ESG and Impact Investing
Our Expanding Approach
The Stowers Institute for Medical Research was founded by Jim and Virginia Stowers who dedicated the vast majority of their net worth to benefiting humankind.
Through its distinct business model, American Century directs more than 40% of dividends to its owner, the Institute, to fund lifesaving research that can improve human health and save lives.
The Institute owns a controlling interest in American Century. Through this unique ownership structure, dividend payments ensure the ongoing support of important work that can improve human health and save lives. Since 2000, those payments have totaled $1.7 billion.
Began incorporating exclusionary screening into select portfolios
Formally incorporated ESG MSCI ratings/analysis into fundamental analysis of equity portfolios
Launched first ESG-focused strategy: U.S. Sustainable Large Cap Core strategy
Hired Head of ESG and Investment Stewardship
Created ESG integration framework and proprietary scoring model
Signed United Nations-supported Principles for Responsible Investment (PRI)
Established firm ESG Investment Policy
Incorporated ESG matters into Proxy Voting Policy and established ESG Proxy team
Launched Health Care Impact strategy
Integrated ESG analysis into additional equity and fixed-income strategies
Launched Emerging Markets Sustainable Impact strategy
Introduced ESG Investment Champions training program
Continued integrating ESG considerations across equity and fixed-income strategies
Implemented formal engagement protocol
Designated and trained additional ESG Investment Champions
Launched sustainable semitransparent active ETFs
This information is for educational purposes only and is not intended as investment advice.
As of 12/31/2021, more than 80% of American Century's AUM are subject to the incorporation of ESG factors into the investment process employed by each strategy's portfolio managers. When portfolio managers incorporate Environmental, Social and Governance (ESG) factors into an investment strategy, they consider those issues in conjunction with traditional financial analysis. When selecting investments, portfolio managers incorporate ESG factors into the portfolio's existing asset class, time horizon, and objectives. Therefore, ESG factors may limit the investment opportunities available, and the portfolio may perform differently than those that do not incorporate ESG factors. Portfolio managers have ultimate discretion in how ESG issues may impact a portfolio's holdings, and depending on their analysis, investment decisions may not be affected by ESG factors.