third - party data at the point of investment and are monitored on a continuous basis. If an investment becomes ineligible based on exclusionary screens it will be divested within 90 days.

Janus Henderson has appointed specialist companies, MSCI and Vigeo EIRIS, to provide the environmental and social avoidance criteria screening of potential investments. An investee company must pass these screens or be approved by the ESG Oversight Committee to be eligible for the Fund.

ESG investment framework

Assessment of the risks and opportunities stemming from ESG issues forms part of our investment due diligence. We believe that companies with effective management strategies to address material ESG issues are more likely to reliably generate shareholder value.

As part of our analysis, we identify and prioritise the issues we deem to be the most financially material to the investment case. These vary from company to company according to the sector and industry. We define materiality as the potential of an issue to significantly impact the short - or long - term financial performance of a company. We look at whether a company is willing or able to manage and mitigate its material ESG issues / factors, how it performs in its peer groups, its exposure to controversies and its approach to climate change. We also consider other issues that have the potential to effect impact stakeholder groups beyond the shareholder, such as society, the environment, and the world around it. Factors that may be considered include but are not limited to:

• Environmental
  • Climate change
  • Resource depletion
  • Deforestation
  • Pollution
  • Water and waste management
  • Biodiversity
• Social
  • Human rights
  • Supply chain sustainability
  • Employee relations
  • Company culture
  • Diversity and inclusion
  • Community relations
• Governance
  • Ownership
  • Transparency
  • Board structure and diversity
  • Executive pay
  • Corporate reporting
  • Shareholder protection

Identifying companies with good governance practices is fundamental to our investment process. We take factors such as the alignment of interests between shareholders and management, the strength of relations with stakeholders, and the management of environmental and social risks all as evidence of good governance practices.

At the Fund level, we monitor quantitative data on carbon emissions and climate scenario analysis. We also assess qualitative factors such as whether companies are measuring and reporting carbon emissions and whether they have set targets to manage these. As a result and given the Fund’s exclusion of high emitting sectors, it is expected that the Fund’s carbon characteristics, as measured by third party provider MSCI, will be lower than if this approach was not applied.

We make use of both internal resources and external research and data providers. Internal resources comprise specialist sustainability analysts within various investment teams and Janus Henderson’s central ESG research team. Our principle external ESG data provider is MSCI, however, we also use several other ESG research providers including Sustainalytics, ISS, and Vigeo EIRIS.

As mentioned earlier, the Fund is actively managed with reference to the IA Mixed Investment 40–85% Shares sector average.

Process:

Investment approach

The three sub-portfolios have the following approaches:

Global equities

The global equities sub-portfolio is managed using the same investment approach as Janus Henderson's Global Sustainable Equity strategy which applies ‘positive selection criteria’. This investment approach seeks to invest in businesses that have products or services that contribute to positive environmental or social change and thereby have an impact on the development of a sustainable global economy, whilst avoiding companies that potentially have a negative impact on the development of a sustainable global economy. Examples of themes identified include efficiency, cleaner energy, water management, environmental services, sustainable transport, sustainable property & finance, safety, quality of life, knowledge & technology, and health.

Idea generation

Our approach to idea generation is based on a bottom-up search for high quality investment ideas. Every investment in the portfolio starts as an individual company idea which can be generated via a number of different teams and is then subject to our structured evaluation.
framework.

The four pillars of our sustainability-driven investment strategy

We see four key elements to an investment approach based on sustainability. Often there are conflicts between environmental and social sustainability, and our approach seeks to address this by using both positive and negative (avoidance) investment criteria and considering both the products and operations of a business. Company engagement and active portfolio management are essential features of any true sustainable investment strategy.

There are four pillars to our sustainable investment process which incorporates both positive and negative selection criteria and includes both product and operational impact analysis. It is through this rigorous and repeatable stock-selection process that we believe we add value to our clients.

• Positive impact: ten sustainable development themes guide idea generation and identify long-term investment opportunities.
• Avoidance criteria: we will not invest in activities that contribute to environmental or social harm. This also helps us avoid industries most likely to be disrupted.
• ‘Triple bottom-line’ framework: fundamental research evaluates how companies focus on profits, people, and the planet in equal measure.
• Active management and engagement: we construct a differentiated portfolio with typically high active share (>90%). Collaborative, continuous, and collective engagement is a key aspect of our process.

Positive investment themes

The team believes that the defining investment issue of our time will be transitioning to a low carbon and sustainable economy, while maintaining the levels of productivity necessary to deliver the goods and services that an ageing and growing population requires. Derived from these four megatrends, we identify ten environmental and social sustainable development themes. Examples of these themes the investment manager has identified include clean energy, efficiency, environmental services, sustainable transport, water management, knowledge and technology, health, safety, safety, sustainable property and finance and quality of life. For a company to be eligible for the portfolio at least 50% of its revenues will be aligned with at least one of these sustainable development themes.

Fundamental and valuation analysis

The team have a rigorous process the fundamental research process which is looking at both ESG factors and also financial factors in an integrated fashion. The team ultimately analyses every company on the basis of the ‘3Ps’ of their ‘triple bottom line’ framework: how they generate Profits, how they impact People; and how they impact the Planet.

The team seeks to identify businesses with long-term compounding characteristics, and with optionality upside, which are trading at discounts to their intrinsic value. Typically, the team looks for companies with the ability to generate and compound long-term free cash flows, where the equity market is currently under-valuing those. There is a specific focus to the financial analysis that the team does to identify intrinsic value.

The team looks for:

• The potential for multi-year revenue compounding
• A culture of innovation, that in turn drives that upside optionality
• Durable business models
• Greater predictability of revenues
• Consistency of margins and cash flows
• Strong balance sheets

Active portfolio construction and risk management

Every stock selected for the portfolio must fit at least one theme; but for the purposes of portfolio construction, there is no forced distribution of themes. Portfolio construction is driven by stock selection, with each stock assessed within the disciplined analytical framework. The portfolio is constructed with the aim of generating attractive excess returns, but with a good level of overall risk diversification. The intention is to construct a high-conviction portfolio with high active share against the benchmark.

UK equities

The UK equities sub-portfolio is managed using the same investment approach as Janus Henderson's UK Responsible Income strategy. The strategy is actively managed with reference to the FTSE All Share Index, which is broadly representative of the companies in which it may invest. It seeks to identify UK companies, with attractive long-term business models offering the potential for good dividend growth and capital returns over the long term.

Idea generation

The strategy takes a bottom-up stock selection investment approach. The fundamental positions of companies are examined, and an evaluation made of whether they are well placed to generate good cash flow to ensure that dividends may be sustained and increased over time.

The strategy typically outperforms when markets are driven by a focus on valuation and the strength of underlying businesses in terms of their ability to pay a dividend, grow the dividend, maintain a robust balance sheet, and generate good levels of cashflow.

Once the avoidance criteria has been applied, fundamental analysis is then carried out on securities. The portfolio manager aims to understand what will drive a company’s earnings and profitability over the long term, and then assesses how the market currently values the company relative to its potential. As part of this fundamental analysis the portfolio manager will consider the effect of material ESG issues on the long-term attractiveness of companies.

Fundamental analysis

There are four key sections the portfolio manager focuses on:

• Defensible competitive position
• Aligned management behaviour
• Affordable investment requirements
• Sustainable returns

Valuation analysis

The bottom-up stock selection process is grounded in fundamental analysis that aims to gain a clear understanding of specific companies and their markets, together with a valuation discipline that encompasses a wide range of valuation techniques. Rather than applying a prescribed valuation metric, the portfolio manager uses relative and absolute valuation measures that are relevant to each company’s business and the industry or sector in which they operate.

As well as dividend yield, other factors such as dividend growth, free cash flow yield, cash flow growth, balance sheet strength, and profitability-based metrics such as price/earnings ratios are also considered. The portfolio manager will also consider metrics such as Net Asset Value, EV/Sales, and EV/EBITDA. There is a strong emphasis on identifying companies that have good and growing levels of free cash flow with the aim of identifying stocks with the potential for income growth and capital returns. Robust balance sheets are also favoured within the process.

While fundamental analysis may suggest a company has good prospects, the valuation discipline focuses on assessing whether a company is attractively priced. This valuation-driven approach favours temporarily unpopular stocks, resulting in a moderately contrarian portfolio.

ESG investment framework

Analysing ESG issues is an important part of the analysis of a company’s business fundamentals. Environmental factors consider a company’s impact on the environment, social factors consider the way businesses treat and value people, and governance factors focus on corporate policies and how companies are governed. We believe companies with sound governance practices and strong stakeholder relations, that manage relevant environmental and social risks responsibly, have a greater propensity to create long-term value for shareholders. Key ESG issues considered as part of the investment process include corporate governance, human capital and diversity, climate change, controversies, disclosure, transparency, and business ethics.
Active portfolio construction and risk management

The portfolio is constructed on a conviction-weighted basis whereby the weights of individual stocks are driven by company-specific analysis and the income objectives of the strategy without regard to the weightings in the performance benchmark. The liquidity of a stock will be considered when determining position size.

In constructing the portfolio, the portfolio manager is able to draw on the resources of the Janus Henderson Investment Risk Team to assess the likely impact of portfolio reorganisations in terms of risk and return, and to ensure that individual positions reflect the portfolio manager’s level of conviction in each company. The portfolio has held between 60 to 75 securities historically. The typical investment horizon would be 3 to 5 years.

Fixed Income

The fixed income sub-portfolio seeks to provide a return from a combination of income and capital growth over the long term. The team seek to invest in G7 government debt and global company bonds by incorporating ESG factors in investment decisions. This includes investment in labelled bonds, such as green, social and sustainability bonds, which are any type of bond instrument where the proceeds will be exclusively applied to eligible environmental and social projects or a combination of both.

1 G7 nations include Canada, France, Germany, Italy, Japan, the UK, and US.
Labelled bonds include, but are not limited to, the following products:
▪ Green bonds are any type of bond instrument where the proceeds will be exclusively applied to finance or re-finance projects with clear environmental benefits, and which are aligned with the core components of the Green Bond Principles.
▪ Social bonds are finance projects that directly aim to address or mitigate a specific social issue and/or seek to achieve positive social outcomes, especially but not exclusively for a target population(s) and are aligned with the core components of the Social Bond Principles.
▪ Sustainability bonds are any type of bond instrument where the proceeds will be exclusively applied to finance or re-finance a combination of green and social projects, and which are aligned with the core components of the Green Bond Principles and Social Bond Principles.

The fixed income sub-portfolio blends a top-down macro view with fundamentally driven security selection. The Corporate Credit Team of which Tim and Brad are members, meet every month to discuss their credit market views, also providing a forum in which to formulate the team’s top-down market view. There are three principal pillars, across which, investment decisions are considered. These cover fundamentals (both the macro environment, as well as corporate fundamentals), market dynamics, and valuations. The team assign scores to these factors on a scale of -3 (maximum downside) to +3 (maximum upside) depending on their expectations around six-month excess returns across global investment grade and global high yield, which ultimately influences the top-down asset allocation across the fixed income component of the Fund and the level of credit risk exposure. Identifying turning points in the broader credit cycle and focusing on appropriate downside protection ahead of cyclical turns, is an important focus of this process. Tim and Brad may also make tactical deviations from the team’s credit risk allocation view to reflect shorter-term views or take advantage of relative value ideas.

Security selection

Security selection is driven by Janus Henderson’s Corporate Credit Research Team’s highest-conviction ideas which are then challenged and distilled by the portfolio management team. Credit analysts are responsible for specific industry sectors across both investment grade and high yield.

The fundamental research analysis conducted by the credit analysts is supplemented with the following: Detailed ESG analysis, capital structure analysis and relative value analysis (comparing the issuer within and across sectors, across the ratings spectrum and across regions/currency).

ESG considerations embedded in the credit research process

Our fixed income ESG philosophy reflects our belief that repeated and thorough application of ESG should contribute to long-term investment success.

Top-down assessment of sector risks

Our top-down approach in credit involves applying the Sustainability Accounting Standards Board (SASB *) materiality framework to define the most financially material ESG risks and factors attributable to a sector or industry. We consider an ESG risk to be financially material if it has – or could potentially have – a significant impact on a company’s credit profile or the pricing of a security.

*Upon the Value Reporting Foundation’s consolidation into the IFRS Foundation, the IFRS Foundation’s International Sustainability Standards Board (ISSB) assumed responsibility for the SASB Standards. The ISSB has committed to build on the industry-based SASB Standards and leverage SASB’s industry-based approach to standards development. The ISSB encourages preparers and investors to continue to use SASB Standards.

Bottom-up ESG analysis

Assigning ESG ratings for issuers involves assessment against our proprietary ESG quadrant framework. There is a strong link between the ESG sector and individual issuer ESG ratings, reflecting how our top-down and bottom-up approach combine to give a more holistic view of a security. However, a sector rating does not limit an issuer’s rating which can score above its respective sector.

When considering ESG risks, we look at the following three aspects:

• The financial materiality of ESG risk
• Forward-looking ESG evaluation
• Improving or deteriorating trajectory

These ratings are defined as:

• Green: issuers which are not materially exposed to ESG risks or for which ESG is a strength (dark green corner).
• Blue: issuers with emerging ESG challenges that are not yet material but could become so if not managed or addressed.
• Yellow: issuers facing material ESG risks but have (and are implementing) a credible action plan to manage these risks.
• Red: issuers exposed to significant ESG risks, which we believe are not being adequately managed. In some instances, we evaluate the management of ESG challenges as too weak and ESG risks considerably elevated for us to hold the credit (dark red corner).

Such issuer evaluation is supported by active and regular engagement to encourage change. We use our engagement framework to formulate our thinking around ESG analysis and ratings. It aids with understanding how a company is managing ESG risks and guides us in influencing its management’s actions.

Risk management

The team measure risk at both individual security and aggregate portfolio level, drawing on statistical measures of risk, judgment and by applying prudent exposure limits. At the security level, credit research is a key tool of risk management. At the portfolio level, we assess the impact of implementing positions on the overall risk profile by understanding the correlation of positions and risk themes across the strategy. Furthermore, a strong sell discipline is applied in managing individual positions through our unique stop-loss process, which aims to actively remove emotional biases associated with trades.

Asset allocation

The Fund’s alpha generation is primarily generated by bottom-up stock and bond selection from the three underlying sub-portfolios. However, the asset allocation between equities and fixed income is also reviewed at regular asset allocation (AA) meetings with the Fund’s asset class exposure monitored relative to the IA mixed investment 40 to 85% shares sector peer group average. The purpose of the AA meeting is to ensure there is appropriate risk exposure across the Fund’s asset classes, while also identifying any areas that are over or under valued with the aim of ensuring capital is appropriately allocated. These meetings are attended by the portfolio managers and chaired by Jane Shoemake, the Client Portfolio Manager for the Fund.

The Fund’s asset allocation is based on an assessment of the bottom-up opportunity set in each asset class alongside top-down macroeconomic analysis. The team utilise third-party macro research in addition to the asset allocation expertise of the London-based Multi-Asset Team and the Denver-based Balanced Team. These inputs all help inform the asset allocation discussion and determine the relative value of bonds in comparison to equities.

The typical range for each of the sleeves is as below:

• Global Equities: Typical Range – 40% to 55%
• UK Equities: 20% to 30%
• Fixed Income: 15% to 30%

The team consider several top-down macro-economic leading indicators alongside bond market signals, including the shape of the yield curve, interest rate expectations, central bank monetary policy and any recent significant changes. Asset class valuations (both absolute and relative) are also considered with relative yield seen as a useful valuation indicator.

The extent of bottom-up investment opportunities identified by the respective portfolio managers also feeds into the asset allocation decision making process. For the allocation between UK and international equities, Hamish and Andrew consider both bottom-up and top-down factors, including a range of relative valuation metrics, earnings and dividend growth forecasts, macro-economic data, and investment opportunities at the stock level.

Asset allocation decisions are not limited to being made at the scheduled bi-monthly asset allocation meetings but can also be acted upon more frequently as market opportunities arise. Ultimate decision-making authority resides with the four Fund managers and no AA change will be made unless there is complete agreement.

The portfolio managers ensure there is appropriate risk exposure across the Fund’s asset classes, while also identifying any areas that are over or under valued with the aim of ensuring capital is appropriately allocated.

Asset allocation constraints

Beyond the IA sector criteria, there are no minimum or maximum asset class weight constraints although the Fund will typically not have more than 10% of its AUM in cash. Additionally, the Fund will typically not exceed +/- 10% weighting vs the peer group benchmark in either the global, UK or fixed income sub-portfolios. The portfolio will also generally be at least 60% invested in equities unless a material change in the risk/reward of equities versus fixed income securities is identified which may prompt a temporary increase in the fixed income allocation.

Within the fixed income sub-portfolio, the allocation between government bonds and corporate bonds, and investment grade and high yield, is driven by the output from the monthly credit team meetings and their risk budgeting process which ultimately decides the beta and duration management for the sub-portfolio. The duration of the fixed income sub-portfolio will usually be within +/-2.5 years of the fixed income comparator benchmark (50% Bloomberg Barclays Global Aggregate Corporate Unhedged £ and 50% Bloomberg Barclays Sterling Aggregate Unhedged £).

Cash

The IA mixed investment 40 to 85% shares sector includes a weighting to cash and the Fund’s allocation to cash is considered as part of the asset allocation discussion.

Derivatives

The portfolio managers may use derivatives to reduce risk or to manage the Fund more efficiently.

Sell discipline

Equity holdings may be sold for several reasons:

• Impairment of the long-term investment thesis – if there is a change, either at the regulatory, industry or company level, which undermines the ability of the company to grow over time
• Breach of avoidance criteria – if the company, either as a result of an acquisition or internal business development, becomes involved in an activity that transgresses the avoidance criteria.
• Deteriorating or unresolved operational ESG issues – the team seek to invest in companies which demonstrate high and improving standards in respect of the management of operational ESG factors because this underpins the ability of the company to grow over time.
• A new idea offers a more compelling risk/reward opportunity.

Fixed income holdings may be sold for the following reasons:

• Change in the portfolio manager’s / credit analyst’s view on a security.
• Performance - relative to sector / peers.
• Threshold loss tolerance level (bps) exceeded - at either the security or Fund level
• Breach of avoidance criteria

Engagement

Company engagement forms an important part of the investment process. The team take an active approach to communicating their views to companies and seeking improvements in performance. The types of engagement include:

• Collaborative engagement: coming together with a group of other institutional investors to engage with companies on a range of ESG issues.
• Continuous engagement: working with companies on ESG issues that have long-duration and do not result in immediate outcomes.
• Collective engagement: bringing together ideas and resources from a diverse range of stakeholders from outside the organisation to engage with companies on key issues.

Our analysis of the portfolio against key ESG performance indicators helps us identify topics for engagement, together with the controversies, scientific advances and actions taken by companies. These topics for engagement are not fixed and are subject to change depending on the activities of the company and their materiality.

Janus Henderson’s Proxy Voting Policy and Procedures document, which can be found on www.janushenderson.com, sets out the firm’s proxy voting policy.

Ultimate voting authority rests with the portfolio manager of each sub-portfolio, who is responsible for ensuring that votes are exercised in the best interests of clients, with ESG factors an important consideration where relevant. The portfolio managers are supported by the central Responsible Investment and Governance team, who work closely with investment teams to help analyse voting-related issues. With regards to voting and company engagement, the portfolio manager considers certain core principles such as disclosure, transparency, board composition, shareholder rights, audit and internal controls, and remuneration. A key element of the approach to proxy voting is to support these principles and practices and foster the long-term interests of shareholders.

Given the Fund’s responsible investment process incorporates environment, social, and governance factors in investment decisions, there will be relatively few shareholder proposals on ESG issues for the companies held in the Fund. We aim to support shareholder proposals on ESG factors for portfolio holdings following our approach to voting and engagement outlined within this document.

The Fund’s Quarterly Voting and Engagement Report can be found on www.janushenderson.com.

ESG risk management

ESG monitoring is fully integrated into Janus Henderson’s risk reporting and review processes for the Fund.

Regular MSCI ESG reports are available to portfolio managers. These reports identify the companies with the highest risk ratings with respect to overall ESG issues, significant changes in ESG ratings, controversy risk, governance risks and the portfolio’s carbon footprint relative to the relevant benchmark. These reports also provide an ESG quality score which measures the ability of the underlying holdings to manage key medium to long term risks and opportunities that arise from ESG factors. These ratings are supplemented with Janus Henderson research and analysis as well as engagements with companies when appropriate.

These reports are discussed at ESG meetings with the Responsible Investment and Governance team where the focus is on identifying areas for further engagement both at a theme and company specific level.

The portfolio is subject to regular reviews of its exposure to ESG risks as part of Janus Henderson’s formal risk oversight process. The team use numerous ESG data systems including Sustainalytics, MSCI, ISS, Bloomberg, RepRisk to flag exposure to controversies.

Risk management
Portfolios are subject to independent reviews on an on-going basis, with regular management and internal monitoring controls implemented at various levels:

• Compliance with investment/trading restrictions are monitored by the compliance system, Charles River Development (CRD).
• Portfolio risk is independently monitored by the Investment Risk Team, who aim to meet every portfolio manager at least once a quarter on a rolling basis.
• Portfolio performance and consistency is peer reviewed by senior personnel, including the Global Co-Heads of Equities. Performance and risk statistics are formally reviewed by the Board monthly.

Resources, Affiliations & Corporate Strategies:

As at 31 March 2024, Janus Henderson has 26 Responsibility Team resources. This centralised team are our ESG subject-matter experts who partner with our investment teams on ESG. On our investment teams, we have 11 dedicated ESG experts embedded within numerous investment teams. Additionally, we have 17 portfolio managers* on Janus Henderson’s Brighter Future (ESG-focused) Funds. Our portfolio managers are further supported by our central research functions and/or investment team analysts.

Source: Janus Henderson Investors, as at 31 March 2024.

ESG investment policy

ESG considerations are a key component of the active investment processes employed by our investment teams. These teams operate and are structured in ways most suited to their respective asset classes. Aside from expectations outlined under our ESG investment principles, the precise approach to and depth of ESG integration is down to the discretion and judgement of our investment teams, who apply their differentiated perspectives, insight and experience to identify sustainable business practices that can generate long-term value for investors. While the evaluation of our implementation of ESG criteria is carried out at the strategy level, our central Responsibility team supports each team in their ESG integration with data, tools, stewardship, and ESG research.

Stewardship is an integral and natural part of Janus Henderson’s long-term, active approach to investment management. Strong ownership practices such as management engagement can help protect and enhance long-term shareholder value.

We support a number of stewardship codes, such as the UK Stewardship Code, and broader initiatives around the world including the UN-supported Principles for Responsible Investment. We are pleased that the PRI has recognised the significant progress we’ve made in advancing our responsible investment capabilities over the last three years, and particularly in 2023. In 2023, we successfully remained a signatory to the Financial Conduct Authority’s UK Stewardship Code, regarded as a benchmark in investment stewardship.

In 2023, we implemented our revised ESG Investment Policy, which sets out our approach to ESG investing and ESG Governance and Oversight. The ESG Investment Policy highlights our core stewardship themes of climate change; diversity, equity, and inclusion; and corporate governance, and details baseline exclusions that apply on a firmwide basis.

Engagement policy

The Responsible Investment and Governance Team supports the investment teams on relevant ESG issues and developing themes. As long-term active investors, we regard voting and engagement as a means of promoting strong corporate governance, accountability and management of relevant ESG issues. The team proactively partners with investment desks to coordinate thematic engagements around our core sustainability themes of climate change, diversity, equity and inclusion (DE&I), and corporate governance. The team also engages on themes, such as land use, deforestation, human rights, and access to medicines.

Janus Henderson’s investment teams engage on a broad range of environmental issues that are most material to the companies and sectors in which they invest. In 2023, we recorded more than 1,000 company engagements with a distinct ESG component. Amongst other industry engagement networks in which we are involved, our relationship with Climate Action 100+ focuses on collective engagement on climate-related issues rather than divestment, and we’ve committed to the goal of ensuring the largest corporate greenhouse gas emitters take necessary action on climate change through our thematic engagements.

At Janus Henderson, we believe in the critical importance of diversity, equity and inclusion (DEI) both within our company and in the way we invest. As a result, DEI is embedded in our engagement process with companies, where we hold issuers accountable for their progress on DEI metrics.
Further information on our stewardship approach can be found in our most recent Impact Report and FRC UK Stewardship Report on the Janus Henderson ESG Resource Library.

Firmwide exclusions policy
Our firm-wide exclusions policy is to apply baseline exclusions for current manufacturer, or minority shareholding of 20% or greater in a manufacturer of:

• Cluster munitions
• Anti-personnel mines
• Chemical weapons
• Biological weapons

This policy is underpinned by our firmwide commitment to addressing sustainability issues through the support of our CEO, and existing engagement activities which have seen us drive change through active ownership.

Responsibility Team

The central Responsibility Team is a specialised in-house group focused on ESG data analysis and research, governance, ESG company and thematic engagement, and proxy voting and advisory services that serves as a resource for all our investment desks. They play a leading role in working with investment desks to enhance their ESG integration processes and externally leading our active participation in numerous ESG initiatives. The team also provides support to investment desks on understanding ESG and climate data and tools and occasionally presents to the wider investment floor on relevant topics such as climate change or culture. The team sits on the investment floor and is easily accessible to investment professionals.

In December 2022, we appointed Michelle Dunstan, an experienced leader in ESG strategy and investing, as Chief Responsibility Officer (CRO) to oversee our Responsible Investment strategy. To emphasise the importance of our responsibility efforts and embed them across our entire firm, the CRO reports directly to the CEO, provides quarterly reports to our Board of Directors on established metrics and targets, and sits on the firm’s Strategic Leadership Team.

In 2023, we added specialist resources to our central Responsibility team to better align our resourcing with our strategic priorities. The Responsibility team is centred around three focus areas:

Our ESG Strategy and Operations pillar supports our investment and non-investment teams in four areas - Strategic Initiatives (including responsible investing strategy, policy, and partnerships), ESG Data and Analytics, Content and Learning (including the development of training, reports, client responses, external communications, and ESG thought leadership), and Regulatory/Operations (collaborating with Regulatory, Risk, Compliance, and Legal).

Our Responsible Investment and Governance pillar provides direct support to our investment teams. The focus of this partnership is on equipping and supporting our analysts and portfolio managers to do what they do best: research industries and securities to select the most attractive candidates for inclusion in our portfolios. Our team will partner with the investment teams to deliver ESG training, support on developing frameworks to identify financial material ESG issues, planning and conducting engagements, supporting research on ESG issues that can impact cash flows or valuation, and advising on proxy voting.

Our ESG Solutions pillar focuses on partnering with our product, distribution, and investment teams to enhance existing portfolios and deliver new portfolios to clients across varying levels of ESG needs, from robust integration to ESG-focused strategies. They also partner with investment desks to continuously evolve our ESG capabilities, including developing and refining integration frameworks that inform research, stewardship, and portfolio construction. Furthermore, the team also contributes to thought leadership content and conducts training on various technical ESG topics.

Our Diversity and Community Relations pillar focuses on diversity, equity, and inclusion (DEI) and community relations. They are committed to fostering inclusion, promoting cultural awareness, and establish equitable policies, benefits, and training that support our people, and our DEI goals.

In Feb 2024, JHI’s ESG commitment level rating was upgraded by Morningstar from Low to Basic, where many of our peers are ranked. This is a very important development as many clients look to these ratings as evidence of our ESG capabilities. Furthermore, any individual fund’s ESG rating cannot be more than one notch higher than the firm-wide rating, so this will enable ESG rating upgrades to ‘Advanced’ for some of our strategies.

Investment Team Resources Dedicated to ESG Investment Research Analysis

Name - Job title
Alice Branagan - Portfolio Analyst - ESG
Artee Khiatani - Credit Analyst – ESG
Elizabeth Harrison - Fixed Interest Strategist – ESG
Jigar Pipalia - Portfolio Analyst
Kimberley Pavier - Sustainability Analyst
Michael Mullin, CFA - Jr Credit and ESG Analyst
Olivia Vernall - Research Analyst - ESG
Pauline Chrystal, CFA - Portfolio & ESG Manager
Soline Poulain - Credit Analyst
Suney Hindocha, CFA - Research Analyst
Taylor Conley - Junior ESG Research Analyst

Source: Janus Henderson Investors, as at 31 March 2024.

Responsibility Team

Name - Job Title
Michelle Dunstan - Chief Responsibility Officer
Antony Marsden - Global Head of Responsible Investment and Governance
Blake Bennett, PhD - Responsible Investment and Governance Analyst
Ruchi Biyani - Corporate Governance Lead
Olivia Gull - Responsible Investment and Governance Analyst
Charles Devereux, CFA - Responsible Investment and Governance Analyst
Charlotte Nisbet - Responsible Investment and Governance Analyst
Olivia Jones - Responsible Investment and Governance Analyst
Phoebe Lei - Responsible Investment and Governance Analyst
Xiaoyi Luo Tedjani, FRM - Responsible Investment and Governance Analyst
Catherine Boyd - Global Head of ESG Strategy & Operations
Onon Wedum - Responsibility Marketing & Communications Analyst
Jesse Verheijen - Head of ESG Data and Analytics
Evelyn Lin - ESG Data Analyst
Tom Nutton - ESG Data Analyst
Priyanshu Sinha - ESG Data Analyst
Nitin Mehta - Head of ESG Operations & Regulatory Change
Nicole Wong - ESG Risk and Controls Lead
Somya Gupta - Reporting Analyst
Sunniva Droenen - ESG Regulatory Business Analyst
Stewart Gillespie - JHI ESG Brighter Future Fund Equity Specialist
Adrienn Sarandi - Global Head of ESG Solutions and Strategic Initiatives
Henrik Jeppesen, CFA, CAIA, CIPM - ESG Implementation Director
Jonathan Lloyd - ESG Solutions Engineer
Demesha Hill - Head of Diversity & Community Relations
Ferhana Jameel - Diversity & Inclusion Advisor

Source: Janus Henderson Investors, as at 31 March 2024.

ESG governance and oversight

Governance and risk management process and participants
To reflect the increasing importance of sustainability and climate issues both to Janus Henderson as a corporate and as an asset manager in our investment process, we are continually enhancing the governance and oversight of these considerations.

Board of directors
While our Board of Directors has received updates on sustainability, climate and ESG issues in the past, formal oversight of these issues was formally put under the remit of the Governance and Nominations Committee in 2023. Our Chief Responsibility Officer is establishing tangible metrics with the Committee and will be providing quarterly updates on progress against those metrics. These metrics and discussion will encompass both Corporate Responsibility and Responsible Investing.

ESG oversight committees
Our ESG Oversight Committee, chaired by our Chief Responsibility Officer, provides oversight for a range of issues at a portfolio and security level, including monitoring of issuer-level positions for investments identified as having outsized sustainability, climate, or ESG risks. Its remit includes:

• Review of ESG-related metrics and commitments for new funds and mandates and changes to ESG related commitments to existing mandates
• Review of ESG-related processes, systems and resources in place for funds and mandates
• Review of the effectiveness of controls relating to sustainability
• Monitoring of key ESG-related metrics and exceptions

Risk management functions
Our Financial Risk team is an independent function reporting directly to the Chief Risk Officer, tasked with ensuring funds are managed in line with client expectations, and ensuring any exposures are appropriate. Its activities include market risk oversight, liquidity risk monitoring and counterparty credit risk management.

Beginning in 2023, the Financial Risk team further supports the investment desks in providing portfolio-level oversight of sustainability, climate, and ESG risks, using the Sustainability Risk Dashboard. Risk oversight meetings are held with investment desks regularly, with an agenda item to ensure climate-related portfolio risks have been identified.

ESG data management
At Janus Henderson, we continue to invest in leading ESG data and tools. Investment teams have access to a range of third-party data from providers including on ESG ratings, risks and controversies, business involvement, Climate Value at Risk (CVaR), climate risk reports, United Nations Sustainable Development Goals-alignment, and principal adverse indicators.

Janus Henderson makes third party and proprietary ESG data available directly to the investment teams.

Sources of ESG research, data and tools from providers, include:

• Sustainalytics
• MSCI
• Vigeo EIRIS
• ISS Climate Impact
• Institutional Voting Information Service (IVIS)
• RepRisk
• ISS Quality Score
• ISS Proxy Voting Research
• FTSE Russell Beyond Ratings
• TPI, CDP, IFRS Sustainability Alliance* (formerly SASB), CBI, SBTi
• GRESB
• Other specialist broker research

They also have access to climate data from our strategic data provider, MSCI, including:

• Carbon metrics
• Physical and transition risks assessments through climate scenario analysis
• Implied temperature rise
• Low carbon transition score

Our firm-wide proprietary portfolio ESG & Climate Dashboard shows portfolio-level analytics for the sustainability factors we believe to be most material for all sectors and companies. These factors include for corporates: environmental (inc. Scope 1, 2, and 3 carbon emissions and weighted average carbon intensity), social and governance (inc. board gender diversity), and those related to global norms (UN Global Compact violators). For sovereign issuers, we analyse a separate set of E, S, and G indicators, including those on greenhouse gas intensity, and scores on income inequality, freedom of expression, human rights, and corruption. It also identifies leader and laggard issuers to help uncover underappreciated risks and opportunities for the companies in which we invest. The new ESG Explore proprietary data solution will provide interactive, drill-down climate information to investment teams at both portfolio and security levels.

In collaboration with our fixed income and central equity research teams, we are in the process of creating an internal financial materiality map across sectors focused on environmental and social issues. Utilising existing materiality frameworks from SASB (Sustainable Accounting Standards Board) and MSCI, our research analysts, together with Responsible Investment team have identified 12 sustainability categories within environmental, human capital and social capital, which can materially influence the financial performance of companies across all sectors (not all companies nor sectors are influenced by every sustainability category). For each sector, we are developing a KPI page to be launched on our ESG Explore platform in the coming quarters. The KPI pages will include the selected financial material indicators by company or fund with the ability to compare to sector index averages and to other individual companies.

We continue to refine the integration of ESG into our investment processes, leveraging a wide range of data and tools, as well as well-respected initiatives such as the International Financial Reporting Standards (IFRS)* (formerly known as Sustainability Accounting Standards Board (SASB)), Science Based Targets initiative (SBTi) and the Transition Pathway Initiative (TPI), in addition to multiple ESG data vendors and artificial intelligence-based news platforms.

While our analysts and portfolios managers will be the primary users of these tools, they will also be used by our oversight functions, including risk, and for client reporting. These tools will enable our investment teams to conduct analysis of financially material ESG issues in a way that aligns with their current research process and in a similar way to how they access non-ESG issuer and portfolio data.

*Upon the Value Reporting Foundation’s consolidation into the IFRS Foundation, the IFRS Foundation’s International Sustainability Standards Board (ISSB) assumed responsibility for the SASB Standards. The ISSB has committed to build on the industry-based SASB Standards and leverage SASB’s industry-based approach to standards development. The ISSB encourages preparers and investors to continue to use SASB Standards.

Equipping our investment teams

We are enabling our analysts and portfolio managers to better identify and manage ESG risks and opportunities:

1. Enhancing data and analytics on ESG and climate risks and opportunities at security and portfolio levels
   We have augmented the range and quality of ESG data available to our investment teams and risk teams. We launched a proprietary dashboard that shows portfolio-level analytics for the most material sustainability factors. It also identifies leader and laggard issuers to help uncover underappreciated risks and opportunities for the companies in which we invest.
2. Supporting investment teams with expert resources and training
   We embarked on a campaign to upskill ESG knowledge and expertise. Over 90% of client-facing Distribution personnel have obtained an external ESG certification. All investment personnel associated with Funds in scope of the European SFDR took over four hours of mandatory ESG training, including on ESG metrics and financial materiality, climate data and scenario analysis, diversity, equity and inclusion, and human capital management. Specialised training on climate data and tools is available on demand. Janus Henderson continues to address ESG regulatory change. Requirements for the EU Sustainable Finance Disclosure Regulation and UK Task Force on Climate-related Financial Disclosure regulation have been implemented. We are currently working on addressing new regulations, including UK Sustainability Disclosure Requirements and the EU Corporate Sustainability Reporting Directive, and preparing for future regulations such as the US Securities and Exchange Commission Climate Disclosure rules and the European Securities and Markets Authority Fund Name rules.
3. Partnering with investment teams on proprietary ESG research, engagements, and insights
   Our Responsibility team partnered with our investment teams to develop thematic ESG research covering a wide range of topics, including nuclear energy, cybersecurity, regulation of internet mega caps, climate stress tests, and physical climate risks/renewable energy opportunities in real estate. Through close collaboration, we also significantly increased our engagement with issuers; 2023 saw over 1,000 documented ESG engagements across a variety of topics. For more information on our collaborative engagements, please see our UK Stewardship Code report (pgs. 50-52). We also voted on almost 64,000 proposals across almost 6,000 meetings.

ESG product strategy

Our ESG Product Strategy Team provides a centralised function to support all business functions with respect to ESG. This team partners with investment teams on content creation, client enquiries, and aligning our ESG product development and investment capabilities.
Additionally, our Head of Client Experience partners with ESG teams to develop detailed ESG reporting that satisfies the needs of our clients.

ESG research capabilities
Our central Responsibility team consists of ESG subject-matter experts and partners with the investment teams on research and engagement. This partnership leads to enhanced research and decision-making – marrying the sector and industry expertise of the Investment Teams with the ESG skills of the Responsibility Team.

In 2023, the Responsible Investment and Governance team conducted a series of thematic engagements covering a wide range of sectors and topics. These include water risks in the mining, beverage and semiconductor industries, methane/flaring from oil & gas industry, circular economy, and conduct and ethics of artificial intelligence.

ESG insights – Knowledge Shared

As part of our commitment to advancing the industry dialogue around ESG, we seek to make the thinking of our investment teams widely available to our clients, shareholders, and other stakeholders through a variety of content, including white papers, articles, podcasts, videos, and panel debates.

In 2023, we generated 28 thought leadership and educational pieces on ESG topics. The insights included our recent conference event hosted by Janus Henderson in October 2023, where analysts from Janus Henderson’s Responsible Investment and Governance team discussed their research of water-intensive sectors and the impact of growing water scarcity on businesses.

Our investment teams also produced broader papers and debates on ESG investment approaches, climate investing, the water crisis, natural capital and biodiversity loss, deforestation, methane emissions in the oil & gas sector, and the outlook for ESG investing.

JHI Brighter Future Funds

In 2023, product development work focused on strengthening Janus Henderson’s existing ESG product suite by delivering on product commitments and setting a foundation for future innovation. Driven by ongoing client interest, Janus Henderson continued to align products with the European Union’s Sustainable Finance Disclosure Regulation (SFDR). We converted 38 funds to Article 8 and 9 status as at the end of 2023.

Aside from delivering on regulatory-based product commitments, the Product and the Responsibility Teams conducted foundational work to define our ESG product suite in alignment with the investment objectives set out by the Responsibility Team and Chief Responsibility Officer, Michelle Dunstan. From a product perspective, we are committed to leveraging research-driven, materiality-focused ESG integration, alongside fundamental investment factors. This type of ESG integration is reflected in over 80% of Janus Henderson products.

Beyond ESG integration, we also understand that many clients are looking to pursue environmental or social outcomes, alongside targeted financial outcomes. For these clients, we continue to develop our suite of JHI Brighter Future Funds which aim to deliver superior financial outcomes as well as environmental or social outcomes aligned to long-term sustainability themes. Future developments for ESG-focused products will be based around understanding ESG opportunities across asset classes and key themes – with a particular focus on developing tools to understand how investment opportunities relate to the economy-wide climate transition.

Participating in select ESG industry initiatives

We have a strong heritage of involvement with sustainability-related organisations and initiatives. As part of our commitment to responsible investment, Janus Henderson is involved in a wide range of ESG-related initiatives as a member, supporter or in an advisory capacity.

In 2023, we joined Nature Action 100, a global investor-led initiative working to drive the necessary corporate action to reverse nature loss.

In 2023, we also participated in roundtables for the Assessing Sovereign Climate-related Opportunities and Risks (ASCOR) Project, which aims to develop a tool that assesses sovereign exposure to climate risk and how governments plan to transition to a low-carbon economy.

ESG affiliations, memberships, initiatives and certifications

In addition to being a founding signatory of the United Nations-supported Principles for Responsible Investment (PRI), Janus Henderson is involved in a wide range of ESG-related initiatives and working groups as a member, supporter or in an advisory capacity.

Our participation in industry working groups along with our sharing of insights and knowledge of ESG through our published materials reflects our status as an active proponent of sustainable investing.

For the full list of our ESG Affiliations, Memberships and Certification details please refer to the Affiliations section in our website.

https://www.janushenderson.com/en-gb/investor/about-us/esg-environmental-social-governance/esg-corporate/

In addition, we publicly support standard setters and industry groups who work with governments to implement stronger sustainability standards in the investment management industry. Where possible, we contribute to ESG policy and regulatory discussions through our response to consultations.
Thought Leadership

As part of our commitment to advancing the industry dialogue around ESG, we seek to make the thinking of our investment teams widely available to our clients, shareholders, and other stakeholders through a variety of content, including white papers, articles, podcasts, videos, and panel debates. As with our ESG research, we aim to publish content that contains thoughtful, practical, research-driven, and forward-looking insights.
In 2023, we generated 28 thought leadership and educational pieces on ESG topics. The insights included portfolio manager-specific views related to sustainable investment themes, with key contributions from our Global Sustainable Equities, Global Natural Resources, and Global Technology Leaders teams.

In terms of specific themes and topics, we produced broader papers and debates on a variety of ESG issues, including methane emissions from the oil & gas industry, deforestation, the role of metals in decarbonisation, renewable energy, and electric and autonomous vehicles. We also published articles outlining our approach to ESG and natural capital investing.

Dialshifter

This fund is helping to ‘shift the dial from brown to green’:

The fund seeks a responsible approach to investing in the shares and bonds of global companies by incorporating environmental, social and governance (ESG) factors in investment decisions and by avoiding companies that the investment manager considers to be involved in business activities and behaviours that may be environmentally and/ or socially harmful.

Our organisation is helping to support the Paris Climate Agreement and the Race to Net Zero by…

• Maintaining Janus Henderson Carbon Neutral Status
• Reducing our carbon use by 15% per FTE over a three-year period – starting January 2019*
• Support for the Paris climate agreement and the overall objective of limiting temperature rises to no more than 1.5 degrees.
• Support for the Paris Pledge for Action, TCFD and CDP
• Active engagement with portfolio companies on climate issues, including as a participant in Climate Action 100+
• Membership of the Institutional Investor Group on Climate Change (IIGCC), that works to promote action from companies, investors and governments on climate issues.

SDR Labelling: Unlabelled with sustainable characteristics

• Consumer Facing Disclosure