Global Dividend Stars
MainFirst Global Dividend Stars is an equity fund that invests in sustainable equities worldwide. The fund diversifies according to region, sector and market capitalisation (bottom-up analysis) in order to select suitable stocks. The objective is to generate appropriate performance through medium to long-term capital growth and regular distributions.Learn more
MainFirst – Global Dividend Stars
More about the fund
MainFirst Global Dividend Stars is a globally diversified equity fund. The key investment criterion is the focus on the sustainability of the dividend profile, as reflected by the company’s operations and positioning (e.g. possible barriers to market entry, level of competition, etc.), balance sheet structure and cash flow generation. MainFirst Global Dividend Stars is diversified by region, sector and market capitalisation instead of following a benchmark (cluster risk).
MainFirst Global Dividend Stars pursues a barbell strategy with a value-oriented component. The fund invests in conservative, defensive core investments, as well a significant proportion of fast-growing small and mid-cap companies (e.g. family-run SMEs, hidden champions). The focus is on companies with attractive valuations that our fund management team believes should be revalued. The selection process is based on a detailed fundamental analysis.
The investment objective of MainFirst Global Dividend Stars is to generate a favourable rate of return with medium to long-term capital growth and regular dividends paid out to its shareholders twice a year.
MainFirst is committed to the Principles for Responsible Investment (UNPRI) for all investments.
ESG risk analysis
For us, sustainable investing means incorporating ESG risks as a key aspect of the investment process into our investment decisions. The MainFirst Global Dividend Stars considers companies in the investment universe that have a sustainability rating which is among the top 80% within their industry peer group. For this score we use the analyses of the external rating agency Sustainalytics.
Small- and Mid-Cap companies might not be covered or face solely a technical coverage by external rating agencies. Therefore, we assess their underlying ESG exposure based on a proprietary approach. The ESG approach used can be looked up in detail here.
We engage in an active dialogue with the representatives of the companies in our portfolio positions. This facilitates a constructively critical exchange on strategic and sustainability-oriented topics. Through this commitment, we aim to achieve an improvement in the ESG profile at company level. Companies with serious risks ("Severe Risk") are assessed separately and their management is approached individually to remedy and improve the relevant issues. For us, this also includes actively exercising voting rights and carrying out regular performance reviews.
SECTOR EXCLUSIONS (PRODUCT ENGAGEMENT)
In addition, the fund management team wants to make the world a better place by actively investing sustainably. Therefore, we strengthen the sustainability approach of the MainFirst Global Dividend Stars by excluding other sectors:
Energy & Environment:
Defence & Military:
The social transformation phase into a sustainable economic direction requires an unprecedented effort over several years. Critical parts of the infrastructure cannot be compensated in the short term by renewable energy sources. The MainFirst Global Dividend Stars pursues in the investment process a transparent transition approach for conventional oil & gas companies as well as utilities.
The exclusion of companies that do not meet the criteria of human rights, labour rights, environment or anti-corruption according to the Global Standards of the UN Global Compact is also a basic requirement of the investment.
The European SRI Transparency logo signifies that the MainFirst Affiliated Fund Managers (Deutschland) GmbH commits to provide accurate, adequate and timely information to enable stakeholders, in particular consumers, to understand the Socially Responsible Investment (SRI) policies and practices relating to the fund. Detailed information about the European SRI Transparency Guidelines can be found on www.eurosif.org. The Transparency Guidelines are managed by Eurosif, an independent organisation. The European SRI Transparency Logo reflects the fund manager’s commitment as detailed above and should not be taken as an endorsement of any particular company, organisation or individual.