HL GROWTH FUND ESG REPORT

This page gives further detail on the carbon emissions profile of the HL Growth Fund, and further information on our recent Stewardship activities.

Key ESG metrics

Data provided by LGIM, 30 June 2025

Carbon footprint

CARBON FOOTPRINT (Corporates)

As of 30 June 2025
Tonnes COâ‚‚e per $1 million invested
26.4
Eligibility
92.7%
Eligible Coverage
97.0%
Total Coverage
89.9%

CARBON FOOTPRINT (Corporates and Sovereigns)

As of 30 June 2025
Tonnes COâ‚‚e per $1 million invested
30.4
Eligibility
97.9%
Eligible Coverage
97.1%
Total Coverage
95.1%

Weighted average carbon intensity (WACI)

WEIGHTED AVERAGE CARBON INTENSITY (WACI) (Corporates)

As of 30 June 2025
Tonnes COâ‚‚e per $1 million invested
61.8
Eligibility
92.7%
Eligible Coverage
98.0%
Total Coverage
90.9%

WEIGHTED AVERAGE CARBON INTENSITY (WACI) (Corporates and Sovereigns)

As of 30 June 2025
Tonnes COâ‚‚e per $1 million invested
69.6
Eligibility
97.9%
Eligible Coverage
98.1%
Total Coverage
96.1%

Largest contributors to carbon footprint (excluding sovereigns)

Company Name
Contribution to fund carbon footprint:
Shell
4.5%
ArcelorMittal
1.4%
Vistra
1.4%
Cleveland-Cliffs
1.0%
Linde
0.9%
Heidelberg Materials AG
0.9%
Alcoa
0.9%
SSAB
0.9%
Capital Power Corp
0.8%
Air Liquide
0.7%

CARBON FOOTPRINT BREAKDOWN BY COUNTRY (including sovereigns)

Country
% of Fund Total Carbon Footprint
United States
37.9%
Japan
8.4%
United Kingdom
8.0%
Canada
3.8%
Germany
3.5%
Australia
2.9%
France
2.8%
China
2.7%
Hong Kong
2.6%
Other
27.3%

CARBON FOOTPRINT BREAKDOWN BY SECTOR (including sovereigns)

Sector
% of Fund Total Carbon Footprint
Basic Materials
19.9%
Government
17.8%
Energy
15.5%
Utilities
14.7%
Industrial
14.4%
Consumer Cyclical
7.7%
Consumer, Non-cyclical
4.8%
Technology
2.2%
Communications
1.9%
Other
1.3%

CARBON INTENSITY (WACI) BREAKDOWN BY COUNTRY (including sovereigns)

Country
Percentage
United States
46.7%
Canada
6.1%
United Kingdom
5.6%
Japan
5.3%
Australia
3.1%
Saudi Arabia
2.8%
Taiwan
2.6%
France
2.2%
Hong Kong
2.0%
Other
23.5%

CARBON INTENSITY (WACI) BREAKDOWN BY SECTOR (including sovereigns)

Sector
Percentage
Utilities
23.2%
Government
15.9%
Basic Materials
15.8%
Energy
13.1%
Industrial
12.3%
Consumer, Non-cyclical
5.0%
Consumer, Cyclical
4.7%
Technology
4.7%
Financial
2.9%
Other
2.5%

LGIM carried out a broad range of Stewardship engagements with companies in the HL Growth Fund over the 12 months to 30 June 2025:

VOTING RECORD

Number of company meetings which LGIM were eligible to vote at:
8,583
Number of resolutions (company proposals) LGIM were eligible to vote on:
87,374
% of items of which LGIM were eligible to vote on, and did vote on:
99.89%
Of the items on which LGIM voted: % In line with company management: % Against company management: % Abstained:
76.53% 23.53% 0.94%

ENGAGEMENTS

% Of the HL Growth Fund (by value) which LGIM engaged with over the period:
56%
Number of unique companies which LGIM engaged with
2,022
Number of engagements relating to the environment
2,004
Number of engagements relating to the social topics
500
Number of engagements relating to corporate governance
219
Number of engagements relating to other topics, e.g., finance & strategy
96

TOP ENGAGEMENT SUBJECTS

Climate Impact Pledge
1,398
Deforestation
416
Capital Management Human Rights
333
Remuneration
138
Corporate Strategy
107