AI and Robotics

The fund promotes environmental or social characteristics but does not have as its objective sustainable investment.

The investment strategy of Atonra AI & Robotics (“the Sub-Fund”) is to invest in companies that

contribute to the Sustainable Development Goals (“SDG”), in particular the SDG 9 “Build resilient

infrastructure, promote inclusive and sustainable industrialization and foster innovation”.

Moreover, Atonra AI & Robotics promotes climate impact mitigation by investing in economic activities with low carbon emissions as the main environmental characteristic.

To meet the main environmental and social characteristics promoted by the Sub-Fund and to measure its attainment, Atonra Partners S.A. (“Atonra” or the “Investment Manager”) starts by defining an investment universe composed of companies active in economic activities that contribute to the SDGs, in particular the SDG 9 “Build resilient infrastructure, promote inclusive and sustainable industrialization and foster innovation”. The Investment Manager tracks the revenues of the different products and segments of the companies, subject to data availability from the data vendors and proper disclosure from the companies.

The Investment Manager also selects indicators linked to the Principal Adverse Impacts that are material for this Fund. For the collection of these indicators, Atonra has relied on the Principal Adverse Impacts of the Regulatory Technical Standards (Commission Delegated Regulation (EU) 2022/1288), which are subject to data availability and may evolve with improving data quality and availability. To this end, Atonra uses ESG data provided by MSCI, on top of aggregated data from other sources, to calculate the performance of these PAIs.

The Fund considers the following sustainability indicators linked with the climate impact mitigation characteristic:

– GHG emission – Scope 1, 2 and 3

– Carbon footprint

– GHG intensity of investee companies

The Fund invests in long-only listed equities. The Investment Manager builds its decisions on Atonra Partners’ unique research and investment approach, which draws scientific, technological, and industrial research together with quality-oriented financial analysis.

The binding elements of the investment strategy used to select the investments to attain the SDG contribution and the climate impact mitigation characteristic are the following:

1. Thematic investing and SDG contribution

The thematic approach of Atonra ensures that all companies in the investment universe have a business activity that directly contributes to reaching the targets of the SDG 9 “Build resili-ent infrastructure, promote inclusive and sustainable industrialization and foster innovation”.

Atonra selects companies that generate at least 20% of their revenue from the theme (AI & Robotics) and its sub-themes 

2. Exclusion strategy

In line with Atonra commitment to responsible investment, this Sub-Fund adopts an exclu-sion policy relating to direct investments that are deemed incompatible with Atonra‘s ap-proach to responsible investment. The Sub-Fund excludes investment companies based on the exclusion list issued by Norges Bank (which can be found here: https://www.nbim.no/en/responsible-investment/exclusion-of-companies/)

Two categories of criteria may lead to an exclusion of companies:

• Criteria for product-based observation and exclusion of companies
• Criteria for conduct-based observation and exclusion of companies

3. ESG integration

Atonra uses ESG data provided by MSCI (GHG emission – Scope 1, 2 and 3 / Carbon footprint / GHG intensity of investee companies), on top of aggregated data from other sources, that are linked to Principal Adverse Impacts to integrate ESG within its investment strategy. 

A minimum of 80% will be invested in asset types aligned with the climate impact mitigation characteristic but will not make any sustainable investments.

The investments in the category Other, up to 20%, are cash, cash equivalents and equity that are not aligned with the climate impact mitigation characteristic or for which there are not sufficient ESG data available. Atonra ensures that these companies pass the other filters, namely the SDG contribution and the exclusion strategy.

#1 Aligned with E/S characteristics includes the investments of the financial product used to attain the environmental or social characteristics promoted by the financial product.

#20ther includes the remaining investments of the financial product which are neither aligned with the environmental or social characteristics, nor are qualified as sustainable investments.

For the collection of these indicators, Atonra has relied on the Principal Adverse Impacts of the Regulatory Technical Standards (Commission Delegated Regulation (EU) 2022/1288), which are subject to data availability and may evolve with improving data quality and availability.

Atonra documents the above-mentioned principal adverse impacts and conducts regular checks to ensure that investee companies with bad PAI performance are further analyzed, to evaluate the alignment with the investment strategy (be it for current or future investments).

Our Compliance department monitors on an ongoing basis the binding elements of the fund to ensure that these are met throughout the lifecycle of the fund.

By construction, defining a theme creates an active screening to identify companies that meet our thematic selection criteria.

The theme universe is also subject to negative screening for binding exclusion of sectors, using the exclusion list of Norges Bank Investment Management.

Finally, we use ESG data to check the respect of our sustainable objectives. Based on ESG data, Atonra uses a pass/fail approach for selecting eligible investments and periodically reviews whether the criteria are respected over time in the portfolio.

Data sources

Atonra uses ESG data provided by MSCI, on top of aggregated data from other sources, to calculate the performance of PAIs.

Measures to ensure data quality

Quality issues or missing data trigger alerts, which are followed by manual reviews from our data engineers.

Data processing

ESG data are updated daily in our internal data platform and made available to our investment teams through our IT platform, which also provides financial and investment analytics.

Estimated data

When data is unavailable for some investee companies, Atonra fills the gap by collecting and aggregating data from other sources.

Limitation to the methodology

The Fund’s carbon emissions may be higher than a low carbon fund or benchmark as the fund is not only seeking to invest in low carbon solutions, but also in companies that are transitioning or that are enabling clean activities.

Limitation to the data sources

As Atonra considers MSCI as its sole data provider and does not verify the accuracy and completeness of the assessments and positive lists provided by MSCI, restrictions on fulfilling the sustainability criteria could arise.

In order to minimize the aforementioned limitation, Atonra has carefully selected the data provider MSCI and is in regular exchange with MSCI on developments in data quality.

We address such limitations by constantly monitoring potential new relevant data sets from external providers.

If any investment instrument does no longer fulfil the sustainability criteria, Atonra’s Investment Committee will assess if any decision has to be taken on the portfolio composition, whilst safeguarding the Investor’s interests.

The firm's investment committee reviews the portfolio composition on a regular basis. An external check for compliance with the sustainability criteria does not take place.

Atonra does not engage directly with investee companies and does not influence business activity or risks.

No specific ESG index has been designated