CCM believes that a fully integrated portfolio, one that includes impact and environmental, social, and governance (ESG) factors, can deliver strong financial performance while having positive long-term economic and sustainable outcomes.
FIXED INCOME IMPACT APPROACH
Use of Proceeds Due Diligence
Impact bonds where the capital is financing positive environmental and/or social outcomes at time of issuance. The investment team must have a high degree of confidence with:
- The use of proceeds and how it is supporting one or more of CCM’s impact themes.
- The use of proceeds and how it is having positive environmental and/or societal outcomes to people and communities.
Impact bonds where the capital is financing positive environmental and/or social outcomes tied to future projects. The investment team must have a high degree of confidence with:
- The use-of-proceeds intent and how it supports one or more of CCM’s impact themes.
- The project selection criteria and process.
- The use of proceeds meeting its original intent and that the issuing entity is reporting in the stated time frame.
Issuer Due Diligence
The investment team must have a high degree of confidence with:
- The issuer and its track record.
- The issuer reporting and/or any supplemental third party impact and ESG research.
- How the entity supports one or more of CCM’s impact themes.
Fossil Fuel Free Framework
CCM invests in securities that we consider to be fossil fuel free.
- We may invest in a bond whose use of proceeds will be used to finance activities or projects in clean and renewable energy or other activities that may contribute to the transition to a more sustainable economy, even if the issuer’s revenue or profits are partially derived from the fossil fuel sector.
- We do not invest in bonds where the use of proceeds supports extracting, producing, processing, or refining the fossil fuels of oil, gas, and coal.
- We do not invest in bonds where the use of proceeds supports storage, transportation, exploration, or production of carbon-related fuels or energy sources.
Clients meeting minimum requirements can tailor their capital to support specific geographies, impact themes, or impact initiatives.
We report on the expected impact and detail what we believe are the qualitative benefits of the investment.
CCM’s impact and ESG policy is for clients incorporating impact and ESG investing into their portfolios. Each client is subject to their respective investment management agreement (IMA), which may not include impact.