MMPI is kicking off 2020 with an investment product that’s driven by environmental rationale. The MMPI Escalator Plan Series 63 invests in companies with high environmental, social and governance (ESG) standards and it participates in forest development and restoration programmes in Ireland. One hundred trees will be planted for each investment of €100,000 and MMPI has teamed up with Reforest’Action to ensure the appropriate amount of oaks, birches and alders are planted. The initial area of concentration is in Tinryland, Co. Carlow.
www.reforestaction.com/en/sri-ireland
The MMPI Escalator Plan Series 63 invests in a basket of 3 shares. We have selected the underlying companies using research produced by Vigeo Eiris, a leading French provider of ESG research data. Some of the initial filters used to determine the short list of companies include zero involvement in tobacco, fossil fuel, armaments and environmental controversy. As a second step Vigeo Eiris evaluated the level of integration of sustainability factors into each company’s business strategy. The analysis is based on 38 ESG criteria grouped into 6 disciplines. http://www.vigeo-eiris.com/
http://www.vigeo-eiris.com/about-us/methodology-quality-assurance/?lang=en
From the list of companies with above average ESG scores in their region, MMPI selected only those companies with Bloomberg analyst ratings 4/5 (0-5 scale). Companies with a Bloomberg analyst rating of 4/5 generally enjoy “buy” ratings from the majority of investment analysts.
The 3 best companies with high ESG score, high Bloomberg analyst ratings and attractive product risk reward characteristics are AXA SA, BT Group plc and ING Groep NV. The resulting investment product, which has a maximum term of 5 years, provides 100% capital protection conditional on none of the prices of the 3 shares having fallen by 50% or more at the Maturity Date. Otherwise, investors might lose all or part of the capital invested. The capital protection is provided by BNP Paribas and the French bank also provides daily pricing for investors who wish to redeem their investment early.
The MMPI Escalator Plan Series 63A produces a return of 4.94% to investors after 12 months if the price of the basket of shares has risen or has not fallen by more than 30%. 63B pays 8.10% after 12 months if the basket has risen or has not fallen by more than 25%. If the investment doesn’t “kick-out” after 12 months the returns escalate at 6-monthly intervals until a pay-out is achieved or until the Maturity Date. There is an additional built-in memory feature that means all of the shares do not have to be above the pay-out thresholds simultaneously. If any share has previously been above the threshold this will be “remembered” at future Observation Dates.
Prior to considering an investment in the MMPI Escalator Plan Series 63 please read the product brochure, including the appropriate warnings that highlight the investment risks.
Should you require further details about any aspect of the MMPI Escalator suite of investment products please call MMPI on (01) 66 88 322 or e-mail invest@mmpi.ie. Full details are available on our website at:- https://www.mmpi.ie/investments/investment-products/
