Responsibility Overview
Values-based investing to achieve positive societal impact

At CITI EQUITY Asset Management, we have considerable experience in the area of responsible investing.

Responsible investing can take on many forms and many names. Depending on one’s particular emphasis, it can be called values-based investing, socially responsible investing (SRI), green investing, ethical investing, impact investing, sustainable investing, and the list goes on. Regardless of the terminology, the goal of responsible investing is generally the same—to generate long-term competitive financial returns in a manner that provides positive societal impact.

Many of our clients seek to incorporate social considerations into their portfolio and we help these clients work through the process. When we undertake this process, we work closely with each client to understand their values, motivations, and societal goals. It is critical to understand at the outset that each client may have their own unique way of defining and implementing a responsible investment program.

Potential areas of emphasis include environmental, social and governance practices, as illustrated in the following graph.

Key Elements to Responsible Investing:

  • Determining which social goals have highest priority
  • Identifying the range of investment vehicles that best match those priorities
  • Understanding the tradeoffs involved; e.g. potential tracking error versus portfolio benchmark, and/or incremental expenses

Environmental, Social, & Governance

These three areas of Environmental, Social, and Governance practices (often referred to as ESG) encapsulate a wide swath of the responsible investing landscape, and typically serve as a good jumping off point for preliminary discussions of a responsible investing approach. Other areas of emphasis, though, can include:

  • Impact investing, i.e., identifying investments expected to yield specific social benefits
  • Investment screening to exclude specified industries whose business models run contrary to the client’s social goals

CITI EQUITY a firm, we monitor an extensive and rapidly growing universe of socially responsible investment vehicles. These include:

  • Socially responsible index funds, including exchange-traded funds (ETFs)
  • Actively managed mutual funds
  • Portfolios of individual equities managed according to a client-specified set of parameters

CITY EQUITY's responsible investing approach is typically overlaid on top of one of our diversified, risk-managed strategies, such as BenchmarkPlus or Equity Index Plus, and can be customized to a variety of return objectives and risk tolerances.

CITI EQUITY investment professionals work closely with clients to implement a responsible investing program that seeks long-term competitive returns and positive societal impact, and is tailored to each client’s unique goals and values. To begin a conversation on how we might help you achieve your responsible investing goals, please contact a member of our portfolio management team.

Advancing Responsibility

CITI EQUITY is committed to being a responsible firm—in how we act and how we invest. We’ll be relentless in ensuring that the path of responsibility leads upward.

Our Vision of Corporate Responsibility

At CITI EQUITY, we view responsibility as an active pursuit that unites our firm—from the way we work and act to our community service and the investment solutions we deliver to our clients. Whether you’re a global institution, financial advisor or high-net-worth individual, we’re committed to being your most valued partner.

Effective responsible investing should start with a commitment to being a responsible firm.

ESG integration and engagement are fundamental to our responsible investment and research processes.

Leveraging our perspective as a responsible firm and investor, we’ve designed Portfolios with Purpose to deliver specific ESG-related outcomes.

Responsibility Requires More Than Words

At CITI EQUITY, we believe corporate responsibility and responsible investing cannot be separated. We must have a strong commitment to being a responsible firm in order to be truly effective responsible investors.

We Act Responsibly

We have a strong commitment to advancing our efforts as a responsible firm.

We Invest Responsibly

We integrate ESG considerations in our investment process for most of our actively managed strategies and design purpose-driven solutions.

Responsible Investing

As responsible investors, we scrutinize the environmental behavior of the companies we research. It’s critical that we turn that same lens on ourselves, evaluating the impact we have on the environment—and how we can become better environmental stewards.

Data Disclosure

Explore detailed data on AB’s corporate responsibility efforts, including information on our workforce, greenhouse gas emissions and philanthropy.

Responsibility Throughout CITI EQUITY

To implement our responsibility strategy and measure its progress, we’ve created a structure that reflects our firmwide commitment to responsibility, from the Responsibility Steering Committee to ESG analysts and investors as well as the infrastructure that supports them.