The companies selected for the Kigoda Sustainability Basket offer potential solutions to various long-term sustainability challenges facing South Africa as part of their operations.
These challenges include environmental issues such as resource scarcity, waste management and climate change, and social issues such as demographic changes, infrastructure deficits and inequality. The companies operate in a range of sectors including renewable energy, health, education, housing development, chemicals and technology.
Kigoda Consulting has used a combination of sustainable investment strategies to select a suitable group of shares to form a Sustainability Basket.
- Negative screening, which uses environmental, social and corporate governance (ESG) criteria to exclude companies that operate in controversial sectors or exhibit poor behaviours.
- Positive screening, which was then used to select companies that provide potential solutions to various sustainability challenges.
The companies are equally weighted in the Basket.