ESG Portfolios Upgrade: Investing well with purpose

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Chapters

• 01:30 – Introduction to Endowus
• 02:36 – Introduction to Endowus ESG Classfication
• 07:45 – New funds for Endowus ESG Portfolios
• 08:58 – 4 key takeaways from Recommended Portfolio Change
• 11:45 – Enhancements to equities component
• 14:51 – Enhancements to fixed income component
• 19:13 – Reduced total expense ratio (TER) and better risk-adjusted returns
• 21:35 – Alignment with environmental and social values
• 27:00 – Q&A: How did the new 60/40 portfolio perform in 2022?
• 29:31 – Q&A: Does the portfolio contain impact funds?
• 31:55 – Q&A: How does the equity portfolio compare to an ESG ETF like SDWD?
• 34:26 – Q&A: Now that rate cuts are coming up, should we hold on to the current portfolio?
• 36:34 – Q&A: What is the fund selection process?
• 39:38 – Q&A: What is the kind of allocation we should apply for the ESG portfolio in the core-satellite strategy?
• 41:13 – Q&A: How do we measure the effectiveness of the portfolios in terms of ESG?
• 43:24 – Q&A: What is ESG investing in fixed income? Do you just buy bonds from ESG companies?
• 45: 27 – Q&A: Traditional energy sources like fossil fuels are crucial for the wellbeing of people. Should we not exclude them completely then?
• 46:46 – Q&A: What benchmarks do you use?
• 47:16 – Q&A: How do you manage the portfolios to achieve the sustainability targets, and what targets are these?

About the session

Three years ago, we launched the Endowus ESG Portfolios to meet the growing interest of investors looking to make a meaningful difference with their investment choices. Through ongoing dialogue with our clients and continuous monitoring of the sector, we have strengthened our approach  to optimise these portfolios to target better investment outcomes, while aligning closely to ESG values.

In our latest Recommended Portfolio Change (RPC) to the ESG Portfolios, we have made enhancements aimed at both reducing costs, and tracking performance that is more in line with benchmark indexes. These adjustments will make it easier for investors to maintain a long-term commitment to their ESG investment goals.

This RPC is part of Endowus’ commitment to sourcing mutual funds that will optimise your portfolios to help you invest for good, and invest better.

Join Min Axthelm, Head of Research and Yulin Liu, Investment Lead at Endowus, as they discuss the latest enhancements to the ESG Portfolios. Topics covered include:

• Recommended adjustments to the equity and fixed income fund allocations
• Reduced investment cost with no compromise to portfolio quality and alignment to ESG values
• How improved diversification reduces portfolio risk

About the speakers

Yulin Liu, Investment Lead, Endowus

Yulin Liu is the Investment Lead at Endowus. Yulin focuses on investment due diligence and portfolio construction, and coordinates with other departments on investment-related matters. She is a member of the Investment Committee and is passionate about making investing more accessible and easier for individuals.

Her most recent role was with AQR Capital Management, where she served major institutional investors across Asia in their investment and portfolio monitoring needs.

Yulin holds a Masters in Financial Analysis (Distinction) from London Business School, and a MEng in Engineering, Economics and Management (First Class Honours) from the University of Oxford.

Min Axthelm, Head of Research, Endowus

Min Axthelm is the Head of Research at Endowus, Asia’s leading digital wealth platform. 

In her current role, Min drives the Endowus Group Investment Office’s efforts on research and content creation on the macro market and asset allocation, portfolio construction and optimisation, as well as investment manager due diligence. She also works closely with Endowus’ Product team on product research and development.

Min has more than a decade of experience in the wealth industry, including fund manager due diligence and asset management. She joined Endowus from Morgan Stanley in New York, where she was Lead Analyst with its Wealth Management Global Investment Office. There, she oversaw the due diligence process from inception to completion for US Equity strategies and mutual funds.