Statement on Sustainability Risks and Consideration of Principal Adverse Impacts (PAIs)
In accordance with Articles 3, 4(1)(b), and 7(2) of Regulation (EU) 2019/2088 (the “SFDR”)
“Valori Asset Management S.A. (“VALAM”), as a financial market participant, is required to disclose whether sustainability risks and principal adverse impacts (“PAIs”) are integrated into its investment decisions, both at the entity level and for the financial products it manages or advises on.
Integration of Sustainability Risks
A sustainability risk is an environmental, social, or governance event or condition that, if it occurs, could cause a material negative impact on the value of investments. For VALAM, these are risks that could materially influence the performance of the portfolios it manages and the investment advice it provides. Sustainability risks may include:
- Climate-related risks – physical risks from climate change and transition risks arising from society’s response to climate change.
- Social risks – e.g., gender gaps, social inequality, labor issues.
- Governance risks – e.g., corruption, poor management practices, or unethical sales practices.
The impact of sustainability risks varies by industry, region, and asset class. VALAM integrates these risks into investment decision-making and risk monitoring to the extent that they represent potential or actual material risks and/or opportunities to maximize the long-term risk-adjusted returns.
Consideration of Principal Adverse Impacts (PAIs)
At present, VALAM does not systematically consider PAIs in its investment decisions. While sustainability risks are taken into account where relevant to financial performance, our processes and data sources are
VALAM remains committed to monitoring regulatory developments, industry practices, and improvements in ESG data quality. Once conditions allow for meaningful and reliable evaluation, VALAM intends to