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Invesco Select Risk: Growth Investor A AADAX Sustainability

| Analyst rating as of

Sustainability Analysis

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Sustainable Summary

Invesco Select Risk: Growth Investor has a number of attributes that may meet the expectations of sustainability-focused investors, despite some issues worthy of attention.

The ESG risk of Invesco Select Risk: Growth Investor's holdings is comparable to its peers in the Aggressive Allocation category, thus earning an average Morningstar Sustainability Rating of 3 globes. Funds in the same category rated 4 or 5 globes tend to hold securities less exposed to ESG risk. ESG risk provides investors with a signal that reflects to what degree their investments are exposed to risks related to material ESG issues, such as climate change and inequalities, that are not sufficiently managed. ESG risk differs from impact, which is about seeking positive environmental and social outcomes.

Invesco Select Risk: Growth Investor has a Carbon Risk Score of 9.57, indicating portfolio companies face low carbon-related risks in the transition to a low-carbon economy. Currently, the fund has 9.04% involvement in fossil fuels, which compares favorably with 10.58% for its average category peer. Companies are considered involved in fossil fuels if they derive some revenue from thermal coal, oil, and gas.

One potential issue for a sustainability-focused investor is that Invesco Select Risk: Growth Investor doesn’t have an ESG-focused mandate. A fund with an ESG-focused mandate would have a higher probability to drive positive ESG outcomes.

The fund has a modest level of exposure (6.43%) to companies with high or severe controversies. Companies with high or severe controversies are involved in incidents such as corruption, employee abuses, environmental incidents, and corporate scandals that pose serious business risks to the company.

ESG Commitment Level Asset Manager

An ESG Commitment Level Asset Manager rating is not assigned to this investment.

Morningstar analysts award an ESG Commitment Level Asset Manager ratings to investments that also receive Morningstar Analyst Ratings. Not all investments currently have Asset Manager rating. Morningstar is expanding its coverage, prioritizing investments that are most relevant to investors.