Sustainable Large Cap Equity
Global ESG Titans December 2011
Strategy Overview Vehicle type: Separately managed account Asset class: Global Equity Management Style: Rules-based, quantitative Sector neutral Benchmark: MSCI All Country World Index Minimum Market Cap: USD 10bn Exchanges: US-listed only Holdings: 50 Rebalancing: Quarterly
Global ESG Titans portfolio is designed to be a CORE global equity allocation, with risk characteristics similar to the Benchmark Index (MSCI All Country World).
Securities are screened versus more than 100 environmental, social, governance and financial criteria, with the top scoring companies considered for possible investment.
The strategy invests in the top 50 companies that: • Meet the strict ESG and financial criteria • Contribute to maintaining industry diversification and country allocations similar to the Index.
Characteristics and Risk Metrics Beta vs. S&P 500: Volatility:
Price/Earnings Price/Sales Price/Book:
11.09x 1.20 1.75
Global ESG Titans vs. DJ Total Market Index (* Backtested data)
Earnings per Share: $4.41 Dividend Yield: 2.88% Market Capitalization: USD 84.27 bn
Australia/Asia 14% BZ 4
IN SK 2 2
Europe 34% FR 4 SW 6
Consumer Cyclical: 10% Energy: 12 Health Care 10 Materials: 8 Telecoms 6
Consumer Staples: Finance: Industrials: Technology: Utilities:
10% 14 12 14 6
Regional Allocation N Amer 48%
MSCI All Country -7.61
DJ Developed Total Market -6.27%
Top Rated Portfolio Companies (by Sector based on ESG Scores)
Global ESG Titans -1.62%
S Amer 4%
Cons. Cyclical: Cons. Staples: Energy: Finance: Health Care:
Reed Elsevier PLC (UK) L’Oreal SA (France) Repsol-YPF SA (Spain) Westpac Banking (Australia) Sanofi (France)
Materials: Industrials: Technology: Telecoms: Utilities:
BHP Billiton PLC (Aust.) 3M Company (US) Philips NV (Netherlands) Telefonica SA (Spain) National Grid PLC (UK)
Holdings are subject to change and do not constitute a recommendation or solicitation to buy or sell a particular security. Do not assume an investment in any of the securities was or will be profitable.
Disclosure and Assumptions: The Boardwalk Global ESG Titans strategy results represented here are simulated with the application of a proprietary, rules-based model. Client results may differ depending on the size of account, timing of trading and reinvestment of dividends. There are inherent limitations of showing composite portfolio performance based on model results. Unlike actual client-performance records (which can vary by client), model results cannot accurately reflect the effect of material economic or market factors on the price of the securities, and therefore, results may be over or under-stated due to the impact of these factors. Since model results do not represent actual client-specific trading and may not accurately reflect the impact of material economic and market factors, it is unknown what effect these factors might have had on Boardwalk’s decision making if Boardwalk were actually reporting client portfolios. During the period for which model results are shown, returns are partly a function of the prevailing market environment. If the environment were to change materially, the model results portrayed here would, in all likelihood, reflect results different from those portrayed. The ESG Titans Portfolio and Benchmark results include reinvested dividends or interest, and results are gross of advisory fees and brokerage costs. There is potential for loss as well as for profits. It should not be assumed that the recommendations made in the future will be profitable or will equal the performance of the securities in the portfolio. The index shown is a general market indicator and not available for direct investment. Tax consequences have not been considered. Investments managed by Boardwalk Capital Management as investment adviser are available via separately managed accounts.
This is not an offer of securities. Past performance is not indicative of future results.
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