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 September 2024.

Carbon footprint

CARBON FOOTPRINT (Corporates)

As of 30 September 2024
Tonnes CO₂e per $1 million invested
32.7
Eligibility
93.0%
Eligible Coverage
96.8%
Total Coverage
90.0%

CARBON FOOTPRINT (Corporates and Sovereigns)

As of 30 September 2024
Tonnes CO₂e per $1 million invested
36.5
Eligibility
98.2%
Eligible Coverage
96.9%
Total Coverage
95.2%

Weighted average carbon intensity (WACI)

WEIGHTED AVERAGE CARBON INTENSITY (WACI) (Corporates)

2024
Tonnes CO₂e per $1 million invested
67.6
Eligibility
93.0%
Eligible Coverage
97.9%
Total Coverage
90.8%

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

2024
Tonnes CO₂e per $1 million invested
76.7
Eligibility
98.2%
Eligible Coverage
97.8%
Total Coverage
96.0%

Largest contributors to carbon footprint (excluding sovereigns)

Company Name
Contribution to fund carbon footprint:
Shell
3.5%
BP
3.0%
United States Steel Corporation
1.4%
Linde
0.9%
Holcim
0.9%
Taiwan Semiconductor Manufacturing
0.8%
Tohoku Electric Power
0.8%
Buzzi Spa
0.7%
Heigr
0.7%

CARBON FOOTPRINT BREAKDOWN BY COUNTRY (including sovereigns)

Country
Percentage
United States
34.6
United Kingdom
9.2
Japan
7.6
Germany
4.2
Canada
3.4
China
3.1
Australia
2.8
Hong Kong
2.6
Italy
2.5
Other
30.1

CARBON FOOTPRINT BREAKDOWN BY SECTOR (including sovereigns)

Sector
Percentage
Basic Materials
21.4
Energy
17.1
Industrial
16.9
Government
15.3
Utilities
12.5
Consumer Cyclical
6.6
Consumer, Non-cyclical
4.8
Technology
2.6
Communications
1.6
Other
1.2

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

Country
Percentage
United States
41.3
Saudi Arabia
6.8
United Kingdom
5.8
Canada
5.1
Japan
4.8
Australia
3.0
Taiwan
2.7
Hong Kong
2.7
China
2.3
Other
25.6

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

Sector
Percentage
Utilities
22.0
Government
16.6
Basic Materials
14.7
Industrial
13.5
Energy
12.4
Consumer, Non-cyclical
6.3
Consumer, Cyclical
4.6
Technology
4.2
Financial
3.1
Other
2.6

LGIM carried out a broad range of Stewardship engagements with companies in the HL Growth Fund over the 12 months to 30 September 2024:

VOTING RECORD

Number of company meetings which LGIM were eligible to vote at:
8,946
Number of resolutions (company proposals) LGIM were eligible to vote on:
90,765
% of items of which LGIM were eligible to vote on, and did vote on:
99.78%
Of the items on which LGIM voted: % In line with company management: % Against company management: % Abstained:
76.47% 23.00% 0.53%

ENGAGEMENTS

% Of the HL Growth Fund (by value) which LGIM engaged with over the period:
63%
Number of unique companies which LGIM engaged with
2,435
Number of engagements relating to the environment
2,458
Number of engagements relating to the social topics
601
Number of engagements relating to corporate governance
552
Number of engagements relating to other topics, e.g., finance & strategy
245

TOP ENGAGEMENT SUBJECTS

Climate Impact Pledge
2,076
Human Rights
332
Capital Management
261
Deforestation
198
Corporate Strategy
197