Pictet Cleaner Planet ETF (PCLN)

Overview

PCLN is dedicated to fostering a cleaner planet by investing globally in stocks that are in line with the transition towards a sustainable and environmentally aware economy. This fund adheres to comprehensive ESG (Environmental, Social, and Governance) guidelines, strategically targeting companies that not only promote enhanced ESG practices but also demonstrate responsible voting on relevant issues. The investment selection process begins using an exclusive thematic screen designed to filter through potential investments, ensuring that companies contribute positively to critical areas such as renewable energy, pollution control, water technology, sustainable agriculture, waste management, and circular economy initiatives.

The security selection process is meticulously structured into three distinct stages. The first stage involves evaluating companies for their thematic relevance, liquidity, and volatility. Following this, the second stage consists of a fundamental analysis focusing on the quality of the business, the capability of the management, the financial standing, and the sustainability practices of the firm. Finally, the third stage incorporates a weighting system based on in-depth research insights, manager conviction, and the associated risk factors. Notably, PCLN excludes investments in companies linked to controversial weapons, coal production, or those that have serious breaches of the UN Global Compact guidelines.

Products and Services

• Sustainable Investment Fund: PCLN offers a dedicated fund that channels investments into companies supporting sustainable development goals across various sectors, emphasizing renewable energy and waste management.
• ESG Screening Methodology: Utilizing a proprietary thematic screening process, PCLN identifies and filters companies engaged in practices that align with environmental sustainability and social responsibility.
• Comprehensive Risk Assessment: Each investment opportunity is subjected to a thorough risk assessment process that evaluates liquidity, volatility, and overall market conditions ensuring robust decision-making.
• Fundamental Analysis: PCLN performs in-depth evaluations of potential investment companies focusing on their management quality, financial health, and sustainability practices, ensuring that investments are aligned with the fund’s goals.
• Responsible Voting Practices: The fund underscores responsible voting rights to influence corporate policies regarding ESG issues, thereby contributing to advocating for better practices across the invested firms.
• Exclusion Policy: PCLN maintains a strict investment exclusion policy that rules out any company involved in controversial weapons, coal operations, or significant violations of the UN Global Compact, ensuring alignment with ethical investment practices.