Alignment of portfolios to meet non-financial objectives is an increasingly important consideration in portfolio construction. Investors still need to focus on income, growth or capital preservation – but a second layer of objectives is the ambition to enjoy those financial rewards in a world that can physically sustain the standards of living we demand. There are a growing number of techniques available to do that. Exclusion is one means to the end, but this can be sector/industry based or use a best-in-class approach. Engagement is important as investors put more pressure on companies to commit to a net-zero aligned path for emissions using Science Based Targets. There is no point in building wealth for the future if that future is one of frequent and catastrophic climate events that undermine our way of life. - Chris Iggo, AXA Investment Managers. Earn 0.50 CE/CPD hrs on Portfolio Construction Forum