Engagement Report - Rothschild & Co

Rothschild & Co Asset Management Europe

Engagement Report

December 2020

1

Our responsible investment approach has been progressively strengthened since 2011, when Rothschild & Co Asset Management Europe

became a signatory to the UN Principles for Responsible Investment (UN-PRI). It relies on two main pillars:

1) The integration of ESG criteria in fundamental analysis

Extra-financial performance trajectory analysis has gradually become a comprehensive part of our investment decision process. It integrates our usual

analysis grids : assessment of the credibility and the ambitions of the management team, evaluation of the means implemented and the capacity to finance

future developments, analysis of the level of transition of the business model, understanding of the competitive environment. It is therefore a central element

that allows us to apprehend the risk premium, challenge the valuation forecasts, and appreciate the convexity of our investment choices.

2) An active engagement policy

We favour engagement to any mechanism of systematic exclusions (excluding regulatory exclusions): raise awareness amongst management teams of

best practices in their sector, draw their attention to controversies, and use our shareholder leverage alone and/or through collaborative engagement

initiatives and identify the transition levers is part of our role as a responsible investor both vis-à-vis our shareholders and all our stakeholders.

The years 2019 and 2020 have been a milestone in strengthening our ESG integration process, engagement policy and ESG products offering.

Once the integration of ESG criteria across all asset classes under management finalized, we took a further step forward in 2019 with the launch of the

4Change funds range. It is structured around targeted sustainable investment themes and complies with higher minimum ESG standards, like the R-co

4Change Climate Credit Euro and R-co 4Change Climate Equity Europe funds focusing on climate change. Through this new funds range, we have started

to monitor more carefully specific KPIs relating to the negative and positive impacts of our investments and developed new reading grids, focusing on both

the materiality and the additionality of our investments, particularly with the launch of our R-co 4Change Green Bonds fund.

We have also strengthened our engagement policy regarding climate change in 2019 by joining the Climate 100+ initiative, which targets a constructive

dialogue with the biggest GHG emissions emitters regarding their governance of climate issues and their adoption of credible plans to reduce their

environmental impact.

The adoption of common investment principles relating to thermal coal across all the investment business lines of the Group is another important step in our

engagement to fight climate change at both R&Co Asset Management Europe and R&Co levels.

Géraldine Gouges

Group Head of Responsible Investment, Rothschild & Co

Introduction

1. Social and environmental engagements 4

1.1 CSR engagements of the Rothschild & Co Group 5

1.2 Examples of Rothschild & Co Asset Management Europe’s CSR engagements 12

2. Responsible Investment Initiatives 15

2.1 Responsible Investment initiatives of the Rothschild & Co Group 16

2.2 Responsible Investment Initiatives of Rothschild & Co Asset Management Europe 24

3. Rothschild & Co Asset Management's commitment approach 32

3.1 The dialogue at Rothschild & Co Asset Management Europe 36

3.2 Focus on engagement cases related to specific strategies 42

3.3 Voting policy 48

3.4 Example of collaborative engagement 55

3.5 Participation in the effort to promote responsible investment 57

Contents

3

Social and environmental

engagements

1

CSR engagements

of the Rothschild & Co Group

1.1

Our corporate responsibility strategy sets out a clear commitment regarding the conduct of our activities and presents our

ambitions around 5 pillars:

Corporate Responsibility of Rothschild & Co

6Source: Rothschild & Co Asset Management Europe – 31/12/20

900,000+ young people helped, collectively, by

the charities that have benefited from

our contributions

of the group's electricity

comes from certified

renewable sources

employees, who make up

the diversity of our teams

decrease in Scope 1

emissions in 2019

(vs. 2018)

of employees have

carried out community

involvement activities

Our priorities

Cultivate a

responsible human

resources culture

Our community

involvement

Promote responsible

business practices

Promote sustainable

investments

solutions

Assume our

responsibility

regarding the

environment

We attach great importance to good conduct, personal

responsibility and involvement in the work both between

employees and with our clients.

Our aim is to attract and retain the most talented people

from a variety of backgrounds, cultures and experiences,

creating an environment that enables our people to develop,

perform and excel.

We are willing to actively contribute to the evolution of

business practices and to the orientation of financial flows

towards a more sustainable economy.

We are determined to contribute to a more environmentally

sustainable economy and to limit our impact on the

environment.

We support young people from underprivileged

backgrounds in carrying out their projects, so that everyone

can build and develop themselves thanks to their abilities

and potential, whatever the environment.

At the heart of our activities and steered by managers at the highest level of the Management and the Supervisory Board

Corporate Responsibility Governance

Our Corporate Responsibility strategy and policy is initiated, defined

and steered by the Group Executive Committee ("GEC"). A member

of this Committee is responsible for all of our global initiatives in this

area. The GEC shall, if necessary, decide on Corporate Responsibility

issues at its ordinary meetings and present the strategy to the

Supervisory Board at least once a year.

In 2019, topics related to Corporate Responsibility were discussed

in 50% of meetings. In 2019, the GEC appointed a Group Corporate

Responsibility Director to help coordinate Group-wide initiatives and

provide consolidated data on the Group's performance with regards to

our strategic objectives. The Group's Corporate Responsibility

Director reports to the responsible GEC member and to one of the

Managing Partners. It is supported by experts related to our priority

areas and works closely with the various Group Management

Committees dedicated to the management and operational

implementation of our initiatives in all our business lines.

Thanks to this integrated approach, we ensure the proper

implementation of our Corporate Responsibility strategy at all

levels and business lines.


Group’s Responsible

Investment Committee

World Committee

for Equality and

Inclusion

World Committee

for Community

Engagement

Environment, Health

and Safety Committee

of the Group

Gro

up

Dir

ecto

r o

f C

orp

ora

te

Re

sp

on

sib

ilit

y

Supervisory

Board

CR Committee

Rothschild & Co

Management

Human resources

Legal and

compliance

Financial management

Risk management

Internal audit

Group

Executive

Committee

Overview of the 4 committees supporting the Executive Committee of the Group

Responsibility

1Group’s

Responsible

Investment

Committee

By being a committed

investor and offering

sustainable investment

products, we are working on

a Group-wide ESG

integration strategy to

influence the transformation

of industries towards

sustainable practices.

2World Committee

for Equality and

Inclusion

• Rothschild & Co provides

long-term opportunities

for our talents and

promotes a diverse,

inclusive and flexible

environment that enables

all employees to achieve

their personal and

professional aspirations.

3World Committee

for Community

Engagement

• We define and drive the

Group's community

engagement strategy to

achieve our overall

mission: to make a

meaningful difference for

disadvantaged children

and young people.

4Environment,

Health and Safety

Committee of the

Group

• Through our activities,

products and services,

we are committed to

offering added value to

our businesses and our

customers' activities, by

adopting a sustainable

and environmentally

friendly approach to the

planet's natural resources

conservation and

protection.


A contribution to a more sustainable economy

Environmental management strategy

Through our activities, products and services, we strive to adopt a sustainable and environmentally friendly approach to contribute to

planet's natural resources conservation and protection.

We seek to actively contribute to four Sustainable Development Goals (SDGs) through all our entities and actions: Affordable and Clean

Energy (SDG 7); Responsible Consumption and Production (SDG 12); Climate Action (SDG 13); Life On Land (SDG 15).

GREENHOUSE GAS EMISSIONS AND CLIMATE CHANGE

RESPONSIBLE CONSUMPTION AND COMMITMENT

MANAGEMENT OF RESOURCES

Our immediate objective is to reduce

Rothschild & Co.'s “corporate”

emissions as much as possible.

We have set a target to purchase

100% renewable electricity for all

our offices by 2025* and to reduce

GHG (greenhouse gas) emissions

per FTE (full time equivalent

employee) by 10% by 2025*.As part of our corporate culture, we

encourage waste reduction, circular

economic practices and the

development of recycling. We aim to

achieve a collective recycling rate

of 80% by 2025*.Responsible resource management is

part of the improvement actions

associated with the Plan. We have set

ourselves the following targets: ro

reduce office energy consumption

by 10% and paper consumption by

25% per FTE by 2025*.

*vs. 2018


We believe that the protection of the environment and strategic partnerships go hand in hand.

They will be increasingly necessary to limit environmental damage and carbon emissions into

our atmosphere.

• Since 2017, the Rothschild & Co Group has been a signatory of the Carbon Disclosure Project

(CDP), of which it became a member in 2019. After disclosing our climate change data, our Group

was given an A- rating in 2020 (B in 2019). CDP is a global non-profit organisation that brings

together investors, businesses and cities to discuss urgent measures to build a truly sustainable

economy by measuring and understanding their impact on the environment.

• To help protect the world's natural resources, biodiversity and the communities that depend on them,

we have chosen to partner with "Cool Earth". Cool Earth is a non-profit organisation that works

alongside rainforest communities to stop deforestation and its impact on climate change.

• The carbon neutrality objective of our financial activities is certified : The Rothschild & Co group has

been awarded the "Climate Neutral Operations for Financial Services" label by South Pole for 2019

and 2020.

Strategic partnerships for the protection of the environment

Environmental management strategy


11

Strong social engagements in line with the Group's tradition

Rothschild & Co’s Corporate Responsibility engagements

Rothschild & Co continues to perpetuate a long-standing family tradition of associative engagements. We believe that the conditions in which a

person grows up should not stand in the way of a successful life. This is why we are working together to ensure that all young people from

disadvantaged backgrounds have a more serene future.

Our community investment missions are focused on 3 pillars:

✓ provide financial support to associations and social enterprises that share our goals

✓ offer our professional expertise to promising associations and social enterprises that impact the lives of the young people they support

✓ invite our employees to share their skills and volunteer to support young people

11

Several long-term partnerships: Ashoka, Simplon.co, Sport dans la Ville

11 associations to which financial support has been given: Actavista, Agir pour

l’Ecole, Démos, Duo for a Job, Entreprendre pour Apprendre, Epic Foundation,

Fondation Bleustein Blanchet, Institut de l’Engagement, le Silence des Justes,

Sciences Po, KM for Change

60 young people directly sponsored by our employees

Some figures in France

- Donations to Epic Foundation, Ashoka, KM for Change...

- Specific financial support to the Fondation de France for Notre-Dame de Paris

- Clothing and toy collections

- A matching subscription of 2/1 for the 3 partner associations and 1/1 for the other

French associations presented on the Benevity platform

- Two new associations for the year 2020: Entreprendre pour Apprendre, Institut de

l’Engagement

Some actions carried out in 2019

Source: Rothschild & Co Asset Management Europe – 31/12/20

Corporate Giving

Targeted financial donations

to associations, social enterprises

and directly to young people through

scholarship programmes

Goal: 10 bp of annual income (0,1%)

Giving together

A matching gift programme

that encourages the generosity

of employees

via the Benevity platform

EUR 500 per employee per year

Skills for Life/

Volunteering

Voluntary activities provided by our

employees

Mentoring, advice, transfer of skills

to young people

Pro bono Advisory

Skill sponsorship

Free professional advice for

promising associations and social

enterprises

Examples of Rothschild & Co

Asset Management Europe’s

CSR engagements

1.2

Up2Green Reforestation partnership within the scope of

Rothschild & Co Asset Management Europe Corporate

Responsibility

Beyond the objectives and initiatives led by the Rothschild & Co Group and aware of the growing expectations regarding invested

companies, Rothschild & Co Asset Management Europe has developed in 2019 a 5-year partnership whose objective is to promote the

reforestation and development of local communities in Colombia.

Up2Green Reforestation is an NGO founded in 2009 and whose main activities are reforestation, ecosystem preservation and sustainable

sector development. Its intervention in Colombia is at a national level, but it particularly targets the south-eastern region of Columbia where

the preservation of ecosystems is essential, since access to drinking water depends on it.

Since 2016, 150,000 trees have been planted by the NGO Up2Green Reforestation. Rothschild & Co Asset Management Europe is now

participating in this reforestation effort. 11,000 trees per year will be planted by Rothschild & Co Asset Management Europe over the next 5

years.

The support of Rothschild & Co Asset Management Europe made it possible from 2019 to develop a beekeeping project to combine the

restoration of ecosystems with the economic resilience of local populations.


Agroforestry at the heart of the

local community programme

approach

16 beehives in

4 communities through the

beekeeping project

55K trees over 5 years

11K trees per year: theoretical

number of trees to capture a

year of CO2 emissions from

R&Co AM Europe

A civic engagement for priority network students

An example of social engagement

"Dégun sans stage"

("No-one without

internship")

12 Internship proposals in 2019 and 2020

3 weeks of internship

carried out by Marseilles' secondary

school students

Encouraging the discoveryof the business world

As part of its Community Investment, Rothschild & Co

Asset Management Europe and its employees have

joined the "Dégun sans stage" citizen initiative.

Carried by the Marseille-based company Provepharm

and the Ecole Centrale of Marseille, "Dégun sans stage"

is a collective challenge designed to introduce 3rd year

secondary school students to the world of business.

The aim of this action is to enable priority network

students (REP+) to carry out a valuable internship.


Responsible Investment

Initiatives

2

Responsible Investment Initiatives

of the Rothschild & Co Group

2.1

One objective: to build a responsible, uniform and robust investment framework over the next three years and to integrate all our

investment businesses into it by 2022

Responsible Investment priorities and roadmap

1The definition of a coherent

responsible investment

framework covering all of

our investment expertises

• Respect a common minimum

exclusion framework within the

Group

• Use a consistent scoring approach

when possible

• Monitor key ESG indicators to

assess the Group's exposure to non-

financial risks and measure our

positive impact

• Ensure strong governance of

sustainable issues within the Group

2The strengthening of our

engagement policy

• Reinforce the engagement of

Rothschild & Co in responsible

investment initiatives

• Reinforce our voting policy

• Promote and maintain sustainable

investment practices

3The strengthening of our

offer

• Involve all of our investment

business lines and support functions

in those matters

• Develop innovative sustainable

investment products

Our responsible investment action plan is built around three main priorities.


A Group-wide ESG integration strategy to influence the transformation of industries towards sustainable practices

Responsible Investment Governance

1Supervision

• The Group Executive

Committee ("GEC") validates

and commits to common

ambitions and guidelines.

• The GEC validates the main

decisions and commitments

in terms of responsible

investment.

• The Co-Chairman of the GEC

is the Chairman of the

Responsible Investment (RI)

Committee of the Group.

2Coordination

• Coordination is carried out

transversally for all Group

entities in order to ensure a

coherent approach.

• The Responsible Investment

Committee includes members

from all investment business

lines and all central functions

involved.

• Overall coordination takes

place at Group level, with the

Responsible Investment (RI)

Group team reporting directly

to the Co-Chairman of the

GEC.

• A dedicated project team at

Group level is carrying out

additional work on TCFD and

the Disclosure Regulation.

3Implementation

• In addition to the overall


framework defined at Group

level, each entity applies its

own Responsible Investment

strategy according to its

business and client

constraints.

• Dedicated governance and

resource allocation are

decided at entity level.


Environmental protection

Initiatives What is it about?Geographical

area

R&Co

Participation

Carbone

Disclosure Project

The Carbon Disclosure Project is an organisation that publishes

information on the environmental commitment and impact of leading

companies. Based in the United Kingdom, the organisation has been

running an annual campaign on company environmental practices

using questionnaires since 2003.

World Group

Climate 100+

Climate Action 100 + is an initiative that aims to change the

practices of the world's major greenhouse gas emitters. Members,

representing more than USD 52 trillion of total assets for nearly 500

investors, are calling on companies to improve their climate change

governance, reduce greenhouse gas emissions and strengthen their

climate-related financial disclosure.

WorldAsset Management

Europe

International

Climate InitiativeThe ICI is a working group that aims to address sustainability issues

in the Private Equity industry.France Merchant Banking

Task Force on

Climate-related

Financial

Disclosure

The TFCD (Task Force on Climate Disclosure) is a working group

set up at the end of 2015 during yhe COP21 by the G20 Financial

Stability Board. It aims to promote financial transparency related to

climate risks. Without being directly involved, R&Co publicly supports

the TCFD's recommendations.

World Group

19

Rothschild & Co's participation in international initiatives in accordance with responsible investment major

themes

Various entities of the Rothschild & Co group are involved in market initiatives.

Rothschild & Co's Responsible Investment Initiatives


20


themes

Sustainable finance


area

R&Co

Participation

UN PRIThe Principles for Responsible Investment (PRI) were launched by the

United Nations in 2006. They encourage investors to integrate

Environmental, Social and Governance (ESG) issues into management.

World

Merchant

Banking / Private

Banking Switz. /

UK / France &

Belgium, AM

Europe / US

AFG - RI Group

The French Asset Management Association (AFG) represents third-

party asset management professionals. It brings together all the players in

the asset management business, whether individualised (mandates) or

collective. The AFG holds a plenary session dedicated to Responsible

Investment.

France

Asset

Management

Europe

FBF Climate

Commission

The French Banking Federation (Fédération Bancaire de France) is a

professional entity representing all banks established in France. It has set

up a Climate Commission which deals with the integration of climate

issues.

France Group

Green Finance

Commission

OCBF

The OCBF is an independent association of banking and finance

professionals. It has launched a Green Finance Commission which deals

with the integration of climate issues.

France Group

Swiss

Sustainable

Finance

Swiss Sustainable Finance ("SSF") promotes sustainability in the Swiss

financial market. The SSF brings together financial and non-financial

service providers, investors, universities and business schools, public

sector entities and other interested organisations.

SwitzerlandSwiss Private

Bank



21


themes

Labels obtained


area

R&Co

Participation

French SRI label

The SRI Label is a French label created in 2016 by the French

Ministry of Economy and Finance. Its goal is to offer greater

visibility to French investment funds that comply with strict

criteria for socially responsible investment.

FranceAsset Management

Europe

Towards

Sustainability

The Towards Sustainability label is a Belgian label dedicated

to sustainable investment and created in 2019. It combines

three requirements: transparency, ESG analysis on all portfolios

and exclusions with low thresholds, not only on coal but also on

unconventional fossil fuels.

BelgiumAsset Management

Europe

Impact


area

R&Co

Participation

Global Impact

Investing NetworkGIIN (Global Impact Investing Network) is the world's largest

network of investors dedicated to impact investing.World Merchant Banking



22

⚫ The Principles for Responsible Investment (PRI) were established by the UN in 2006. They provide a range of

possible actions to integrate sustainability issues into investment decision-making processes.

⚫ Each year the signatories are given scores in the annual evaluation reports drawn up by the PRIs. These

scores reflect the various commitments and the signatory's ability to integrate sustainability related

considerations into its investment process.

⚫ In 2020, Rothschild & Co Asset Management Europe obtained an A+ rating, the highest rating, on the

Strategy & Governance module, as well as an A rating, above the average, on the Listed Equity – Active

Ownership module.

⚫ The Rothschild & Co Wealth Management UK and Rothschild Merchant Banking entities obtained an A rating

on the Strategy & Governance module.

⚫ Rothschild Martin Maurel as well as Rothschild & Co Bank AG became signatories in 2020.

UN Principles for Responsible Investment



Principles common to all of the Group's investment businesses

Investment guidelines for thermal coal sector

Our goals

• Scope and definition: enterprises directly engaged in the production,

exploration, mining and processing of thermal coal and the

production of electricity from thermal coal.

• We will no longer lend or invest in companies involved in projects to

develop new thermal coal mines or coal-fired power plants.

• No further investment will be made and no new financing will be

granted to companies where:

– more than 30% of turnover comes from thermal coal

activities;

– more than 30% of the energy mix (per MWh generated) is

based on coal.

• No further investment will be made and no new financing will be

granted to companies where:

– the annual production of thermal coal exceeds 20 MT per

year,

– the installed coal-fired capacities are greater than 10

GW.

The efforts of actors who have put in place or are in the process of

formalising a credible coal phase-out policy, after analysis and

possible commitment, will be accompanied and supported.

These principles were implemented from October 2020. The thresholds

apply until the end of 2020 and will be reviewed in 2021.

Our investment principles

relating to thermal coal• Support the transition to a low-

carbon economy.

• Contribute to the improvement of

environmental practices.

• Direct financial flows and give

priority to actors who have adopted

sustainable strategies.

These principles are integrated in our

responsible investment framework and

are :

• Representative of our willingness to

contribute to the transition to a

more sustainable economy,

• A contribution to the response being

developed regarding climate change

related risks in order to better

protect our investors,

• In line with our approach of

integrating extra-financial criteria

into our investment strategies,

• An additional means of action in

favour of our active engagement

policy.

These principles apply to

the discretionary

investment activities of:

✓ Asset management,

✓ Private Banking and

✓ Capital Investment

These are implemented:

✓ on all new and existing

investments,

✓ on open-ended fund

ranges.

Dedicated funds:

Discussion regarding

each client's conviction

in order to consider

investment guidelines’

application

Application

framework


Responsible Investment Initiatives

of Rothschild & Co Asset

Management Europe

2.2

"Sustainable development is development that meets the needs of the present without compromising the ability

of future generations to meet their own needs", Brundtland Commission, UN - 1987

We consider that taking into account Environmental, Social and Governance (ESG) criteria into our investment management

processes allows the implementation of the concept of sustainable development within investment businesses. They are the

starting point for the implementation of an active engagement policy, aiming to raise awareness and influence companies

practices.

The purpose of this report is to provide our clients and investors with an overview of how Rothschild & Co Asset

Management Europe has conducted its engagement process since 2019.

23

History

Our pragmatic responsible investment approach has been building up since 2011, when we became signatories to the UN Principles

for Responsible Investment.

We are convinced that the environmental, social and governance (ESG) issues facing our societies require an adaptation economic models.

We wish to be part of this transformation by influencing the companies in our investment universe to change their practices and by

participating in the orientation of financial flows towards players who integrate the measurement of these challenges into their strategy and

provide concrete solutions.

Sustainability issues are sources of risks and opportunities. Integrating them into our investment management allows us to apprehend their

materiality and proves to be an essential reading grid for the generation of performance.

Our approach as a responsible investor is expressed through:

• The integration of ESG and financial criteria, at the service of our conviction expertise supporting enhanced analysis of issuers in which we

invest,

• and the implementation of an engagement policy that enables us to have an impact on the issuers in our investment universe.

Our responsible investment action plan is in line with the three priorities defined at the Group level.

The definition of a coherent

responsible investment framework

covering all of our investment

expertises

1The strengthening of our innovative

sustainable product offering

The strengthening of our engagement

policy

2 3


3 strategic axes: exclusions, the integration of ESG criteria and a engagement policy that provides a common basis for all of our

management activities

Approach to responsible investment

We have chosen to integrate ESG criteria into fundamental analysis in order to reinforce our assessment of the companies in which we invest

and to strengthen our convexity analysis

Our ESG integration process is supported by an engagement policy based on a voting policy respectful of responsible investment principles, a

dialogue with the companies we meet on sustainable issues and our involvement in collaborative initiatives.

Regulatory and discretionary

exclusions of Rothschild & Co Asset

Management Europe

1• Exclusion of controversial weapons / international sanctions

• Fundamental principles

• Rothschild & Co Group investment guidelines for thermal coal

sector

• Other specific filters relating to the investment strategy

The integration of sustainability related

challenges in our analysis

2 • The selection of stocks and funds in the portfolio is based on an

analysis of ESG criteria in addition to financial analysis

• For our directly managed investment products, we have set

ourselves a BBB average rating as a minimum target

Our engagement policy3 • Dialogue with companies and asset managers

• A voting policy that respects responsible investment principles

• Adherence to responsible investment promotion initiatives

STRENGTHENING

OUR CONVICTION

MANAGEMENT

WORKING FOR A

POSITIVE IMPACT

RESPECTING OUR

CONVICTIONS

AND SUPPORTING

THE TRANSITION


28

A look back at the history of our responsible investment

approach

2011

• Rothschild & Co AM Europe,

UNPRI signatory

Equity (2011), Bonds (2015),

Open Architecture (2012)

• Implementation of an SRI

voting policy

Promoting responsible

investment principles (ISS)

2012

• First ESG rating tool

Development of our first rating tool

on the basis of non-financial

criteria

2015

• Work on the Carbon trajectory

Development of a carbon

intensity calculation tool and

portfolios' carbon trajectory

assessment

2018

• “Low Carbon”

institutional

mandate

2017

• Change ESG data provider

• The Rothschild & Co Group

becomes a CDP signatory

• Creation of a Sustainable

Investment team

2019

• Launch of the R-Co 4Change range by

Rothschild & Co AM Europe

• Rothschild & Co AM Europe joins Climate Action

100+

• Up2Green Reforestation partnership

• Creation of a Rothschild & Co Group responsible

investment committee

2020

• Adoption of investment guidelines for

thermal coal sector for the Group

• Institutional mandate dedicated to the

4 pillars of the Church

• Launch of a Green Bonds fund

• Duo for a Job Partnership


A dedicated team within Rothschild & Co Asset Management Europe supported by an experienced team at Group level and

Responsible Investment representatives

A collaborative approach to support the ESG effort

Responsible Investment advisors within each of

Rothschild & Co Asset Management Europe's areas of

expertise:

ESG and Financial Analysis team at Rothschild & Co AM Europe:

Support from an experienced responsible investment

team at Group level

Rothschild & Co in charge of:

✓ Disseminating best practices within Rothschild & Co Asset

Management Europe

✓ Creating the link between the ESG and Financial Analysis team

and their investment management teams

Thomas Vincent

Financial engineer

Ludivine de Quincerot

Head of ESG & Financial

Analysis

Andrea Sekularac

Sustainable investment

project manager

Gabriel Hors

Senior analyst

Marie-Ange Riggio

Junior analyst

Natacha Rousset

Senior analyst

Nicolas

Racaud

Valérie

Oelhoffen

Anthony

Bailly

Linh

Mansion

Edward Luu

Analyst


✓ Coordination of the Group's Responsible Investment (RI) topics

✓ Monitoring regulatory developments, trends and procedures

✓ Supporting entities in their responsible investment

developments

✓ Leading the IR Group committee

Géraldine Gouges

Group Head of



Officer

In the process of

recruitment

30

In 2019, Rothschild & Co Asset Management Europe has reached a new milestone with the launch of a responsible

investment products offering, the 4Change range.

The launch of this range marks a strengthening of sustainability criteria integration into our investment processes and

our willingness to develop SRI strategies dedicated to specific themes.

The range now consists of 5 open-ended investment funds that pursue environmental, social and governance goals.

We wanted to integrate the 4Change funds into transparency frameworks to provide increasing confidence and credibility.

4 out of 5 funds have received the French SRI label (3 funds) or the Towards Sustainability label (1 fund).

The 4Change range will be strengthened by other products in 2021.

The development of a range of products dedicated to climate, human values

and the energy transition


A product offering addressing sustainable development issues

Our 4Change funds range

Climate

Equities Equities

Active/conviction

management

Active/conviction

management

Equities / Bonds

Active/conviction

management

Europe World Europe

Contribution to natural carbon

sinks

Human Values Multi factors

R-co 4Change

Climate Equity Europe

Bonds

Active/conviction

management

R-co 4Change

Climate Credit Euro

R-co 4Change

Human Values

R-co 4Change

Moderate Allocation

Bonds

75% min of Green

Bonds, with respect to

the ICMA GBP

Green Bonds

R-co 4Change

Green Bonds

Europe

Equities

Eurozone / G7

bonds

World


Rothschild & Co Asset

Management Europe’s

engagement approach

3

33

Our priority : the dialogue with companies on sustainable

challenges

We have chosen to favour dialogue rather than excluding a certain number of sectors or players from our investment

universe.

Our approach to engagement, described in a dedicated policy, is built around 4 main lines of action

✓ Our discretionary exclusion policies implementation

✓ Individual engagement

✓ Exercising our voting rights

✓ Collective engagement

The investment management teams, the ESG & Financial Analysis team and the operational departments of Rothschild

& Co Asset Management Europe are involved in this active engagement process.

In 2019 and 2020, we carried out various individual and collective engagement actions, which are presented in the

following pages, with concrete examples of dialogues with companies.

The purpose of this report is also to present the results of exercising our voting rights in 2019 and 2020.


34

Our priority : the dialogue with companies on sustainable issues

Engagement approach

We have chosen to favour dialogue rather than excluding a certain number of sectors or players from our investment universe.

Our engagement policy is built around 4 main lines of action:

• The dialogue with companies and asset managers :

• From our investable universe, to better understand the sustainability related risks and opportunities and to raise awareness among

management teams

• In the implementation of our exclusion policies

• The exercise of voting rights: our voting policy intends to follow the principles of socially responsible investment. To this end, we entrusted the

analysis of the resolutions to the specialised company Institutional Shareholder Services (ISS) (https://www.issgovernance.com)

• Contributing to working groups to take part in raising the awareness of economic actors on a larger scale (Climate 100+, etc.)

• The preparation of ESG reports on a regular basis, a real tool for transparency

Goals

Why

Targets

How

Raising awareness and encouraging the improvement of responsible corporate practices

Participation in the adaptation of business models to social and environmental

challenges we face

With companies and asset managers

Individual

engagements

Exclusion

policy

Collective

engagements

Voting

policy

4Change

range


https://www.issgovernance.com/

35

5 strategic pillars: considering sustainability related issues within companies' business models

Our engagement strategy

Individual

engagements

Exclusion

policy

4Change

range

Collective

engagements

Voting

policy

1,300 dialogues

conducted with

issuers

Sending

questionnaires to

asset management

companies regarding

their sustainable

practices

Promotion of

responsible

investment through

dedicated events and

publications

Specific discussions

(energy transition,

human capital

management, etc.)

Application of Group’s

investment guidelines

for thermal

Coal sector

Respect of

fundamental

principles

R-co 4Change

Climate Equity

Europe

R-co 4Change Human

Values

R-co 4Change

Climate Credit Euro

UN PRI: signatory

since 2011

Member of Climate

Action 100+

Support for TCFD

recommendations

Carbon Disclosure

Project: Rothschild &

Co is a member since

2019

Compliance with

responsible

investment

principles via ISS

R-co 4Change

Green Bond

R-co 4Change

Moderate Allocation


https://am.fr.rothschildandco.com/fr/nos-fonds/r-co-4change-climate-equity-europe/

https://am.fr.rothschildandco.com/fr/nos-fonds/r-co-4change-human-values/

https://am.fr.rothschildandco.com/fr/nos-fonds/r-co-4change-climate-credit-euro/

https://am.fr.rothschildandco.com/fr/nos-fonds/r-co-4change-green-bonds/

https://am.fr.rothschildandco.com/fr/nos-fonds/r-co-4change-green-bonds/

https://am.fr.rothschildandco.com/fr/nos-fonds/r-co-4change-moderate-allocation/

https://am.fr.rothschildandco.com/fr/nos-fonds/r-co-4change-moderate-allocation/

Dialogue at

Rothschild & Co

Asset Management Europe

3.1

300 interviews

300 meetings

400 meetings

+300 meetings driven by our open-architecture team

Dialogue with issuers: more than 1,300 meetings or interviews conducted

37

The dialogue

In line with our conviction management, we pay particular attention to dialogue with the companies' management teams to

assess their strategy.

In this context, we have conducted numerous discussions: more than 1300 meetings or interviews with companies we monitor

or have in portfolio.


Conviction

Valor

Thematic

Active management driven by strong

investment decisions

Euro equities

Euro bonds

Diversified management

"Carte blanche" solutions without

any benchmark or geographical or

stylistic constraints

International equities

International bonds

Diversified international management Freeing oneself from the effects of

fashion through legible and lasting

themes

Equities

Bonds

38

The dialogue

Targeted discussions in relation to our discretionary exclusion policies

Our investment policy is based, among other things, on a common set of exclusions for issuers that do not comply with the

following principles:

Our teams engage in discussions and interview companies where we have identified possible breaches of these two

principles.

We have chosen to present to you the discussions conducted with two companies on these subjects.

Fundamental principles

Investment Guidelines for Thermal

Coal sector

▪ Violation of fundamental norms and standards

▪ Environmental damage

▪ Cases of severe corruption

▪ Involvement in new capacity development/expansion projects

▪ Exceeding quantitative thresholds without a defined exit strategy

1

2

▪ Company in the mining sector.

▪ Company in the utilities sector.

1

2

Fundamental principles

Investment Guidelines for Thermal Coal sector


10 February 2020 Draft v1

Example of engagement with a company involved in a major environmental controversy

exposing it to non-compliance with our fundamental principles policy


Presentation of the

companyThe company is operating in the mining sector.

Context

We inherited this stock following a merger with another mining company invested in our portfolio since

2016. This new stock has been exposed to an environmental constraint for several years. As part of its

mining operations, heavy metal discharges and the presence of cyanide have been observed in the water of the

river located downstream from the mining site.

Approach

We immediately initiated a dialogue with this company thanks to our historical relationship with the company’s

director. The CEO of the acquired stock was himself already CEO of the merged mining company. The

purpose of this dialogue was to contextualise with the company the problems linked to the discharge of

heavy metals. We learned from our discussions that discharge concentration had returned to acceptable levels

since 2009 with the targeted plant's refurbishment.

We entered into a second dialogue with the company's sustainable development manager in order to find out

what measures were taken. There we learned about the implementation of impact reporting to address ESG

issues and a dedicated process to prevent heavy metal releases from reoccurring. During this dialogue,

we also learned that the CEO of the company had met with the country's leaders and discussed this

specific topic with them.

DecisionNevertheless, we considered the company's efforts insufficient with regard to our fundamental principles and

decided to remove the stock from our portfolio.

10 February 2020 Draft v1

Compliance with our thermal coal policyCompliance with our thermal coal policy

Example of engagement with a company exceeding the quantitative thresholds set in

our investment principles for the thermal coal sector


Presentation of the

companyThe company is operating in the local utilities sector, located in Germany and with a global reach.

Context

In 2020, the company remains a major greenhouse gases emitter due to its main activity of electricity production.

Our analysis showed that the company exceeded the thresholds allowed under our Investment Guidelines for

Thermal Coal sector.

Approach

We initiated a dialogue with the general management to find out the main elements.

Our discussion with the Head of Investor Relations enabled us to validate the company's intention not to use

thermal coal as a new means of production in the future and to phase out the coal-fired power stations still in

operation. Thus, EUR 5 billion will be allocated to investing in renewable solutions by 2022 to replace the

existing production process. We note that 85% of these investments on renewable energies are in line with the

European taxonomy.

We learn from our discussion that the company has set itself a target of a 75% reduction in CO2 emissions by 2030

with an ambition of carbon neutrality by 2040.

We conclude from our discussion with the company that it presents an ambitious energy transition plan.

DecisionConsidering its credible exit strategy from thermal coal, we have decided to maintain the position in the

portfolio.

41

> 36

actors

questionned

> 50%

Detailed

answers

Within this framework, we drew up and sent out a specific questionnaire to companies operating in the utilities sector held

in the portfolio with the aim of assessing their energy mix and environmental impact in greater detail.

The result of this questionnaire allowed us to determine the level of progress of

the companies in terms of transition, through their level of renewable energies

development and the level of capital expenditure planned in this field in the

coming years. We were able to refine our analyses and confirm our convictions

regarding most advanced actors on the matter.

In line with our desire to support the transition to a low-carbon economy in various sectors, we are promoting the establishment

of a reinforced dialogue with companies belonging to the most climate sensitive sectors.

Historically, the utilities sector has been exposed to the use of environmentally harmful fossil fuels. The energy transition in

this sector is a very important challenges.

▪ Concerning the carbon impact, we verified the implementation by the companies of a credible strategy to reduce

greenhouse gas emissions, as well as their willingness to include the reduction goals in a climate trajectory.

▪ The level of energy mix and dependence on non-renewable energy was measured according to the following thresholds:

▪ 10% with regard to the use of thermal coal

▪ 30% with regard to the use of oil and gas

▪ 30% with regard to the use of nuclear energy

Engagement with companies in the utilities sector on their transition

strategies


Focus on engagement cases

related to specific strategies

3.2

R-co 4Change Human ValuesR-co Climate Credit Euro &

R-co Climate Equity Europe

• This range integrates environmental issues and is divided into a bond product

and an equity product:

- R-co Climate Credit Euro

- R-co Climate Equity Europe

• These funds wish to provide investors with protection against certain

environmental risks and to benefit from opportunities linked to the ecological

and energy transition.

• In this sense, dynamic filters specific to the environmental theme are applied

to the investment universe of the funds and a proactive management of funds’

carbon intensity is carried out (the carbon intensity of the fund must be at least

20% lower than that of the benchmark and must respect a downward

trajectory of 5% per year by 2030).

• Both funds are SRI-labelled and part of the management fees are redistributed

to the NGO Up2Green Reforestation to support the creation of natural carbon

sinks, biodiversity projects (beekeeping) and train people in the use of a

variety of crops to combat deforestation.

43

Human Values and Climate strategies

Focus on engagement cases related to specific strategies

• These fund places sustainability related criteria at the centre of its stock

selection, and pay particular attention to the respect of human rights and the

integration of societal challenges into business strategies.

• The fund's investment philosophy focuses in particular on : corporate

responsibility towards all stakeholders, strategies integrating societal

challenges (e.g. adapted human resources policies) and environmental

protection.

• In this sense, companies not complying with international labour conventions

and/or exposed to controversial sectors (offensive weapons, tobacco,

gambling, alcohol, pornography) and/or subject to severe controversy are

excluded. Companies with the lowest rating with regards to their social pillar

are also ineligible.

• Labelled SRI at the beginning of 2020, part of the management fees are

redistributed to the NGO Duo For a Job.


44

Sending out questionnaires in line with our Human Values and Climate strategies


As part of our engagement approach with issuers, we sent specific questionnaires dealing with social aspects to Human

Values fund’s participations and a second questionnaire on environmental aspects to companies invested through

our Climate portfolios.

The objective of these questionnaires was to determine the level of integration of both social and environmental

issues and also to detect possible risk/opportunity issues and specific cases for engagement.

R-co 4Change Human

Values

R-co 4Change Climate

Equity Europe


Credit Euro

Respect of fundamental principles for suppliers

> 50

Questionnaires

sent

Procedures to improve working conditions

CO2 emissions, carbon neutrality ambition, Scope 1, 2 and 3

Major social controversies over the last 24 months

Main subjects and questions addressed in the questionnaireFunds

> 110

Questionnaires

sent

> 50

Questionnaires

sentMajor social controversies over the last 24 months

Climate risk management strategy

CO2 emissions, carbon neutrality ambition, Scope 1, 2 and 3

Major social controversies over the last 24 months

Climate risk management strategy


45

Results of the questionnaires concerning our Human Values and Climate funds


Out of the +130 companies surveyed, only 3 of them have been divested due to major social constraints.

For the actors that we felt were the least advanced, we maintain a dialogue to ensure that they implement the necessary

actions.

R-co 4Change Human

Values


Equity Europe


Credit Euro

Existing due diligence processes for suppliers > 65%

Detailed

responses

received

Multiple actions promoting the well-being of employees

3 major controversies raised, removal of securities from the fund

Results of the questionnairesFunds

> 30%

Detailed

responses

received

> 60%

Detailed

responses

received

Presence of ambitious energy transition plans: common goals of carbon

neutrality and reduction of emissions from scopes 1, 2 and 3

No major controversy found

No major controversy found

Presence of ambitious energy transition plans: common goals of carbon

neutrality and reduction of Scope 1, 2 and 3 emissions

Lack of a plan to identify and monitor climate risks

Very little consideration of biodiversity aspects


46

Main outcomes from the questionnaires


The results of the questionnaires allowed to establish a very positive conclusion on suppliers selection, employees

management and the presence of ambitious energy transition plans.

Energy transition

plans

Climate risk

management

Relationship with

suppliers

Employee

management

Areas of engagement to be explored

▪ Lack of a plan to identify and monitor climate risks in some cases

▪ Still little consideration is given to biodiversity aspects in the strategic plans communicated

▪ Thermal coal exit plan

▪ Shared ambition of carbon neutrality (at different horizons)

▪ Common willingness to act on scope 1, 2 and 3 emissions

▪ Executive pay linked to absenteeism rates and the number of work accidents

▪ Corporate culture promoting work-life balance

▪ Fight against all forms of discrimination, through the introduction of a code of conduct

▪ Due diligence process targeting compliance with fundamental principles (verification of existing

controversies regarding environmental, social or governance aspects)

+

-


As part of the due diligence process conducted by our open architecture teams and in line with the respect of our

exclusion frameworks, we have questioned asset management companies on our buy-list to find out how they have

improved themselves in complying with fundamental principles and their approach to thermal coal.

47

Questionnaires addressed to asset management companies

Fundamental

principles

Investment

Guidelines for

Thermal Coal sector

More than half have an investment policy that respects fundamental

principles.

On the other hand, 47% do not wish at this stage to implement an investment

policy respectful of fundamental principles.

> 90%

Detailed

responses

received

> 80

Questionnaires

sent

2/3 of the companies surveyed have a thermal coal exit policy

On the other hand, 30% do not intend to implement such a policy in the next

18 months.

Themes Results of the questionnaires



Voting policy

3.3

49

Presentation of our voting policy in favour of responsible investment

Voting policy

Since 2011, we have implemented a voting policy respectful of responsible investment principles.

Apart from the exclusionary framework that applies to R&Co Asset Management Europe concerning controversial

weapons, fundamental principles and the thermal coal sector, we try to favour as much as possible an engagement

approach with companies on sustainable challenges.

To this end, we have entrusted the analysis and recommendations of the resolutions to the specialized company

Institutional Shareholder Services (ISS) and have chosen to adopt their SRI voting policy.

Orientation

We preferred it to the other policies proposed by ISS, such as the Climate policy, which is also

very interesting but does not cover all the subjects we wish to address; and it seems to us that the

sustainable voting policy is mainly oriented around the UN-PRI, a framework already adopted in

the strategy of Rothschild & Co Asset Management Europe.

Voting process

The specialized company Institutional Shareholder Services (www.issgovernance.com) analyses

proposed voting resolutions and formulates reasoned voting recommendations that respect the

principles of responsible investment.

Most important recommendations can be studied by our analysts and processed for the benefit

of investors.

Rothschild & Co Asset Management Europe remains the ultimate decision-maker in the

exercise of voting rights.


http://www.issgovernance.com/

Scope

50

Scope of the voting policy

Voting policy

3. Scope of exclusion, and on which no voting exercise is carried out:

1. Priority perimeter, covering actions meeting the following criteria:

Our voting policy is designed to protect the undertakings for collective investment (UCIs) unitholders’ interests

that we manage.

2. Extended scope, covering international equities and mainly US equities with no extra cost for

Rothschild&Co Asset Management Europe

▪ Held in UCIs managed by Rothschild & Co Asset Management Europe

▪ Belonging to European countries with the exception of Denmark and Switzerland

▪ With a capitalisation above EUR 350 million

▪ Delays in the immobilisation of securities are too long and may be detrimental to the financial

management of the UCI

▪ The content of the resolutions and/or voting recommendations could not be sent to us in

time for analysis

▪ The costs of exercising voting rights, too high, justify an abstention and this in the interest

of the UCIs unitholders (high cost induced by the knowledge, analysis and exercise of the

resolutions).

The scope of the voting policy is organised on three levels: priority, extended and exclusion.


51

Voting policy

Voting record (priority scope)

Rothschild&Co Asset Management Europe has not been confronted with any situation of conflict of interest related to the

exercise of its voting rights in 2019 and 2020.

Voted98%

Not voted2%

2019 2020

▪ We participated in 167 out of 171 annual or

extraordinary general assemblies (GAs),

representing a participation rate of 98%.

▪ We participated in 279 out of 292 annual or

extraordinary general assemblies (GAs), representing

a participation rate of 96%.

Voted96%

Not voted 4%


Exercising our voting rights

52


Voting policy

Voting record (extended scope): attendance at general meetings increased by 38% between 2020 and 2019

2019 2020

▪ We were able to participate in 56 French general

assemblies (i.e. 28% of GAs) and 117 GAs in other

European countries

▪ We were able to take part in 30 general assemblies

outside Europe.

▪ We were able to participate in 86 French general

assemblies (i.e. 31% of GAs) and 140 GAs in other

European countries

▪ We were able to take part in 53 general assemblies

outside Europe.


Number of GAs per country Number of GAs per country

53


Voting policy

Within the extended voting perimeter, Rothschild & Co Asset Management Europe issued a total of 597 votes AGAINST

out of a total of 3,624 resolutions voted, i.e. a voting rate against of 16.5%.

Breakdown of 2019 resolutions

The most contested resolutions concern:

▪ Management remuneration (with 27% voting AGAINST);

▪ Anti-takeover measures (with 29% of votes AGAINST);

▪ External resolutions (with 33% of votes AGAINST).

The external resolutions filed accounted for 2% of the total number of resolutions.

Resolution TypeVotes

For

Abst

Votes

Votes

AgainstTotal

%

against

Employee shareholding 86 0 2 88 2%

Approval of the Financial Statements and Appropriation of Earnings 413 0 4 417 1%

Approval of Regulated Agreements (excluding Remuneration) 86 0 15 101 15%

Anti-takeover devices 101 0 42 143 29%

Formalities and other reasons 107 0 6 113 5%

Amendments to the Articles of Association 105 0 6 111 5%

Nomination/Attendance of Board or Supervisory Board Members 1037 13 227 1277 18%

Appointment/Remuneration of Statutory Auditors 165 0 1 166 1%

Financial Operations/Mergers 391 0 94 485 19%

Remuneration of Directors and Employees (excluding employee shareholding) 473 0 175 648 27%

External resolutions (not approved by the Council) 50 0 25 75 33%

TOTAL 3014 13 597 3624 16%


54


Voting policy

Breakdown of 2020 resolutions

Within the extended voting perimeter, Rothschild & Co Asset Management Europe issued a total of 755 votes AGAINST

out of a total of 5,380 resolutions voted, i.e. a voting rate against of 14%.

The most contested resolutions concern:

Resolution TypeVotes

For

Abst

Votes

Votes

AgainstTotal % against

Employee shareholding 85 0 1 86 1%

Approval of the Financial Statements and Appropriation of Earnings 527 0 0 527 0%

Approval of Regulated Agreements (excluding Remuneration) 107 0 22 129 17%

Anti-takeover devices 148 0 44 192 23%

Formalities and other reasons 155 0 11 166 7%

Amendments to the Articles of Association 393 0 33 426 8%

Nomination/Attendance of Board or Supervisory Board Members 1646 33 262 1941 13%

Appointment/Remuneration of Statutory Auditors 249 0 11 260 4%

Financial Operations/Mergers 473 0 98 571 17%

Remuneration of Directors and Employees (excluding employee shareholding) 690 1 215 906 24%

External resolutions (not approved by the Council) 118 0 58 176 33%

TOTAL 4591 34 755 5380 14%

▪ Management remuneration (with 24% voting AGAINST);

▪ Anti-takeover measures (with 23% of votes AGAINST);

▪ External resolutions (with 33% of votes AGAINST).

The external resolutions filed accounted for 3% of the total number of resolutions.


Example of collaborative

engagement

3.4

As part of the improvement of our engagement policy and the launch of our 4Change Climate funds, Rothschild&Co Asset

Management Europe became a member of the Climate Action 100+ initiative in July 2019.

56

Climate Action 100+

Example of collaborative engagement

Climate Action 100+, an initiative in line with our willingness to support the energy transition through commitment.

Context

The Climate Action 100 + initiative was launched in December 2017 during the One

Planet Summit and is part of the extension of the Paris climate agreement agreed at

COP 21 in 2015. Climate Action 100+ is today considered as one of the twelve most

relevant initiatives to respond to climate issues.

> 500 investors

Goals

The collective's mission is to encourage the largest greenhouse gas emitters to change their

practices by implementing a governance framework that integrates climate issues, and

invites them to follow the recommendations of the Task Force on Climate-related Financial

Disclosures (TCFD).

PerspectivesIn July 2018, 61 new companies were identified and included in a so-called "+" list. These

are companies that have a significant opportunity to lead a multi-level energy transition, or

that may be exposed to climate-related financial risks. > 52,000 billion in

total assets under

management

NewsIn 2021, the organisation will publish its new shareholder engagement framework, the

"Climate Action 100+ Net-zero company benchmark", with the ambition to clarify what really

constitutes a carbon-neutral policy.


Participation in the effort to

promote responsible

investment

3.5

As part of our approach as a responsible investor, we seek to raise our clients' awareness on sustainability issues. To

this end, over the last 18 months we have organised events for our clients, participated in local events and produced

a number of publications.

Communication

Customer events

External events

58

Participation in the effort to promote responsible investment

> 15

Publications

6 Events

Type of promotion

09/2019: Up2Green Reforestation partnership presentation

Main events and achievements 2019-2020

02/2020: Launch and presentation of our 4Change range

03/2020: ESG Roadshow

11/2019: Round table CMF Lefèvre on climate risks

06/2020: Webinar MSCI ESG Research 2020 "Has the health crisis

accelerated investors' climate change efforts?" 5 Events

04/2019: Regulatory Documents (Voting Policy, ESG Policy, Transparency

Code, Engagement Policy, Article 173 Report)

11/2020: Newsletter Green Bonds and Utilities Sector

11/2020: Quarterly newsletter Transition to a low carbon economy

09/2020: AGEFI Round Table on biodiversity


Disclaimer

This is by no means a promotional document.

The information/opinions/data contained in this document, considered to be legitimate and correct on the day of their publication, due to

the economic and financial environment existing on this date, are likely to change at any time. Although this document has been prepared

with the utmost care from sources believed to be reliable by Rothschild & Co Asset Management Europe, it does not guarantee the

accuracy and completeness of the information and assessments contained herein, which are only indicative and are subject to change

without notice.

This document is published by Rothschild & Co Asset Management Europe. It contains opinions and statistical data which Rothschild &

Co Asset Management Europe considers legitimate and correct on the day of publication in accordance with the economic and financial

environment prevailing at that date. This document does not constitute investment advice, an invitation, an offer to subscribe or a

solicitation to buy or sell any financial instrument and shall not form the basis, in whole or in part, of any contract or commitment

whatsoever.

This information is communicated without knowledge of the investor's specific situation. Prior to any subscription, investors should verify

in which countries the fund(s) referred to in this document are registered and, in those countries, which sub-funds or asset classes are

authorised for public sale. Investors considering subscribing for units are advised to carefully read the most recent version of the fund's

legal documentation (prospectus, KIID and annual report), which is available from Rothschild & Co Asset Management Europe's Client

Service and on the website www.am.eu.rothschildandco.com, or from the fund's distributors. Investors should consult their own legal and

tax advisers before investing in the fund. In view of the economic and market risks, no assurance can be given that the fund will achieve

its investment goals. The values of the units are by their nature subject to both upward and downward fluctuations. Performance figures

are given after deduction of costs. The figures quoted relate to previous months and years. Past performance is not a reliable indicator of

future performance.

Sources: Rothschild & Co Asset Management Europe on 31/12/2020

59

http://www.am.eu.rothschildandco.com/