View the Calamos ESG Firmwide Policy Statement.
Calamos Investments LLC has signed the internationally recognized UN Principles for Responsible Investment (PRI), expressing our commitment to responsible investment and participation in a global community seeking to build a more sustainable financial system.
At Calamos Advisors, our commitment to investing revolves around our fiduciary responsibility to our investment advisory clients, and our dedication to generating the best risk-adjusted returns possible in line with our clients’ investment objectives. Acting in our advisory clients’ long-term best interest is paramount to everything we do. Our approach to sustainable investing, and in particular the impact of Environmental, Social and Governance (collectively, “ESG”) factors is incorporated in our fundamental investment process. As with all other factors, the consideration of ESG factors on our investment decision is at all times within the context of our commitment to our clients’ long-term best interests.
Calamos Advisors has a disciplined investment process marrying quantitative and fundamental analysis to look for investment opportunities that seek to provide the best risk-adjusted long-term sustainable returns for our advisory clients. ESG analysis, as part of the greater mosaic of inputs to our investment decision-making, complements our ultimate objective of delivering superior long-term investment risk-adjusted returns to advisory clients. Among other benefits, we believe incorporating ESG factor considerations into our greater mosaic will be particularly useful in helping monitor downside risks in the companies in which we invest.
The onus of evaluating companies across all spectrums, including ESG factors, falls on our analysts. Already ingrained in our analytical process is our belief in investing in companies with a sustainable competitive advantage within their industry, that generate a superior or improving ROIC, led by management teams that can illustrate a track record of prudent and effective stewardship of capital. Typically this is achieved by management teams and boards whose incentives are aligned with ours as shareholders, and whose construct has the experience, diversity and governance structure to navigate an increasingly complex and changing world.
The materiality and importance of various environmental and social risks vary significantly across industries and companies. Calamos Advisors has an experienced analyst team that has significant experience covering their respective sectors. We rely on our analysts to identify, articulate and include potential ESG impacts in their analysis of individual companies based on their knowledge of a given sector and company.
Understanding these ESG factors from a fundamental perspective has long been part of the mosaic with which Calamos Advisors evaluates companies. As part of that analysis, and to supplement our process, we use external research partners to provide an independent assessment of individual companies’ ESG risks—which we compare to our own—to determine the impact on our expected returns vis-a-vis the risks for a company.
Our approach to ESG with respect to investing is one of integration and one inextricably tied to our overall fundamental analytical process. To the degree an investor has a preference for investing with a specific ESG targeting mandate in mind, we are prepared and able to accommodate same.
The following Calamos funds incorporate ESG Considerations per the prospectus dated 3/1/22: Calamos International Growth Fund, Calamos Evolving World Growth Fund, Calamos Global Opportunities Fund, Calamos Global Equity Fund, Calamos Convertible Fund Calamos Global Convertible Fund, Calamos Global Sustainable Equities Fund and Calamos Short-Term Bond Fund. Morningstar defines the ESG Consideration category as “otherwise conventional funds that consider ESG a part of their process but have not made sustainability a central focus.”*
* Source: “Sustainable Funds U.S Landscape Report: Record Flows and Strong Fund Performance in 2019, Morningstar Research, 14 February 2020.