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Item1–CoverPage
TrilliumAssetManagement,LLC 60SouthStreet,Suite1100
Boston,MA02111
www.trilliuminvest.com
March30,2020
ThisBrochureprovidesinformationaboutthequalificationsandbusinesspracticesofTrilliumAssetManagement,LLC(“Trillium”or“Adviser”).IfyouhaveanyquestionsaboutthecontentsofthisBrochure,pleasecontactusat(617)423‐6655.TheinformationinthisBrochurehasnotbeenapprovedorverifiedbytheUnitedStatesSecuritiesandExchangeCommissionorbyanystatesecuritiesauthority.
TrilliumAssetManagement,LLCisaregisteredinvestmentadviser.RegistrationofanInvestmentAdviserdoesnotimplyanylevelofskillortraining.TheoralandwrittencommunicationsofanAdviserprovideyouwithinformationwithwhichyoudeterminetohireorretainanAdviser.
AdditionalinformationaboutTrilliumAssetManagement,LLCalsoisavailableontheSEC’swebsiteatwww.adviserinfo.sec.gov.
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Item2–MaterialChangesThisBrochuredatedMarch30,2020isanupdatethatamendsourpreviousBrochuredatedMay16,2019.Specifically,weupdatedcertainitemsandaddedinformationtokeepyouuptodateaboutourbusinesspracticesandaffiliations.
MaterialChanges:
Item4–AdvisoryBusiness:UpdatedManagedAssetsAddedNoticeofanImportantEvent,pendingownershipchange
Item8–MethodsofAnalysis,InvestmentStrategiesandRiskofLoss:Updated
MethodsofAnalysisItem12–BrokeragePractices:UpdatedResearchandSoftDollarBenefits
Item13–ReviewofAccounts:Updated PursuanttoSECRules,wewillensurethatyoureceiveasummaryofanymaterialchangestothisandsubsequentBrochureswithin120daysofthecloseofourbusiness’fiscalyear.Wewillprovideotherongoingdisclosureinformationaboutmaterialchangesasnecessary.WewillfurtherprovideyouwithanewBrochureasnecessarybasedonchangesornewinformation,atanytime,withoutcharge.
TorequestourBrochurefreeofcharge,pleasecontactMichelleMcDonough,ManagingPartnerat(617)423‐[email protected].
AdditionalinformationaboutTrilliumAssetManagement,LLCisalsoavailableviatheSEC’swebsitewww.adviserinfo.sec.gov.TheSEC’swebsitealsoprovidesinformationaboutanypersonsaffiliatedwithTrilliumAssetManagement,LLCwhoareregisteredinvestmentadviserrepresentativesofTrilliumAssetManagement,LLC.
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Item3‐TableofContents
Item1–CoverPage....................................................................................................................................i
Item2–MaterialChanges......................................................................................................................ii
Item3‐TableofContents......................................................................................................................iii
Item4–AdvisoryBusiness....................................................................................................................1
Item5–FeesandCompensation.........................................................................................................3
Item6–Performance‐BasedFeesandSide‐By‐SideManagement......................................5
Item7–TypesofClients.........................................................................................................................5
Item8–MethodsofAnalysis,InvestmentStrategiesandRiskofLoss..............................5
Item9–DisciplinaryInformation....................................................................................................18
Item10–OtherFinancialIndustryActivitiesandAffiliations............................................18
Item11–CodeofEthics.......................................................................................................................19
Item12–BrokeragePractices..........................................................................................................20
Item13–ReviewofAccounts...........................................................................................................23
Item14–ClientReferralsandOtherCompensation...............................................................23
Item15–Custody....................................................................................................................................24
Item16–InvestmentDiscretion......................................................................................................24
Item17–VotingClientSecurities....................................................................................................25
Item18–FinancialInformation.......................................................................................................25
OtherInformation–SummaryofPrivacyPolicy.......................................................................26
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Item4–AdvisoryBusinessTrilliumAssetManagement,LLC(“Trillium”,“thefirm”or“we”)wasfoundedin1982andprovidesinvestmentmanagementservicestoindividualsandinstitutions.TheemployeesofthefirmownTrillium,andMatthewW.Patsky,CFA,ManagingPartnerandChiefExecutiveOfficer,isthelargestshareholder.Trilliummanages equity, fixed income, and balanced separate accounts for individuals,foundations, endowments, religious institutions and other non‐profit and for‐profitinstitutionalclients.Thefirmisdedicatedtoservingthelong‐termfinancial,environmentalandsocialgoalsoftheseclients. Trillium istheadvisortotheTrilliumESGGlobalEquityFund and the Trillium ESG Small/Mid Cap Fund, publicly availablemutual funds. TheTrilliumESGGlobalEquityFund isavailable in retail (PORTX)and institutional (PORIX)shareclasses.TheTrilliumESGSmall/MidCapFundisavailableinaninstitutional(TSMDX)shareclass.Thefirmbelievesthatexaminingenvironmental,social,andgovernance(ESG)factorsasan integratedpartof the investmentprocesscan lowerportfolioriskandhelpidentifythebest‐managedcompanies.Each client can impose reasonable restrictions on the management of their accounts,including restricting particular securities or types of securities. Trillium observes theinvestmentpolicies,limitationsandrestrictionsoftheclientsforwhichitadvises.Inadditiontoworkingdirectlywithclients,Trilliumparticipatesinwrapfeeprograms,butdoesnotsponsorsuchprograms.Trilliumprovidesdifferentlevelofservicetotheseclients,dependingontheprogram. SomeclientsaccessingTrilliumthroughawrapprogramwillhavelimitedaccesstoTrillium’sfullrangeofproducts,andlimitedabilitytodirectTrilliumtocustomize theiraccount. Trillium receivesaportionof thewrap fee formanagementservices.Trilliumactsasa “ModelManager” forseveralseparatelymanagedaccount (“SMA”)andUnifiedManagedAccount (“UMA”)platforms. Trilliummanages themodelportfolios inaccordancewith its investmentmanagementphilosophyandpoliciesasset forth ineachinvestmentagreement.Trilliumdoesnothaveanyrelationshipwiththeunderlyingclients.Platform sponsors are responsible for assuring implementation of a client’s particularinvestment objectives and restrictions in accordancewith Rule 3a‐4 of the InvestmentCompanyAct.Investmentadvisoryservicesrepresent100%oftotalrevenueasofDecember31,2019.Trilliumpublishes“InvestingforaBetterWorld”,aquarterlynewsletter.ThenewsletterisdistributedfreeofchargetoTrillium’sinvestmentadvisoryclientsandtoprospectiveclientsandadvisors.Itisalsoavailablethroughourwebsiteatwww.trilliuminvest.com.Trillium hires Chicago Clearing Corporation ("CCC") to assist in processing claims andobtainingdistributions from securitiesclassaction settlements foradvisoryclients. CCCreceivesafeeof15%oftheproratashareofanysuchdistribution.
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Trilliumconductsanongoingenterpriseriskassessmenttoevaluatematerialrisksassociatedwithitsbusinessesandoperations.TheManagingPartners,withinputfromthedepartmentheads,areresponsibleforassessingTrillium’slevelofrisk.AManagingPartnerperiodicallycoordinatesandoverseesanassessmentofTrillium’sbusinessrisk.
ServicestoRegisteredInvestmentCompaniesTrilliumprovidesinvestmentmanagementservicestotheTrilliumESGGlobalEquityFundand theTrilliumESG Small/MidCapFund (the “Funds”), each a series ofProfessionallyManagedPortfolios,aMassachusettsbusinesstrust,andregisteredwiththeSECundertheInvestmentCompanyActof1940asanopen‐endmanagementinvestmentcompany.TheTrilliumESGGlobalEquityFund followsourGlobalEquityStrategyusing the sameorasimilar approachused for certain separatelymanaged account clients.TheTrilliumESGSmall/MidCapFundfollowsourSmallMidCapStrategyusingthesameorasimilarapproachused for certain separately managed account clients. The Fund prospectus containsadditional information regarding each Fund’s investment strategy. The prospectus isavailableuponrequest.ServicestoPrivateFundsTrilliumprovidesdiscretionary investmentadvisoryserviced toaprivate fundofprivatefunds (“Private Fund”) forwhichTrillium ImpactGP, LLC (“GeneralPartner”) serves asgeneralpartner. TheGeneralPartner,anaffiliateof the firm,offers thePrivateFund toinstitutionsandeligiblehighnetworth individuals. ThePrivateFund invests inamixofprivate funds and ismanaged according to the objectives and policies described in itsofferingdocument (discussedmore fully in Item8). Wemaymanageother funds in thefuturewithinvestmentstrategiesthatmayormaynotbesimilartothoseofthePrivateFund.ManagedAssetsAsofDecember31,2019,Trilliummanagedapproximately$3,296millioninassetsfor1,590accountsonadiscretionarybasis.Trilliummanagedapproximately$36millioninassetsfor2accountsonanon‐discretionarybasis.NOTICEOFANIMPORTANTEVENTOnorabout June30,2020,wewillbecomeawholly‐owned subsidiaryofPerpetualLimited(“Perpetual”),oneofAustralia’smosttrustedandexperienced investmentmanagers,wealthmanagersandtrustees,withaheritageofserviceandtrustspanningover130years.Perpetualfully supportsand respects our firm’s legacy,missionand values,whichare critical to ourbusinesssinceitsfoundingin1982byJoanBavaria.Afterthetransaction,Trilliumwillnotbeownedbyourcurrentshareholdersthat includemanyofouremployees,andourCEO,MattPatsky,willreporttoPerpetual.Importantly,thistransactionbothenhancesourcapabilities
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whilecontinuingtoallowourclientsanopportunitytoinvesttheirmoneyinalignmentwiththeirvalues.Perpetual is an Australian Stock Exchange (ASX)‐listed investmentmanagement, financialadvice and trustee group, offering a range ofmanaged investment, wealthmanagement,superannuationandtrusteeservicesforindividualsandinstitutionalinvestors.Thecompanywasfoundedin1886andhasalongstandingreputationasoneofthemosttrustedprovidersoffinancialservicesinAustralia.PerpetualiscommittedtoTrillium,ourclients,employeesotherstakeholdersandprinciplesandanticipatesmakingasignificantinvestmentinmarketinganddistributioninAustralia,theU.S.andEuropetoaccelerategrowth.Item5–FeesandCompensationTrilliummanagesassets forclientsseekingdiscretionaryportfoliomanagementservices.Eachclientreceivespersonalizedinvestmentmanagementservicesbasedonananalysisofthe client’s financial circumstances, income requirements, risk tolerance, investmentobjectivesandsocialconcerns.StandardFeeScheduleAnnualFeeforEquityandBalancedRelationships0.85%foramountsupto$5million0.50%foramountover$5millionFeesarepayablequarterlyinadvance.In lieu of the standard fee, above, a 15 basis points oversight feewill be charged forunaffiliatedmutual fundsorexchange‐traded funds(ETFs)used to implementyourassetallocation.MutualfundsandETFsalsochargeinternalmanagementfeesandotherexpensesthatthose fundsdisclose intheirrespectiveprospectus. Moneymarket fundsandsweepinstrumentsaresubjecttothestandardfee.Noadditionaloversightormanagementfeewillbechargedforanyaffiliatedmutualfunds,whereTrilliumismanagingthefundassets.Fees arebe subject tonegotiationdependingon account size and service requirements.Trilliumacceptscertainaccountsunder$3millionthatpayanegotiatedfeebasedonassetsundermanagement. Such accounts typically have similar investment goals and requirelimitedservicebyTrillium.Trilliumchargesadvisoryfeesquarterlyinadvancebasedonassetsundermanagementasofthelastdayofthepreviouscalendarquarter.Iftheclientapproves,thecustodiandeductsTrillium’sfeesfromtheclient’saccounts. Alternatively,clientscanchoosetobebilledforthe fees. Whendetermining theassetsundermanagement,weusea thirdpartypricingservicetodetermineportfoliovalue.Thepricingservicepricesalternativeinvestmentsatparormaturityvaluebecause such investmentsdonot trade inan existingmarket andbecauseordinaryinstrumentsarenotcomparablewiththealternativeinvestmentsdueto
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theircharitablenature.Ifitbecomesapparentthattheissuerofthealternativeinvestmentisinfinancialdistressandcoulddefaultonpayment,Trillium'sValuationCommitteeshalldeterminethemarkdowntothevalueoftheinvestment.Trilliumwillrefundaprorataportionofanyfeespaidinadvancethataresubjecttorefundiftheaccountterminatesbywrittennotice.WrapFeeScheduleForclientsworkingwithTrilliumthroughawrapsponsor,thewrapsponsorpaysTrilliumaportionof thewrap feecollected. The investmentmanagement fee thatTrilliumcollectsfromthesponsorvaries,but inmostcasesis lowerthanTrillium’sstandardfee. Insomecases,clients’overallfeespaidtothesponsorwillbehigherthanTrillium’sstandardfee.ModelFeeScheduleTrilliumcollectsafeefromtheseparatelymanagedaccount(“SMA”)andUnifiedManagedAccount(“UMA”)platformsforwhichweprovidemodelportfolios.Thefeesarecalculatedandpayable inarrearsonaquarterlybasisbasedon thevalueofassetsusing themodelportfolios asdetermined by theplatform sponsor based on the individual sponsor’s feeschedule.PrivateFundFeeScheduleIn consideration for investmentmanagement services performed under the InvestmentManagementAgreement,thePrivateFundshallpayTrilliumtheManagementFeecollectedfromunderlyinginvestors.Themanagementfeewillbepaidquarterlyinadvanceandwillnot exceed 1.25% per annum of the aggregate unreturned Capital Contributions of theLimited Partners of the Private Fund. TheManagement Fee shall be prorated for anycalendarquarter that is less thana fullquarter. TheGeneralPartnerandemployeesofTrillium invest in the Private Fund and, in certain cases, do not meet the minimuminvestmentrequirements.TrilliumclientswhochoosetoinvestinthePrivateFundwillpayalowermanagementfeethaninvestorswhoarenotclientsofTrillium.
AdditionalFeeInformationTrillium’sfeesareexclusiveofbrokeragecommissions,transactionfees,andotherrelatedcostsandexpenses that clientswill incur. Clientswill incur certain charges imposedbycustodians,brokers,thirdpartyinvestmentandotherthirdpartiessuchasfeeschargedbymanagers,custodial fees,deferredsalescharges,odd‐lotdifferentials,transfertaxes,wiretransfer and electronic fund fees, and other fees and taxes on brokerage accounts andsecurities transactions. Mutual funds and exchange‐traded funds also charge internalmanagementfeesthatthosefundsdiscloseintheirrespectiveprospectus.Suchcharges,feesandcommissionsareexclusiveofandinadditiontoTrillium’sfee.Trilliumshallnotreceiveanyportionofthesecommissions,feesandcostsunlessTrilliumistheadvisororsub‐advisortosuchfunds.
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TrilliumhiresChicagoClearingCorporation("CCC")toassistinprocessingclaimsandobtainingdistributionsfromsecuritiesclassactionsettlementsforadvisoryclients.CCCreceivesafeeof15%oftheproratashareofanysuchdistribution.Inaddition,Trilliumreceivesbenefitsincludingresearchproductsandservicesthroughitstradingrelationshipswithcertainbrokersinconsiderationofcommissionspaidbyclients.Attimes,thiswillcausethepricethefirmpaysinasecuritytransactiontobehigherthanthelowestpossibleprice.Item12furtherdescribesthefactorsthatTrilliumconsidersinselectingorrecommendingbroker‐dealersforclienttransactionsanddeterminingthereasonablenessoftheircompensation(e.g.,commissions).
Item6–Performance‐BasedFeesandSide‐By‐SideManagementTrilliumdoesnotchargeanyperformance‐basedfees(feesbasedonashareofcapitalgainsonorcapitalappreciationoftheassetsofaclient).
Item7–TypesofClientsTrilliumprovidesportfoliomanagementservicestovarioustypesofclients,includingindividuals,highnetworthindividuals,trusts,corporatepensionandprofit‐sharingplans,Taft‐Hartleyplans,charitableinstitutions,for‐profitandnon‐profitinstitutionalclients,foundations,endowments,registeredmutualfunds,pooledinvestmentvehicles,privateinvestmentfundsandtrustprograms.AsnotedinresponsetoItem4above,Trilliumalsoprovidesinvestmentmanagementservicestoaprivatefundforwhichanaffiliateservesasgeneralpartner.Theminimumrelationshipsizeforamanagedseparateaccountis$3,000,000.Trilliumprovideslimitedservicesforrelationshipsundertheminimum.Wrapaccountsandmodelaccountsarenotsubjecttotheminimumrelationshipsize.
Item8–MethodsofAnalysis,InvestmentStrategiesandRiskofLossMETHODSOFANALYSISTrilliumbelievesthatintegratingESGdataintotheinvestmentprocesscanhelpidentifythecompanieswebelievearepositionedbesttodeliverlong‐terminvestmentperformance.Currently,wehavetwoprimarywaysthatwepursuethisintegration.1)ByexaminingbasicquantitativeESGcharacteristicsaspartofourfront‐endprocesstodeterminethecompaniesavailableinouruniverse2)byincorporatingESGdataintothebottom‐upfundamentalresearchconductedbyouranalysts.Inadditiontonegativescreens,weemploypositiveESGintegration,shareholderadvocacy,proxyvoting,andpublicpolicyworkasanintegralpartofourstrategy.
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AtTrillium,webelievethattheincorporationofEnvironmental,Social,andGovernance(ESG)factorsintofundamentalfinancialanalysiscanhelpidentifycompaniesthatappearbestpositionedtodeliverrisk‐adjusted,long‐terminvestmentperformance.Wehavefocusedonbringingthesefactorsintoouranalysissinceourfoundingin1982.Trillium’sinvestmentapproachgoeswellbeyondtraditionalexclusionaryscreeningtofocusinsteadonthepositiveintegrationofquantitativeandqualitativeenvironmental,social,andgovernance(ESG)dataalongsidefinancialanalysis.WeevaluateandscorecompaniesontheirESGperformance,whichouranalystsusetodeterminethecompaniesavailableinouruniverseandthecompanieswewishtoincludeinourbuy‐list.InadditiontoourESGperformanceassessmentsbasedonvariouspositiveandnegativescreens,weconsidershareholderadvocacy,proxyvoting,andpublicpolicyworkasintegralpartsofourstrategy.Generally,weinvestclientassetsinourstrategies.Someclientassetsareinvestedinexternallymanagedmutualfundsandexchange‐tradedfundsincaseswherewedonothavespecificexpertiseinanassetclass,oranappropriateinternalstrategy.GeneralEquityInvestmentProcessOurgeneralinvestmentprocessincludesseveralcomponentsincluding:aquality‐drivenresearchprocessthroughwhichideasaregeneratedforourBuyList(IdeaGeneration),athoroughanalysisandreviewofrecommendationsforourbuylist(In‐depthIntegratedResearch),andaportfolioconstructionprocessledbytheinsightsofourPortfolioManagersthatconsideramacroeconomicinputandareviewofadherencetoriskcontrolparameters(PortfolioConstruction).Webeginwithauniverseofliquid,publiclytraded,U.S.stocksandADRswithmarketcapitalizationsgreaterthan$250millionandthatpassourbaseexclusionaryESGcriteria
BaselinebusinessInvolvement&controversyScreening:
Trilliumavoidscompaniesthatderivesignificantrevenuesfromproducing,distributingormarketingfirearms,tobacco,gaming,weapons,orpornography.Weavoidcompaniesthathavedemonstratedasystematicdisregardfortheenvironment,workers,andhumanrights.Weavoidinvestinginthehardrockminingornuclearpowerindustries.Forcertainofourstrategies,weusea“bestinsector”approachtoreviewtheenvironmentalperformanceofoilandgasproductionanddistributioncompanies,aswellaselectricpowergenerationcompanies.ContactusforadetaileddescriptionofourESGcriteria.Excludefromconsiderationcompanieswithmaterialinvolvementinbusinessesthathavehigherrisk,suchas:
• AgriculturalBiotechnology• CoalMining• HardRockMining• Nuclear&CoalPower(*basedon%generationcapacity)• PrivatePrisons• TarSands
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• Tobacco• Weapons&Firearms
Restrictcompanieswithmajorrecentorongoingcontroversiesinareassuchas:• AnimalWelfare• Environmental• Governance• HumanRights• ProductSafety
PositiveESGCriteriaandQualitativeConsiderations:
TrilliumalsointegratespositiveESGcriteriaintheinvestmentprocess.RelevantcriteriaisindustryorsectorspecificandisbasedonbenchmarkingcorporateperformanceinthekeyESGissuesidentifiedbyanalystteamsforeachindustrytheycover.InadditiontotheESGbenchmarkingprocessthatprovidesmeaningfulinsightsintohowwellcompaniesperformrelativetotheirpeersonthecriticalfactorsthatcanbequantitativelyevaluated,Trilliumanalystsalsoincorporatein‐depthqualitativeresearchandanalysis,suchasinterviewswithpersonnelfromcorporations,tradeassociations,non‐governmentalorganizationsaswellasouranalysts’interpretationsofrelevantsectorandseculartrends.
IdeaGenerationTrillium’sfundamentalequityanalysts,whodividecoveragebysector,areresponsibleforprovidingin‐depthanalysisofcompaniesandgeneratingnewbuyideasconsistentwithourhigh‐qualityapproach.Weconductafinancialandbusinessmodelreview,evaluatingthefollowingcharacteristics:
FinancialReturnsonInvestment BusinessStrategyStrength GrowthandEarningsQuality ProfitabilityandEfficiency FinancialLeverage
Weseektoidentifycompaniesthatwebelievearestrategicleaders,basedonbusinessmodelsthatwethinkaresuperiorandthatdemonstratetheabilitytocreateconsistentearningsgrowth.Inaddition,welooktoidentifycompanieswithstrongboardandmanagementquality,transparentandconservativefinancialreporting,andbettermanagementofESGrisks.Weuseavarietyofsourcestoidentifythesecompanies.Wefrequentlyconductbenchmarkanalysesrelativetocaptier,country,andindustryorsub‐industrytoseewhereweneedadditionalexposurebasedonourcurrentBuyList.WealsooftenuseathematicapproachtoidentifycompaniesthataretakingadvantageofhighgrowthESGtrends,suchashealthyliving,energyefficiency,datasecurity,andsustainablefoods.WelookatkeymetricsofFinancialOperatingPerformanceincludingROIC,ROEandROA,aswellassupportingmetricssuchasrevenuegrowth,marginperformance,operatingefficiency,earningsquality,returnofcapitaltoshareholders,andbalancesheetstrengthandstability.OurFinancialStatementQualityToolcalculatesavarietyoffinancialstatementratiosandmetricstohelpanalystsmonitorfinancialhealth,including:B/Sand
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C/Fstatementaccrualsratios,revenuestocashcollected,GrossPP&EtoDepreciationExpenseandDepreciationExpensetoSales,DSO,DIOandCashConversionCycle,GrossMargin,andCoreOperatingMargin.Analystsalsoattendcompanyinvestormeetings,sell‐sideconferences,andindustryconferenceswheretheyseektoidentifypotentialnamesthroughtheirnetworkofprofessionalconnections.In‐depthIntegratedResearchOnceanalystsdeterminethatspecificnameslookpromisingforfurtherresearch,theybeginanin‐depthfundamentalresearchprocessthatincludesfullESGintegration.AspartofthisresearchprocessanalystsprepareorupdateanindustryESGmaterialityreview.Thisincludesa“materialitymatrix”whichhelpsidentifythespecificESGissuesthataremostmaterialtoaparticularsub‐industry,basedonhavingbothhighstakeholderconcernandfinancialrisk.Someissuesarespecifictoaparticularindustry,suchas“accesstomedicine”fordrugcompanies.Otherissuesarepertinentacrossmanyindustries,suchas“executivecompensation”and“boarddiversity.”Oncetheprimaryissuesareidentified,analystswilldeterminethebestsourceofinformationfortheparticularissueandidentifyleadingpractices.Thenanalystswillconductacomparativeanalysistodeterminearankingofcompaniesinselectedsubgroups.Analystsconductathoroughvaluationassessment,generallyusingablendofvaluationapproachesandassigningpercentageweightsbasedonthebestfitfortheindustryunderreview.Approachesmayincludeadiscountedcashflowanalysis,P/E,pricetobook,andpricetofreecashflow.Asanalystsworkthroughthisreview,theymaydecidethatanameisnotworthfurtherwork,basedonfinancialorESGconcernstheyuncover.BuyListApprovalOnceanalystsgainconvictionwithaparticularname,theyprepareafullcompanywrite‐uptopresenttoTrillium’sInvestmentManagementCommittee(IMC).OurIMC,chairedbyourCIO,ismadeupofallportfoliomanagersandanalystsandamajorityvoteisrequiredtoapprovenewnamestoourcompanyBuyList.Theresearchreportincludesthekeystrategicaspectsofacompany’sbusiness,thefinancialoperationsreview,valuationandriskassessment,andESGanalysis.FromthisBuyList,portfoliomanagerswillengageinaportfolioconstructionprocessthatincludesadherencetospecificriskcontrolparameters.Thespecificsoftheportfolioconstructionprocessvarysomewhatbasedonthestrategy.FixedIncomeInvestmentProcessTrillium’sFixedIncomeStrategycombinesamacro‐viewwithindividualfixedincomesecurityselectionandincorporatesbothnegativeandpositiveEnvironmental,Social,andGovernance(ESG)criteria.Thestrategyoffersbothtaxableandtax‐exemptoptions,dependingontheneedsoftheclient.Agencyandmunicipalbondsareselectedwithconsiderationofthepositiveaspectsoffundingprovided:education,sanitation,cleanenergy,etc.Corporatebondsareselected,inpart,basedontheESGprofileoftheissuingcompany.Theportfoliotypicallyholdsbonds
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untilmaturityorcall.ItmayusestructurednotesatattractiveOptionAdjustedSpreadtopickupyieldandprotectagainstrisingrates.Theportfolioseekstoidentifyhighqualitybondholdingswiththefollowingcharacteristics:
Highcreditquality Intermediateduration Agencyandmunicipalbondsselectedinpartbasedonpositiveaspectsof
fundingprovided:education,sanitation,cleanenergy,etc. Proactivelyincludes“GreenBond”exposure,includingWorldBankandIFC
GreenBondsPrivateFundInvestmentProcessThePrivateFundseekstoinvestinprivateequityanddebt,ventureequityanddebt,andrealestateandrealestaterelatedassetsinsustainableenterprisesacrossthreebroadthematicareas:climatesolutions,economicempowermentandhealthyliving.INVESTMENTSTRATEGIESTrilliumoffersthefollowinginvestmentstrategies:LARGECAPCORELargeCapCoreinvestsinlargecapstocksthatarewelldiversifiedacrosseconomicsectorsandmeetTrillium’ssustainabilitycriteria.Thestrategydrawsfromasub‐setofTrillium’sBuyList:USandADRcompaniesgenerallylargerthan$1.5billioninmarketcap.TheequitybenchmarkistheS&P500.ALLCAPCOREAllCapCoreinvestsacrosstherangeofmarketcapitalizationsandeconomicsectorsincompaniesthatmeetTrillium’ssustainabilitycriteria.TheequitybenchmarkistheS&P1500.GLOBALEQUITYGlobalEquityinvestsindevelopedoremergingmarketequitiesofanycapitalization,withaminimumof40%ofnetassetsinnon‐U.S.companies.ThisstrategyisspecificallydesignedtobeFossilFuelFree.TheperformancebenchmarkistheMSCIAllCountryWorldIndex.SMALL/MIDCAPCORESmall/MidCapCoreinvestsinsmallandmidcapstocksthatarewelldiversifiedacrosseconomicsectorsandmeetTrillium’ssustainabilitycriteria.TheequitybenchmarkistheS&P1000.FOSSILFUELFREECORE
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FossilFuelFreeCoreinvestsacrossarangeofmarketcapitalizationsandeconomicsectorsincompaniesthatmeetTrillium’ssustainabilitycriteria.Thisstrategyhasnodirectexposuretofossilfuels.ThebenchmarkforthestrategyistheS&P1500.SUSTAINABLEOPPORTUNITIESTheSustainableOpportunitiesstrategyseekstoprovidelong‐terminvestmentgrowthbyinvestingincompaniespositionedtothriveaswetransitiontoamoresustainableeconomy.SustainableOpportunitiesisagrowth‐seekingsustainability‐themedinvestmentdisciplineforinvestorswithalong‐termtimehorizonandawillingnesstoaccepthigher‐than‐averagevolatilityrelativetostandardequitybenchmarks.Thishighconvictionstrategyisdesignedtoprovidehigherbenchmarktrackingerrorandnosetsectorconstraints.TheequitybenchmarkistheS&P1500.GROWTHANDINCOMEGrowthandIncomeinvestsinlargercapstocksthatarewelldiversifiedacrosseconomicsectors,havehigherdividendyields,andmeetTrillium'ssustainabilitycriteria.TheequitybenchmarkistheS&P500.FIXEDINCOMEFixedIncomeisawell‐diversified,activelymanaged,US‐corebondstrategy—managedforallmarketenvironments.Trillium’sFixedIncomeStrategycombinesamacro‐viewwithindividualfixedincomesecurityselectionandincorporatesbothnegativeandpositiveEnvironmental,Social,andGovernance(ESG)criteria.OTHERWealsomanageaccountswithcommunityinvestments,othertypesofcash,andprivateequity.Trilliummanagesafundoffundsconsistingprimarilyofprivateequityanddebt,ventureequityanddebtandrealestateandrealestaterelatedinvestmentsinsustainableenterprises.Trilliumoccasionallyoffersadviceoncommunityloanfunds,loanfundparticipationsandsimilaralternativeinvestments.Clientsinvestinginsuchinstrumentsreceiveaseparatedisclosuredocument.DomesticEquityPortfolioConstructionTheportfoliomanagementteamforeachdomesticequitystrategywillengageinaportfolioconstructionprocessthatincludesadherencetospecificriskcontrolparameters.Thespecificsoftheportfolioconstructionprocessvarysomewhatbasedonthestrategy.Thereisaformalrebalancingsessioneachquarter;althoughthemodelportfolioischangedmoreoftenifnecessarybasedonconcernsaboutaspecificholdingorachangeinthemacroeconomicview.Wearelong‐terminvestors,withathree‐tofive‐yearinvestmenthorizon.Ouraimistokeepportfolioturnovertoroughly20‐40%peryear.Forourcorestrategies,theemphasisofportfolioconstructionisondiversificationof"bets"withinarigorousrisk‐controlframework.Riskcontrolsincludeamaximumsizeposition,
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maximumsectorweightdeviations,anex‐antetrackingerrortargetrange,andongoingreviewofportfolioincomparisonwithkeybenchmarkcharacteristics.Wemakeuseofoptimizationsoftwarewhichallowsustocreateatailoredportfoliowiththehighestpossibleexpectedalphaforagivenlevelofbenchmark‐relativerisk,whilemeetingthevariousportfolio‐specificconstraints.Analystscreatealphascoreswhichcombinemultipleinputs,includinginternallygeneratedfundamental,valuation,andmomentumfactors,intoarelativerankingbasedonamedium‐termoutlook.Theoptimizationprocessbalancesourproprietarycompositealphascore,withinformationaboutstock‐specificandfactor‐basedrisk.Astheteamworkstoconstructaportfolio,theyreviewthesuggestedportfolio’sexpectedalphaandtrackingrisk,andtheyusetheoptimizationsoftwaretoensurethattheyarenottakingexcessivebetsinsectorweights,portfoliocharacteristics,oroveralltrackingerror.Theportfolioteamforeachdomesticequitystrategyengagesinadiscussionandreviewbasedontheirownviewofthemarketandexpectationsforspecificportfolionames.Someofthefactorsthatportfoliomanagersconsiderwhenmakingbuysoradditionstoexistingpositionsarevaluation,analystconviction,andtheimpactofacompanyonoverallportfoliocharacteristics.TheportfolioteamdeterminesafinalportfoliofromtheavailablenamesintheBuyList.Portfoliosizecanrangefrom50‐120stocks,dependingonthestrategy.Whilewedouseateam‐basedapproachforportfolioconstruction,iftheportfolioteamasawholecannotmakeanagreement,theleadportfoliomanagerhasthefinaldecisionmakingresponsibility.Onoccasionanalystsarealsobeaskedtorecommendaspecificstockswapideainbetweenmodelingsessionstohelpmakeinterimadjustmentstotheportfolio(suchasshiftingsectorweights).Animportantstepintheportfolioconstructionprocessistheconsiderationandconstructionofourmacro‐economicanalysis,asoverseenbyourManagingPartnerCherylSmith,PhD.Thisformalquarterlyanalysis(ormorefrequentlyaseventsrequire)concludeswithdisseminatedrecommendationsviaemailtoportfoliomanagersandotherIMCmemberstounderoroverweightsector(eachofthe11majorsectorsoftheequitymarket)allocations.Daily,weeklyandmonthly,ourfixedincomeandmacroteamledbyCherylSmithmonitorsthecurrentmacroeconomicenvironment,developingcycles,andrelatedtrendsbyevaluatinginsightsfromindependentresearchprovidersalongwithinternally‐derivedinsightsandobservations.Assuch,sheregularlyconsultswithseniormembersofTrillium’sIMC,includingourCIO,inconstructingheranalysis.Thekeyinputsintothemacro‐economicanalysisarestrategycycle,valuation,andstructuralfactors.Theportfolioteamthenintegratesthefindingsofthemacroeconomicreviewintothequarterlyrebalancingprocessormoreoftenifinterimrepositioningisrecommended.Theresultingportfolio’ssectorallocationwillbebasedonanintegrationofthistop‐downviewwiththebottom‐upassessmentofopportunityatthestocklevel.Thereviewalsohelpsusidentifywhichtypesofcompanies(suchasdefensive)wewishtoemphasizewithinasectoratanyparticularpointintime.Whilesomestrategiesaremoremacrodriventhanothers,allstrategiesseektoaddvalueprimarilythroughstockselection.
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GlobalEquityPortfolioConstructionTrilliumGlobalEquitystrategyisspecificallydesignedtobeFossilFuelFree.TheinvestmentteamfortheGlobalEquitystrategylooksforaspecificdefinitionof“globalleaders”astheydrawfromtheTrilliumBuyList.Thisassessmentofleadershipincludesbothfinancialcriteriaandenvironmentalcriteria.ThefinancialcriteriaincludehighROIC,positiveeconomicreturns,cashflowsgreaterthanorequaltonetincome,highrelativemargins,earningsgrowthandstability,andlowrelativedebtlevels.Theenvironmentalcriteriaincludelife‐cycleanalysis,sustainablerawmaterialsources,environmentalmanagementsystemandstrategies,climatechangepolicy,andresearchanddevelopment.Companiesmustmeetspecificminimumhurdlesrelatedtothesecriteriatobeincludedinthefinalportfolio.FromourBuylist,PortfolioManagersselectcompanieswithimprovingfundamentals,attractivevaluation,impendingcatalystsforgrowth,andappropriatediversification.OurGlobalEquitystrategyisevaluatedagainstthebenchmarktoidentifyandoptimizetherisk/returnprofileoftheportfoliobutthestrategydoesnotuseoptimizationsoftwareasariskmanagementtool.ThePortfolioisconstructedwithconsiderationforkeyguiderailsforsectorweights,countryweights,regionalexposure,andmarketcapbreakdownsandgenerallyholds70‐150names.Theglobalmacroenvironmentisconsideredwhendeterminingappropriategeographicalexposures.ThePortfolioManagersregularlyreviewtheportfoliotodeterminewhethercompaniesrepresenttheirbestideasatanyparticularpointintimeandlookingatkeyportfolioexposuresandcharacteristicsversusthebenchmark.TheselldisciplineresultsinatradewhenthePortfolioManagers1)seeabreakdowninfundamentals2)believeaholdingrequiretrimmingbasedonrisingvaluationbeyondexpectations3)identifybetterrelativeopportunitiesor4)recognizemajornewconcernswithacompany’sESGprofile.FixedIncomePortfolioConstructionDuringportfolioconstruction,wedevelopamodelportfolio,withaladderedapproach,whereweinvestinissuesacrossthedurationspectruminordertoachieveouroveralldurationtarget.Thisleadstomoreorlessconcentrationatcertaindurationrangesdependingonourtarget.Onatleastaquarterlybasis,ourfixedincometeam,ledbyCherylSmithPhD,determines:
Durationtargets Marketsectortargets Creditqualitygoals Maturitystructure
Ourtypicalpositionrangeisbetween5‐10%,withamaxpositionsizeof15%.PrivateFundPortfolioConstructionInvestmentsinthePrivateFundaresubjecttothefollowinglimits:
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Notmorethantwentypercent(20%)ofthePrivateFundascalculatedattheFinalClosingDate,willbeinvestedinPartnershipInvestments(measuredatthetimeofinvestment)inInvestmentFundsmanagedbyasinglegeneralpartnerand/ormanagerorprivateequitysponsor.
Notmorethantwentypercent(20%)ofthePrivateFundascalculatedattheFinalClosingDatewillbeinvestedinPartnershipInvestments(measuredatthetimeofinvestment)inthefirstInvestmentFundmanagedbyageneralpartnerand/ormanagerorprivateequitysponsor.
Notmorethantenpercent(10%)ofthePrivateFundascalculatedattheFinalClosingDatewillbeinvestedinPartnershipInvestments(measuredatthetimeofinvestment)representinghighimpact,belowmarketratereturninvestments.
Notwithstandingtheforegoing,theGeneralPartnerhasthediscretiontodirectTrilliumtoexceedthepercentagelimitationsinclausesaboveifitmakesagoodfaithdeterminationthatsuchadditionalinvestmentisinthebestinterestsofthePrivateFund.
RISKOFLOSSTrilliumdoesnotguaranteethefutureperformanceofanyclientaccount.Clientaccountsaresubjecttoavarietyofmarket,currency,economic,politicalandbusinessrisks,andthereisariskthatanaccountwilllosemoney.Investinginsecuritiesinvolvesriskoflossthatclientsshouldbepreparedtobear.Thefollowingprincipalriskscanalsoaffectthevalueofyourinvestment:
GeneralMarketRiskEconomiesandfinancialmarketsthroughouttheworldareincreasinglyinterconnected,whichincreasesthelikelihoodthateventsorconditionsinonecountryorregionwilladverselyimpactmarketsorissuesinothercountriesorregions.Generalmarketriskmayaffectasingleissuer,industry,sectoroftheeconomyorthemarketasawhole.Intherecentpast,globalfinancialmarketsexperiencedsevereuncertaintyandstress,whichresultedinextremevolatilityintheequitymarketsandinthepricesofindividualstocks.Insomecases,thepricesofstocksofindividualcompanieswerenegativelyimpactedeventhoughtheremayhaveappearedtobelittleornodegradationinacompany’sfinancialconditionsorprospects.Thesemarketconditionscouldrecurandaddsignificantlytotheriskofshort‐termvolatilityofinvestments. LiquidityRiskTraditionallyliquidinvestmentsmayexperienceperiodsofdiminishedliquiditythatmayimpairourabilitytosellsuchinvestmentsatreasonablyexpectedvalues.RegulatoryRisk
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Governmentalandregulatoryactions,includingtaxlawchanges,mayalsoimpairportfoliomanagementandhaveunexpectedoradverseconsequencesonparticularmarkets,strategies,orinvestments.PrivateFundRiskInvestmentsinprivatefundsarespeculativeandinvolvesubstantialrisk,includingtheriskthattheinvestorcouldlosesomeorallofitsinvestmentinsuchfunds.Themainareasofriskinclude:
LiquidityRisk.Thereisariskthatduetomarketconditions,thePrivateFundoroneormoreunderlyingfundsmaybeunabletohonorawithdrawalrequestandwill,asaresult,suspendwithdrawals,ortakeotheractionsthatlimittheabilitytoobtainthecashrequiredtofundwithdrawals.
ValuationRisk.InvestmentsheldbythePrivateFundorunderlyingfundsarenotpubliclytradedorareilliquid.Thefairvalueofsuchinvestmentsmaynotbereadilydeterminableandwillrequiretheexerciseofsomemeasureofdiscretioninarrivingatavaluation.WhenevertheFairValueisrequiredtobedetermined,theGeneralPartner,initssolediscretion,shalldeterminesuchFairValueinareasonablemanner,anditshallbereasonablefortheGeneralPartnertorelyuponanyvaluationofpropertyfurnishedbyanInvestmentFund.Determinationsoffairvaluemaydiffermateriallyfromthevaluesthatwouldhavebeenusedifareadymarketfortheinvestmentsexisted.Moreover,theactualpriceatwhichaninvestmentissold(orcouldbesold)maydifferfromthedeterminedFairValue.
EquityRiskThisistheriskthatstockpriceswillfallovershortorextendedperiods.Althoughthestockmarkethashistoricallyoutperformedotherassetclassesoverthelongterm,thestockmarkettendstomoveincycles.Individualstockpricesmayfluctuatedrasticallyfromday‐to‐dayandmayunderperformotherassetclassesoveranextendedperiod.Individualcompaniesmayreportpoorresultsorbenegativelyaffectedbyindustryand/oreconomictrendsanddevelopmentsandthepricesofsecuritiesissuedbysuchcompaniesmaysufferadeclineinresponse.Thesepricemovementsmayresultfromfactorsaffectingindividualcompanies,industriesorthesecuritiesmarketasawhole.Investorperceptionsmayimpactthemarketandarebasedonvariousandunpredictablefactorsincludingexpectationsregardinggovernment,economic,monetaryandfiscalpolicies;inflationandinterestrates;economicexpansionorcontraction;andglobalorregionalpolitical,economicandbankingcrises.Ifyouholdcommonstocksofanygivenissuer,youwouldgenerallybeexposedtogreaterriskthanifyouholdpreferredstockordebtobligationsoftheissuerbecausecommonstockholdersgenerallyhaveinferiorrightstoreceivepaymentsfromissuersincomparisonwiththerightsofpreferredstockholders,bondholdersandothercreditorsofsuchissuers.InvestmentManagementRisk
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Wemayfailtoimplementtheinvestmentstrategiesand/ormeetanaccount’sinvestmentobjectives.LargeCompaniesRiskLargecompanystockriskistheriskthatstocksoflargercompaniesmayunderperformrelativetothoseofsmallandmid‐sizedcompanies.Larger,moreestablishedcompaniesmaybeunabletorespondquicklytonewcompetitivechallenges,suchaschangesintechnologyandconsumertastes.Manylargercompaniesmaynotbeabletoattainthehighgrowthrateofsuccessfulsmallercompanies,especiallyduringextendedperiodsofeconomicexpansion.SmallandMid‐SizedCompanyRiskInvestmentsinsmallerandmid‐sizecompaniesmaybespeculativeandvolatileandinvolvegreaterrisksthanarecustomarilyassociatedwithinvestmentsinlargercompanies.Manysmalltomid‐sizecompaniesaremorevulnerablethanlargercompaniestoadversebusinessoreconomicdevelopments.Securitiesofthesetypesofcompaniesmayhavelimitedliquidityandtheirpricesmaybemorevolatile.Theymayhavelimitedproductlines,marketsorfinancialresources.Newandimprovedproductsormethodsofdevelopmentmayhaveasubstantialimpactontheearningsandrevenuesofsuchcompanies.Anysuchpositiveornegativedevelopmentscouldhaveacorrespondingpositiveornegativeimpactonthevalueoftheirshares.ForeignSecuritiesandEmergingMarketsRiskForeignsecurities,includingADRs,GDRs,tendtobemorevolatileandlessliquidthanU.S.securities.Further,foreignsecuritiesmaybesubjecttoincreasedrisksduetodifferencesinthepolitical,social,andeconomicenvironmentabroad,aswellasduetodifferencesbetweenUnitedStatesandforeignregulatory,accounting,andauditingstandardsand,inthecaseofforeigncurrencydenominatedsecurities,fluctuationsincurrencyexchangerates.Theserisksareincreasedinemergingmarkets. Inaddition,foreignmarketscan,andoftendo,performdifferentlythanU.S.markets.Giventheglobalinterrelationshipsoftoday’seconomy,volatilityorthreatstostabilityofanysignificantcurrency,suchasoccurredintherecentpastwiththeEuropeanMonetaryUnion,orsignificantpoliticalinstability,mayaffectothermarketsandaffecttheriskofaninvestmentinaFund.Changesinforeigntaxlaws,exchangecontrols,investmentregulationsandpoliciesonnationalizationandexpropriationaswellaspoliticalinstabilitymayaffecttheoperationsofforeigncompaniesandthevalueoftheirsecuritiesEnvironmental,Social,andGovernancePolicyRiskESGpoliciescouldcauseanaccounttoperformdifferentlycomparedtosimilarportfoliosthatdonothavesuchpolicies.TheapplicationofESGstandardsmayaffectaportfolio’sexposuretocertainissuers,industries,sectors,andfactorsthatmayimpacttherelativefinancialperformanceoftheportfolio–positivelyornegatively–dependingonwhethersuchinvestmentareinoroutoffavor.
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Fixed‐IncomeRiskFixed‐IncomePortfoliosandfixed‐incomesecuritiesgenerallyhavefourmainareasofrisk:
•CreditorDefaultRisk.Anaccountmaylosemoneyifanissuerofabondisunableorunwillingtomaketimelyprincipaland/orinterestpaymentsortohonoritspaymentobligations.Further,whenanissuersuffersadversechangesinitsfinancialconditionorcreditrating,thepriceofitsdebtobligationsmaydeclineand/orexperiencegreatervolatility.Achangeinfinancialconditionorcreditratingofafixed‐incomesecuritycanalsoaffectitsliquidityandmakeitmoredifficultforanaccounttosell.•InterestRateRisk.Thevalueofabondmaydeclineduetoanincreaseintheabsolutelevelofinterestrates,orchangesinthespreadbetweentworates,theshapeoftheyieldcurveoranyotherinterestraterelationship.Longer‐termbondsaregenerallymoresensitivetointerestratechangesthanshorter‐termbonds.Generally,thelongertheaveragematurityofthebondsheldbyanaccount,themoretheaccount’svaluewillfluctuateinresponsetointerestratechanges.•PrepaymentRisk.Anaccountmayexperiencelosseswhenanissuerexercisesitsrighttopayprincipalonanobligationheldbytheaccountearlierthanexpected.Thismayhappenduringaperiodofdeclininginterestrates.Underthesecircumstances,theaccountmaybeunabletorecoupallofitsinitialinvestmentandwillsufferfromhavingtoreinvestinloweryieldingsecurities.Thelossofhigheryieldingsecuritiesandthereinvestmentatlowerinterestratescanreduceanaccount’sincome,totalreturn,andshareprice.Ratesofprepayment,fasterorslowerthanexpected,couldreduceanaccount’soverallyield,increasethevolatilityoftheaccountand/orcauseadeclineinvalue.•MunicipalSecuritiesRisk.Theyieldsofmunicipalsecuritiesmaymovedifferentlyandadverselycomparedtoyieldsoftheoveralldebtsecuritiesmarkets.Therecouldbechangesinapplicabletaxlawsortaxtreatmentsthatreduceoreliminatecurrentfederalincometaxexemptiononmunicipalsecuritiesandotherwiseadverselyaffectthecurrentfederalorstatetaxstatusofmunicipalsecurities.Suchchangesalsomayadverselyaffectthevalueofmunicipalsecuritiesownedbyanaccountand,asaresult,theoverallvalueoftheaccount.
CommunityInvestmentRiskPromissoryNotesIssuedbyLoanFundsandNon‐ProfitOrganizations
Promissorynotesissuedbyloanfundsandnon‐profitorganizationstypicallyinvolveanuncollateralizedanduninsuredpromisetopay.Theissuerisonlyobligatedtorepaytheprincipalatmaturitywithinterestpayableatstated
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times.ThepromissorynotesarenotsecuritiesregisteredwiththeSecuritiesandExchangeCommissionandratingagenciesdonotnormallyratethem.Theyareilliquid,donottradeonanopenmarketandarenotconsideredinvestmentgradesecurities.Theinterestratestheycarryaretypicallybelowmarketratesalthoughtheymaybecompetitivewithshort‐terminstruments.Accordingly,youshouldnotexpectthesepromissorynotestogeneratereturnsthatarecompetitivewithequitiesorotherlong‐termdebtinvestments.Trilliumwillpricethesenotesat“par,”theoriginalamountoftheloanmadetotheorganization.Trilliumdoesnotadjustthestatedvalueofthenotetoreflectrisk,durationandrelationshiptomarketinterestrates.Thismayover‐valuethenotesonyourTrilliumstatements.Accordingly,thevalueofyourportfoliousedtocalculatemanagementfeesincludesthesenotesatparormaturityandnotatafairmarketvalue,whichmaybelower.Trilliumbelievesthisisappropriatebecauseoftheeffortrequiredtolocate,screenandmonitorthenotesthatdonottradepublicly.
CertificatesofDepositIssuedbyDevelopmentBanksandCreditUnions
Developmentbanksandcreditunionsissuecertificatesofdeposit(“CDs”)thatarenotregisteredwiththeSecuritiesandExchangeCommission.CDsdonottradeonanopenmarketand,onceyouinvestinaCD,youusuallyholdituntilmaturity.InterestearnedonaCDwillbeamarketrateorbelowasdeterminedattheoutsetoftheinvestment.ACDmaybe“broken”orredeemedatanytime.However,theissuinginstitutionmaychargeapenaltyforsuchanearlywithdrawal.TheFederalDepositInsuranceCorporationoranotherinsurermayinsurecertainCDsforupto$250,000.TrilliumwillpricetheseCDsatfacevalueor“par,”theoriginalamountoftheinvestment.TrilliumdoesnotadjustthestatedvalueoftheCDtoreflectrisk,durationandrelationshiptomarketinterestrates.Thismayover‐valuetheCDsonyourTrilliumstatement.Accordingly,thevalueofyourportfoliousedtocalculatemanagementfeesincludestheseCDsatfacevalue,notatafairmarketvalue,whichmaybelower.
PotentialConflictofInterest
AspartofTrillium’ssocialcommitment,representativesofTrilliumoftensitontheBoardsofDirectorsofnon‐profitsandothermissionrelatedorganizations.TrilliumalsopermitsanemployeetoserveonotherBoardsofDirectors.Trilliumwillinformaclientofanysuchrelationship,ifrelevant,beforeinvestingtheclient’sassetsininstrumentsissuedbyanorganizationorcompanythathasaTrilliumrepresentativeonitsBoard.
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Item9–DisciplinaryInformationRegisteredinvestmentadvisersarerequiredtodiscloseallmaterialfactsregardinganylegalordisciplinaryeventsthatwouldbematerialtoyourevaluationofTrilliumortheintegrityofTrillium’smanagement.NeitherTrillium,noritspersonnel,hasanydisciplinary,administrative,regulatory,criminal,civilorotherwisereportablehistorytodisclose.
Item10–OtherFinancialIndustryActivitiesandAffiliationsCertainclientsreceiveinformationfromTrillium'sAdvocacyteamthatidentifiesthepoliciesandpracticesofcorporatemanagementsconcerningsuch issuesasemploymentpolicies,environmental policies, investment in third world countries, product quality and type,minorityownershipandmanagementparticipation,women inmanagement,orcharitablegifting.Trilliumprocuresinformationfromnon‐profitresearchentities,publicinformationprovided by companies, for‐profit independent research, print or other media,questionnairesanddirectresearchintocompanies.AffiliationsTrilliumImpactGP,LLCisanaffiliateofTrilliumandisthegeneralpartnertothePrivateFund.SomeTrilliumclients(whoare“accreditedinvestors”withinthemeaningoftheU.S.SecuritiesActof1933,asamended,and“qualifiedclients”withinthemeaningofRule205‐3undertheInvestmentAdvisersActof1940,asamended)areinvestedinthePrivateFund.ThegeneralpartnerappointedTrilliumtoprovideinvestmentmanagementservicestothePrivateFund.ClientsinvestinginOrganizationswhereTrilliumemployeeisontheboardAspartofTrillium’smission,itencouragesitsemployeestoparticipateinandsupportcommunity‐basedactivities.Asaresult,fromtimetotime,anemployeeofTrilliumsitsontheboardand/orakeydecisionmakingcommitteeofanon‐profitand/oracommunitydevelopmenttypeorganizationinwhichaclienthasmadeaninvestment.TrilliummanagingpartnerandCEOMatthewPatskyisamemberoftheboardofdirectorsofSharedInterest,anorganizationthatTrilliumhasinvestedassetsinonbehalfofcertainclients.Mr.PatskywillabstainfromanyvotesoftheBoardofSharedInterestthatdirectlyandspecificallyrelatetoaninvestmentofaclientofTrillium.ItisusuallySharedInterest’spracticetopoolfundsreceivedfromsupporters.TrilliumdoesnotconsiderthatdecisionsmadebytheBoardofSharedInterestconcerningtheoverallmanagementoftheorganizationdirectlyimpactinvestmentsorloansofanyTrilliumclient’sinvestment.OrganizationsutilizingTrilliumasanInvestmentManagerwhereaTrilliumemployeeisontheboard
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Certainnon‐profitclientshavesoughttheexpertiseandexperienceofTrilliumemployeesfortheirBoardsorstandingcommittees.TrilliummanagingpartnerandCEOMatthewW.PatskyservesontheBoardoftheEnvironmentalLeagueofMassachusetts(ELM).ELMisaninvestmentmanagementclientofTrillium.Mr.PatskywillabstainfromanyvotesoftheBoardofELMrelatedtoitscontractwithTrilliumforinvestmentmanagementservices. Item11–CodeofEthicsTrilliumadoptedaCodeofEthics("theCode")tosetcertainguidelinesrequiringallemployeestoactinaccordancewiththeirfiduciarydutytoTrillium'sclientsandtocomplywithapplicablelawsandregulations.TheCoderequiresthatemployeesconductthemselveswithhighethicalstandardsbasedonintegrity,honestyandtrust.TheCodeprohibitstransactionsthatbenefittheemployeesattheexpenseofanyclient.Employeesmustpre‐clear(1)personaltradesgreaterthan$5,000incoveredsecuritieswithmarketcapitalizationsupto$4billion,(2)personaltradesgreaterthan$100,000incoveredsecuritieswithmarketcapitalizationsover$4billionand(3)anytransactioninvolvingalimitedofferingorinitialpublicoffering.Certainemployeetradesaresubjecttoblackoutperiods.Certainsecurities,suchasU.S.governmentobligations,bonds,mutualfundsandexchange‐tradedderivativesarenotsubjecttothepersonaltraderestrictionsandpre‐clearancerequirements.Allemployeesandpartnersaswellasdirectors,whohaveaccesstocertainnonpublicinformationorprovideinvestmentadvisoryservicestoclients,mustacknowledgethetermsoftheCodeofEthicsannually,orasamended.Trilliumanticipatesthat,inappropriatecircumstances,consistentwithclients’investmentobjectives,itwillcauseaccountsoverwhichTrilliumhasmanagementauthoritytoeffect,andwillrecommendtoinvestmentadvisoryclientsorprospectiveclients,thepurchaseorsaleofsecuritiesinwhichTrillium,itsaffiliatesand/orclients,directlyorindirectly,haveapositionofinterest.Trillium’semployeesandpersonsassociatedwithTrilliumarerequiredtofollowTrillium’sCodeofEthics.Subjecttosatisfyingthispolicyandapplicablelaws,officers,directors,managingpartnersandemployeesofTrilliumanditsaffiliatesarepermittedtotradefortheirownaccountsinsecuritiesthatTrilliumrecommendstoand/orpurchasesforclients.TheCodeofEthicsisdesignedtoassurethatthepersonalsecuritiestransactions,activitiesandinterestsoftheemployeesofTrilliumwillnotinterferewith(i)makingdecisionsinthebestinterestofadvisoryclientsand(ii)implementingsuchdecisionswhile,atthesametime,allowingemployeestoinvestfortheirownaccounts.TheCodedesignatescertainclassesofsecuritiesasexempttransactions,baseduponadeterminationthatthesewouldnotinterferemateriallywiththebestinterestofTrillium’sclients.Inaddition,theCoderequirespre‐clearanceofmanytransactions,andrestrictstradingincloseproximitytoclienttradingactivity.Nonetheless,becausetheCodeofEthicsinsomecircumstanceswouldpermitemployeestoinvestinthesamesecuritiesasclients,thereisapossibilitythatemployeesmightbenefitfrommarketactivitybyaclientinasecurityheldbyanemployee.TrilliumregularlymonitorsemployeetradingundertheCodeofEthicstotrytopreventconflictsofinterestbetweenTrilliumanditsclients.
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Trillium’sclientsorprospectiveclientscanrequestacopyofthefirm'sCodeofEthicsbycontactingus.ItisTrillium’spolicythatthefirmwillnoteffectanyprincipaloragencycrosssecuritiestransactionsforclientaccounts.Trilliumwillalsonotcrosstradesbetweenclientaccounts.Principaltransactionsaregenerallydefinedastransactionswhereanadviser,actingasprincipalforitsownaccountortheaccountofanaffiliatedbroker‐dealer,buysfromorellsanysecuritytoanyadvisoryclient.Anagencycrosstransactionisdefinedasatransactionwhereapersonactsasaninvestmentadviserinrelationtoatransactioninwhichtheinvestmentadviser,oranypersoncontrolledbyorundercommoncontrolwiththeinvestmentadviser,actsasbrokerforboththeadvisoryclientandforanotherpersonontheothersideofthetransaction.Agencycrosstransactionsmayarisewhereanadviserisduallyregisteredasabroker‐dealerorhasanaffiliatedbroker‐dealer.
Item12–BrokeragePracticesTradeexecutionandBrokerageAllocationItisthepolicyofTrillium’sTradingDepartmenttoseektoobtainbestexecutionofalltransactions.WhileTrilliumendeavorstoobtainthebestcombinationofpriceandexecutionforitsclients,“bestexecution”doesnotnecessarilymeanthattheclientwillpaythelowestcommissionorspread.ClientswhochoosetouseretailbrokerspaythecommissionratetheynegotiatewiththatparticularbrokerandadviseTrilliumbymeansofaselectionintheInvestmentManagementAgreementofthatdecision.Trilliumhasfulldiscretionoverthesecuritiesandamountofsecuritiestradedinaclientaccount,subjecttoanylimitationsorguidelinescontainedintheadvisoryagreement.Trilliumseekscompetitivelypricedbrokerageserviceswherethebroker‐dealerprovidesvalue‐added,company‐specificandthematicinvestmentresearch,includingmeetingswithmanagementandconferences.Inaddition,factorsconsideredbyTrilliumintheselectionofbrokersandtheplacementoftradesincludetheliquidityofthemarketforthesecuritiestraded,promptnessofexecution,financialstabilityofthebroker‐dealer;efficiencyinhandlingandsettlingtrades;abilitytohandletheproposedblocktrade,andqualityofsettlement.ResearchandSoftDollarBenefitsSubjecttoSection28(e)oftheExchangeAct,Trilliumobtainsservicesrelevanttoitsinvestmentdecision‐makingprocessfromfull‐servicebroker‐dealersusingclientcommissions.Suchservicesincludeeconomicresearch,companyandindustryresearch,andotherbrokerservices.TrilliumbenefitsfromtheuseofclientcommissionsbecauseTrilliumdoesnothavetoproduceorpayfortheresearchandservices.Subjecttoitsobligationtoseekbestexecution,Trilliumdirectstradesthroughsuchbrokersinordertoobtaintheservices.Trilliumhasanincentivetoselectorrecommendabroker‐dealerbasedonitsinterestinreceivingtheresearchorservices,ratherthanon
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clients’interestinreceivingmostfavorableexecution.Trilliumdirectstradestobrokersbasedonitsinvestmentteam’sevaluationofthebrokers’servicesandexecutionability.Researchbenefitsarenotlimitedtothoseclientswhohavegeneratedaparticularcommissionalthoughcertaincommissionallocationsconnecttoparticularclientsorgroupsofclients.Trillium,doesnotproportionallyallocateresearchbenefitstoanyaccountsthatgeneratedifferentamountsofthecommissionallocation.SuchresearchbenefitsallofTrillium’sclients,althoughitispossiblethataclientwillpayahighercommissionthanthatobtainablefrombrokerswhoprovideonlyexecution.Trilliumdidnotdirectclientcommissionstosoftdollarcreditsin2019.DirectedBrokerage/CustodyTrilliumbelievesthatbestexecutionstartswithclientselectionofacompetitivediscountbrokerascustodianoftheaccountassets.Themajorityofclientsprefertohaveassetsheldincustodywithbroker‐dealers.Trilliumdisclosestoallclientsthatclientsmayachievelowertransactioncostsbyselectingdiscountbrokers,buttheindividualclienthasthefinalchoice.ItisthepolicyofTrilliumtodealwithestablishedreputablebrokeragefirms.Trilliumdoesnotmaintaincustodyofyourassetsalthoughwearedeemedtohavecustodyofyourassetsifyougiveusauthoritytowithdrawassetsfromyouraccount(seeItem15–Custody,below).Yourassetsmustbemaintainedinanaccountata“qualifiedcustodian,”generallyabroker‐dealerorbank.WerecommendthatourclientsuseCharlesSchwab&Co.,Inc.("Schwab"),aregisteredbroker‐dealer,memberSIPC,qualifiedcustodian.TrilliumisindependentlyownedandoperatedandisnotanaffiliateofSchwab.Schwabwillholdyourassetsinabrokerageaccount,andbuyandsellsecuritieswhenweinstructthemto.WhilewerecommendthatyouuseSchwabascustodian,youwilldecidewhethertodosoandwillopenyouraccountwithSchwabbyenteringintoanaccountagreementdirectlywiththem.Wedonotopentheaccountforyou,althoughwewillassistyouindoingso.Notalladvisersrecommendorrequiretheirclientstodirectbrokerageorcustodyservices.EventhoughyouraccountismaintainedatSchwab,wecanstilluseotherbrokerstoexecutetradesforyouraccount.SchwabprovidesTrilliumwithaccesstoitsinstitutionaltradingandcustodyservicesthataretypicallynotavailabletoSchwabretailinvestors.Theseservicesgenerallyareavailabletoindependentinvestmentadvisorsonanunsolicitedbasis,atnochargetothemifaminimumof$10millionoftheadvisor'sclientassetsareinaccountsatSchwabAdvisorServices.Someofthoseserviceshelpusmanageoradministerourclient’accounts,whileotherhelpusmanageandgrowourbusiness.ForTrillium'sclientaccountsmaintainedinitscustody,Schwabgenerallydoesnotchargeseparatelyforcustodyservicesbutreceivescompensationfromaccountholdersthroughcommissionsandothertransaction‐relatedorasset‐basedfeesforsecuritiestradesexecutedthroughSchwaborthatsettleintoSchwabaccounts.
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InevaluatingwhethertorecommendthatclientscustodytheirassetsatSchwab,TrilliumtakesintoaccounttheavailabilityofproductsandservicesandotherarrangementswithSchwabaspartofthetotalmixoffactorsitconsiders,anddoesnotconsidersolelythenature,costorqualityofcustodyandbrokerageservicesprovidedbySchwab.ThiscreatesapotentialconflictofinterestbecauseTrilliummaynotbeabletoachievemostfavorableexecutionofclienttransactions,andthiswouldcostclientsmoremoney.ClientDirectedCustody/BrokerageWhenaclientinstructsTrilliumtodirectsecuritiestransactionstoaparticularbrokeragefirm,theclientshouldnotethatsuchdirectedbrokeragemightresultinsuchclientpayinghighercommissionsthanwouldbethecaseifTrilliumwereabletoselectbrokersfreely.DirectedbrokerageinmanycaseslimitsTrillium’sabilitytonegotiatecommissionsfortheclientanditsabilitytoaggregateordersandresultsinaninabilitytoobtainvolumediscountsorbestexecutionfortheclientinsometransactions.ThehighercostassociatedwithadirectedbrokeragearrangementwillbedisclosedtotherelevantclientpromptlyafterthetimeabrokerisdesignatedandthebrokeradvisesTrilliumofitscommissionrates.Trilliumincludessimilardisclosureinthemanagementcontractsofitsclientswithdirectedbrokerage.Additionally,someclientschoosingdirectedbrokeragewillhavetradesexecutedafterthosewhereTrilliumhasfulldiscretionoverbrokerselection.TradeAllocationandAggregationTrilliumshallaggregateorblockequitytradesforaclientwheneverappropriatewiththetradesinthesamesecuritysubmittedforotherTrilliumclients.Trilliumreceivesexecutionsfrombrokerseitherelectronically,orbyphoneorfax,andenterssuchintoTrillium’stradingsystem.Trilliumallocatesfilledordersaccordingtodetailprovidedbytheportfoliomanager(s).Thetradersonaproratabasisallocatepartiallyfilledordersusingthetradingsystemsoftware.Thetradingsystemapportionstradesinaccordancewiththepercentageofanygivenaccountintheoverallblock.ItisofparamountimportancetoTrilliumthatnooneclientorgroupofclientshasanadvantageover,orisatadisadvantageto,anyotherclients(s).Whenclientequitytransactionsarenotsubjecttoblocktrades(forexample,becauseaclientdoesnotwanttoblockitstrades),thetraderswillexecutesuchordersimmediatelyinthesequenceinwhichtheyareenteredintothesystemasapprovedtradesbyportfoliomanagers.Trillium’stradersorindividualinvestmentmanagers(fortheirrespectiveclientaccounts)mayexecutefixed‐incometrades.Investmentmanagersattempttoblockbondtransactionsforsimilaraccountsandsimilarpurchaseparameters,andseektoprioritizetransactionsinafairandequitablemannersoasnottogiveadvantageovertimetoanyoneclientorgroupofclients.TradeRotationPolicyTrillium’spolicyistoprovideafairandequitablemethodoftraderotationinplacingtradesforclients’accounts.Generally,Trilliumrotatesaccountsonaquarterlybasisorwhentheequitystrategiesarerebalanced.Wealternatetradingintwogroups:1)modeldeliveredportfoliosand2)directtradedonmodelaccounts.Withinthesetwogroups,we
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alsohaveaninternalrotation.Off‐modelaccountsaretradedafterthesegroups.Trilliumdoesnottakeresponsibilityforensuringtradingofmodelportfolioswherewedonotreceivecommunicationoncompletion,althoughwewilluploadthemodelsaccordingtotherotation.
Item13–ReviewofAccountsTrillium’sportfolioandinvestmentmanagers(managers)periodicallyreviewallaccountsforwhichtheyareresponsible.Thereviewtypicallyincludesinvestmentpolicyguidelines,clientcircumstancesandaccountobjectives.Themanagersoftenreviewaccountswhenmeetingortalkingwithclientsoriftheaccountcircumstancestriggeranadditionalreview.Eachinvestmentmanagerwillmanageapproximately200separatelymanagedaccountrelationships.Trilliumoftenmanagesandreviewsadvisorrelationships,familyaccountsorsinglebeneficiariesofmultipletrustsasawhole.Trilliumprovideswrittenquarterlyreportstoseparatelymanagedaccountsthatincludeasummaryofaccountholdingsandinvestmentperformance.Specialappraisalsandadditionalaccountreportinginformationareavailabletoclientsuponrequest.Clientshavetheoptiontoreceivequarterlyreportsoranyaccountinformationelectronically.TrilliumESGGlobalEquityFundandTrilliumESGSmallMid/CapFundTrilliummonitorstheholdingsoftheFundsdailytoensurecompliancewithdiversificationpoliciesandtodeterminewhetherinvestmentchangesshouldbemade.TrilliumprovidesinvestmentandperformancereportsfortheFundstotheBoardofTrusteesquarterly.ShareholdersintheFundreceiveprospectuses,supplements,annualreports,andsemi‐annualreports.Thesereportsdiscusseconomicoutlook,portfoliopositions,assetallocation,changesinportfoliovalue,andinvestmentreturns.Inaddition,theFunds’annualreportdiscussesmarketconditionsandinvestmentstrategiesthatsignificantlyaffectedtheFund'sperformanceduringthepreviousfiscalyear.PrivateFundThePortfolioManagerandinvestmentmanagersperiodicallyreviewthePrivateFundanditsunderlyinginvestments.Thereviewincludesinvestmentguidelinesassetforthinthefunddocumentsandinvestmentobjectives.Item14–ClientReferralsandOtherCompensationTrilliumhasanarrangementwithWilson&BrowningFinancialServices,Inc.TrilliumpaysaportionofadvisoryfeestoWilson&BrowningFinancialServices,Inc.forclientsreferredbythefirm.Trilliumisapartytovariouswrapfeearrangements.PleaseseedisclosurerelatingtoItem4andItem5above.
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WereceiveaneconomicbenefitfromSchwabintheformofthesupportproductsandservicesavailabletousandotherindependentinvestmentadvisorswhoseclientsmaintaintheiraccountsatSchwab.Theseproductsandservices,howtheybenefitus,andtherelatedconflictsofinterestaredescribedinItem12above.
Item15–CustodyUndergovernmentregulations,wearedeemedtohavecustodyofyourassets,if,forexample,youauthorizeustoinstructyourcustodiantodeductouradvisoryfeesdirectlyfromyouraccountorifyougrantusauthoritytomoveyourmoneytoanotherperson’saccount.Schwaborthecustodianofyourchoicemaintainsactualcustodyofyourassets.Youwillreceiveatleastquarterlyaccountstatementsfromthebrokerdealer,bankorotherqualifiedcustodianthatholdsandmaintainsclient’sinvestmentassets.Youshouldcarefullyreviewthosestatementspromptlywhenyoureceivethem.Wealsourgeyoutocomparesuchofficialcustodialrecordswiththeperiodicaccountstatementsandportfolioreportsyouwillreceivefromus.Ourstatementswillsometimesvaryfromcustodialstatementsbasedonaccountingprocedures,reportingdatesorvaluationmethodologiesofcertainsecurities.PrivateFundTheGeneralPartnerhascustodyofclientassetbecauseitservesasgeneralpartnerofthePrivateFund.Anindependentthird‐partycustodianholdstheassetsofthePrivateFundbyregisteringtheownershipofeachunderlyingfundinwhichthePrivateFundinvestswiththecustodianforthebenefitoftheFund.Item16–InvestmentDiscretionUnlessotherwiseagreedinwritingwiththeclient,theclientgrantsTrilliumdiscretionaryauthorityattheoutsetofanadvisoryrelationshiptoselecttheidentityandamountofsecuritiestobuyorsell.Inallcases,however,Trilliumexercisessuchdiscretioninamannerconsistentwiththestatedinvestmentobjectivesfortheparticularclientaccount.Whenselectingsecuritiesanddeterminingamounts,Trilliumobservestheinvestmentpolicies,limitationsandrestrictionsoftheclientsforwhichitadvises.Forregisteredinvestmentcompanies,certainfederalsecuritiesandtaxlaws,thatrequirediversificationofinvestmentsandfavortheholdingofinvestmentsoncemade,maylimitTrillium’sauthoritytotradesecurities.ClientsmustprovideinvestmentguidelinesandrestrictionstoTrilliuminwriting.Inverylimitedinstances,Trilliumwilltakedirectionfromaclienttobuyorsellaparticularsecurity,ortorefrainfromdoingso.
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Trilliummaymaintainasmallpositioninasecurityinaclient’saccountinordertopursueadvocacyonenvironmental,social,orgovernanceissues.Asaresult,theinvestmentperformanceoftheseclientaccountsmaydifferfromtheinvestmentperformanceofotherclientaccountsthatdonotholdsuchpositions.
Item17–VotingClientSecuritiesOurpolicyistoseektovoteourclients’proxiesinaccordancewithboththeirfinancialinterestandtheirvalues.Trillium’sProxyPolicyCommitteerefinesourproxyvotingpolicyonanannualbasis.Whilethespecificdetailsofthepolicywillchangeinaccordancewithcurrentandupcomingissues,Trilliumbasestheunderlyingdecisionsonthebeliefthatproxy‐votingdecisionsmustincorporateenvironmental,socialandgovernanceconsiderations.Trilliumdoesnotborroworlendsharesfortheprimarypurposeofvotingthem.TrilliumseekstoidentifyanyconflictsofinterestsinvotingproxiesincludingidentifyinganyFundsaffiliateofapubliccompanyinwhichtheFundsinvest.AnysuchconflictswillbereviewedbytheDirectorofAdvocacyoraManagingPartnertodeterminehowtomitigatetheconflict.TheconflictwillbereportedtoaManagingPartnerortheCCOtodetermineiftheFundsneedtobenotified.IfthereisaconflictofinterestbetweenTrilliumandaclientorFundinrespecttovotingaproxy,Trilliumwillvotedirectlyinlinewiththeproxyvotingpolicy.TheDirectorofAdvocacyhasprimaryresponsibilityforcoordinatingthevotingofclientandFundsproxies.Trilliumengagesathird‐partyprovidertoassistwiththeadministrationofproxyvoting.TrilliumusuallyvotesproxiesonbehalfofclientsalthoughanindividualclientmaydirecttheirproxyvotesbycontactingTrilliumormayretaintherighttovoteallproxiesfortheiraccount.ClientsmayrequestacopyofhowTrilliumvotedtheproxiesfortheiraccountbycontactingusat617‐423‐6655.AcopyofTrillium'sProxyVotingPolicyisavailableonTrillium’swebsitewww.trilliuminvest.comoruponrequestbycalling617‐423‐6655.
Item18–FinancialInformationRegisteredinvestmentadvisersarerequiredinthisItemtoprovideyouwithcertainfinancialinformationordisclosuresabouttheirfinancialcondition.TrilliumAssetManagement,LLChasnofinancialcommitmentthatimpairsitsabilitytomeetcontractualandfiduciarycommitmentstoclients,andhasnotbeenthesubjectofabankruptcyproceeding.
Trilliumdoesnotrequireprepaymentoffeessixmonthsormoreinadvance.Accordingly,itisnotrequiredtoprovideabalancesheetpursuanttothisItem18.
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OTHERINFORMATION‐SummaryofPrivacyPolicy
Maintainingtheconfidentialityofthepersonalinformationofourcurrentandprospectivecustomers isoneofTrilliumAssetManagementLLC’shighestpriorities. Trilliumcollectspersonalinformationfromyouinordertoofferorprovideyouwithproductsorservices,processtransactionsonyourbehalfandcomplywithlegalandregulatoryrequirements.
Wedonot,anddonot intendto,sellordistributepersonal informationaboutcurrentorformercustomerstononaffiliatedthirdpartiesexceptasset forthbelow. Weshareyourpersonalinformationasfollows:
a. Wewillrevealorshareyourpersonalinformationwherethelawrequiresit,suchasfortaxreportingpurposesorpursuanttoacourtorder.
b. Weshareyourpersonalinformationwithouraffiliatedprivatefundgeneralpartner in order to offer investment opportunities or to provide servicesrelatedtoyourinvestmentintheprivatefund.
c. We reveal or share your personal information with unaffiliated serviceproviders such as brokers, fund administrators, custodians and transferagentsinconnectionwithprocessingtransactionsforyouraccount.Trilliumprovidesyourpersonalinformationtoattorneys,accountantsorauditorsinordertoenableustoproviderequestedservicestoyouandtocomplywithlegalandregulatoryrequirements.
Ouremployeesperiodicallyhaveaccesstoyourpersonal information inordertoprovideservices toyou. Werestrictaccess tonon‐publicpersonal financial information to thoseemployeeswhoneedtoknowthatinformationinordertoprovideyouwithproductsandservices.AllemployeesaresubjecttothetermsofourCompany’scompliancemanual,whichrequiresemployees to treatconfidentiallyall informationobtained fromoraboutyouoryour account. We alsomaintain certain physical, electronic and procedural safeguardsdesignedtoprotectnonpublicpersonalfinancialinformation.
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BROCHURESUPPLEMENTS
TrilliumAssetManagement,LLC 60SouthStreet,Suite1100
Boston,MA02111
www.trilliuminvest.com
March30,2020
ThisBrochureprovidesinformationaboutthequalificationsandbusinesspracticesofTrilliumAssetManagement,LLC(“Trillium”or“Adviser”).IfyouhaveanyquestionsaboutthecontentsofthisBrochure,pleasecontactusat(617)423‐6655.TheinformationinthisBrochurehasnotbeenapprovedorverifiedbytheUnitedStatesSecuritiesandExchangeCommissionorbyanystatesecuritiesauthority.
TrilliumAssetManagement,LLCisaregisteredinvestmentadviser.RegistrationofanInvestmentAdviserdoesnotimplyanylevelofskillortraining.TheoralandwrittencommunicationsofanAdviserprovideyouwithinformationwithwhichyoudeterminetohireorretainanAdviser.
AdditionalinformationaboutTrilliumAssetManagement,LLCalsoisavailableontheSEC’swebsiteatwww.adviserinfo.sec.gov.
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Item1‐CoverPage
SadaGeussTrilliumAssetManagement,LLC60SouthStreet,Suite1100Boston,MA02111(617)423‐6655March30,2020
ThisBrochureSupplementprovidesinformationaboutSadaGeussthatsupplementstheTrilliumAssetManagement,LLCBrochure.YoushouldhavereceivedacopyofthatBrochure.PleasecontactMichelleMcDonough,ManagingPartnerat(617)423‐6655ormmcdonough@trilliuminvest.comifyoudidnotreceiveTrilliumAssetManagement,LLC’sBrochureorifyouhaveanyquestionsaboutthecontentsofthissupplement.
Item2‐EducationalBackgroundandBusinessExperience
Ms.SadaGeussjoinedTrilliumin2015andservesasaninvestmentmanager.ShewasbornonAugust14,1978.Ms.GeussgraduatedfromtheStateUniversityofNewYorkCollegeofEnvironmentalScienceandForestrywithabachelor’sdegreeinEnvironmentalStudies,withaconcentrationinPolicyandManagementin2000.BeforejoiningTrillium,Ms.GeusswasaninvestmentanalystatDeutscheBankwhereshespentovertenyearsprovidinginvestmentadvisoryservicestoindividual,familyofficeandinstitutionalclients.Ms.GeussholdstheAccreditedInvestmentFiduciary(AIF)designation.TheAIFcertificationprocess,administeredbyFi360,providesdesigneeswithfiduciarytraining,includingpertinentlegislationandbestpractices,allowingthemtoassistothersintheimplementationofproperpoliciesandprocedures. Item3‐DisciplinaryInformation
Registeredinvestmentadvisersarerequiredtodiscloseallmaterialfactsregardinganylegalordisciplinaryeventsthatwouldbematerialtoyourevaluationofeachsupervisedpersonprovidinginvestmentadvice.NoinformationisapplicabletothisItem.
Item4‐OtherBusinessActivities
Registeredinvestmentadvisersarerequiredtodiscloseifanysupervisedpersonisactivelyengagedinanyinvestment‐relatedbusinessoroccupationandanyrelationshipbetween
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theadvisorybusinessandthoseotherbusinesses.NoinformationisapplicabletothisItem.
Item5‐AdditionalCompensation
Registeredinvestmentadvisersarerequiredtodiscloseifanysupervisedpersonreceivesaneconomicbenefitforprovidingadvisoryservices.NoinformationisapplicabletothisItem.
Item6‐Supervision
Ms.MichelleMcDonough,ManagingPartner, is responsible for themonitoring of advicegiventoclients. YoumaycontactMs.McDonoughat(617)423‐6655withanyquestionsrelatedtothesupervisionofMs.Geuss._________________________________________________________________________________________________________
Item1‐CoverPage
PaulHilton
TrilliumAssetManagement,LLC60SouthStreet,Suite1100Boston,MA02111(617)423‐6655March30,2020
ThisBrochureSupplementprovidesinformationaboutPaulHiltonthatsupplementstheTrilliumAssetManagement,LLCBrochure.YoushouldhavereceivedacopyofthatBrochure.PleasecontactMichelleMcDonough,ManagingPartnerat(617)423‐6655ormmcdonough@trilliuminvest.comifyoudidnotreceiveTrilliumAssetManagement,LLC’sBrochureorifyouhaveanyquestionsaboutthecontentsofthissupplement.
Item2‐EducationalBackgroundandBusinessExperience
Mr.PaulHiltonjoinedTrilliuminJune2011andservesasapartnerandaninvestmentmanager.HewasbornonFebruary4,1972.Mr.HiltongraduatedfromSyracuseUniversityin1993withaBAdegreeinNonviolentConflictandChange.HealsoreceivedaMastersdegreeinCulturalAnthropologyfromNewYorkUniversityin1995andaMasterofEducationdegreefromRobertsWesleyanCollegein2003.Mr.HiltonchairstheboardofUSSIF.BeforeTrilliumMr.HiltonworkedatCalvertInvestments,mostrecentlyasVicePresident,SustainableInvestmentBusinessStrategy,aroleheassumedinJanuary2010.Heheldthe
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positionofDirector,AdvancedEquitiesResearchfromMay2007toJanuary2010andthepositionofDirector,SRIMarketingfromAugust2005toMay2007.Mr.HiltonholdstheCharteredFinancialAnalystdesignation.CharteredFinancialAnalystisadesignationissuedbytheCFAinstitute.ToearnaCFAcharter,acandidatemusthavefouryearsofqualifiedinvestmentworkexperience,passthreeCFAProgramexamlevelsandadheretotheCFAInstituteCodeofEthicsandStandardsofProfessionalConduct. Item3‐DisciplinaryInformation
Registeredinvestmentadvisersarerequiredtodiscloseallmaterialfactsregardinganylegalordisciplinaryeventsthatwouldbematerialtoyourevaluationofeachsupervisedpersonprovidinginvestmentadvice.NoinformationisapplicabletothisItem.
Item4‐OtherBusinessActivities
Registeredinvestmentadvisersarerequiredtodiscloseifanysupervisedpersonisactivelyengagedinanyinvestment‐relatedbusinessoroccupationandanyrelationshipbetweentheadvisorybusinessandthoseotherbusinesses.NoinformationisapplicabletothisItem.
Item5‐AdditionalCompensation
Registeredinvestmentadvisersarerequiredtodiscloseifanysupervisedpersonreceivesaneconomicbenefitforprovidingadvisoryservices.NoinformationisapplicabletothisItem.
Item6‐Supervision
Mr.JohnQuealy istheChiefInvestmentOfficerofTrilliumAssetManagement,LLCand isresponsible for themonitoringofadvicegiven toclients. YoumaycontactMr.Quealyat(617)423‐6655withanyquestionsrelatedtothesupervisionofMr.Hilton._________________________________________________________________________________________________________
Item1‐CoverPage
AlexanderJovanovic
TrilliumAssetManagement,LLC60SouthStreet,Suite1100Boston,MA02111(617)423‐6655March30,2020
5
ThisBrochureSupplementprovidesinformationaboutAlexanderJovanovicthatsupplementstheTrilliumAssetManagement,LLCBrochure.YoushouldhavereceivedacopyofthatBrochure.PleasecontactMichelleMcDonough,ManagingPartnerat(617)423‐6655ormmcdonough@trilliuminvest.comifyoudidnotreceiveTrilliumAssetManagement,LLC’sBrochureorifyouhaveanyquestionsaboutthecontentsofthissupplement.
Item2‐EducationalBackgroundandBusinessExperience
Mr.AlexanderJovanovicjoinedTrilliumin2013andservesasaninvestmentmanager.HewasbornonMay1,1982.Mr.JovanovicgraduatedfromTuftsUniversity,withaBachelor’sdegreeinInternationalRelationsandEconomicsin2004.BeforejoiningTrillium,Mr.JovanovicwasaVicePresidentandClientRelationshipManageratBostonCommonAssetManagement,LLC,aninvestmentmanagerandleaderinglobalsustainabilityinitiativesspecializinginlong‐onlyequityandbalancedstrategies.HewaswithBostonCommonAssetManagement,LLCfornineyears.Mr.JovanovicholdstheCertifiedFinancialPlanner(CFP)designation.TheCFPcertificationprocess,administeredbyCFPBoard,identifiesindividualswhohavemetrigorousprofessionalstandardsandhaveagreedtoadheretotheprinciplesofintegrity,objectivity,competence,fairness,confidentiality,professionalismanddiligencewhendealingwithclients. Item3‐DisciplinaryInformation
Registeredinvestmentadvisersarerequiredtodiscloseallmaterialfactsregardinganylegalordisciplinaryeventsthatwouldbematerialtoyourevaluationofeachsupervisedpersonprovidinginvestmentadvice.NoinformationisapplicabletothisItem.
Item4‐OtherBusinessActivities
Registeredinvestmentadvisersarerequiredtodiscloseifanysupervisedpersonisactivelyengagedinanyinvestment‐relatedbusinessoroccupationandanyrelationshipbetweentheadvisorybusinessandthoseotherbusinesses.NoinformationisapplicabletothisItem.
Item5‐AdditionalCompensation
Registeredinvestmentadvisersarerequiredtodiscloseifanysupervisedpersonreceivesaneconomicbenefitforprovidingadvisoryservices.NoinformationisapplicabletothisItem.
Item6‐Supervision
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Ms.MichelleMcDonough,ManagingPartner, is responsible for themonitoring of advicegiventoclients. YoumaycontactMs.McDonoughat(617)423‐6655withanyquestionsrelatedtothesupervisionofMr.Jovanovic._________________________________________________________________________________________________________
Item1‐CoverPage
WilliamLana
TrilliumAssetManagement,LLC60SouthStreet,Suite1100Boston,MA02111(617)423‐6655March30,2020
ThisBrochureSupplementprovidesinformationaboutWilliamLanathatsupplementstheTrilliumAssetManagement,LLCBrochure.YoushouldhavereceivedacopyofthatBrochure.PleasecontactMichelleMcDonough,ManagingPartnerat(617)423‐6655ormmcdonough@trilliuminvest.comifyoudidnotreceiveTrilliumAssetManagement,LLC’sBrochureorifyouhaveanyquestionsaboutthecontentsofthissupplement.
Item2‐EducationalBackgroundandBusinessExperience
Mr.WilliamLanajoinedTrilliumin2008andservesasapartnerandaninvestmentmanager.HewasbornonJuly26,1980.Mr.LanagraduatedfromtheUniversityofCalifornia,LosAngeles,withaBachelor’sdegreeinCommunicationStudiesin2002andfromtheUniversityofWashingtonwithaMaster’sDegreeofBusinessin2008.BeforejoiningTrillium,Mr.LanawasaninvestmentresearchandplanningassociateatJourneyTreeFinancialPlanningandInvestments,asociallyresponsibleboutiqueinvestmentfirm.Mr.LanaisaCFAcharterholder.CharteredFinancialAnalystisadesignationissuedbytheCFAinstitute.ToearnaCFAcharter,acandidatemusthavefouryearsofqualifiedinvestmentworkexperience,passthreeCFAProgramexamlevelsandadheretotheCFAInstituteCodeofEthicsandStandardsofProfessionalConduct. Item3‐DisciplinaryInformation
Registeredinvestmentadvisersarerequiredtodiscloseallmaterialfactsregardinganylegalordisciplinaryeventsthatwouldbematerialtoyourevaluationofeachsupervisedpersonprovidinginvestmentadvice.NoinformationisapplicabletothisItem.
Item4‐OtherBusinessActivities
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Registeredinvestmentadvisersarerequiredtodiscloseifanysupervisedpersonisactivelyengagedinanyinvestment‐relatedbusinessoroccupationandanyrelationshipbetweentheadvisorybusinessandthoseotherbusinesses.NoinformationisapplicabletothisItem.
Item5‐AdditionalCompensation
Registeredinvestmentadvisersarerequiredtodiscloseifanysupervisedpersonreceivesaneconomicbenefitforprovidingadvisoryservices.NoinformationisapplicabletothisItem.
Item6‐Supervision
Ms.MichelleMcDonough,ManagingPartner, is responsible for themonitoring of advicegiventoclients. YoumaycontactMs.McDonoughat(617)423‐6655withanyquestionsrelatedtothesupervisionofMr.Lana._________________________________________________________________________________________________________Item1‐CoverPage
ElizabethLevy
TrilliumAssetManagement,LLC60SouthStreet,Suite1100Boston,MA02111(617)423‐6655March30,2020
This Brochure Supplement provides information about Elizabeth Levy thatsupplements the Trillium Asset Management, LLC Brochure. You should havereceived a copyof thatBrochure. Please contactMichelleMcDonough,ManagingPartner at (617) 423‐6655 or [email protected] if you did notreceiveTrilliumAssetManagement, LLC’sBrochure or if youhave any questionsaboutthecontentsofthissupplement.
Item2‐EducationalBackgroundandBusinessExperience
Ms.ElizabethLevyjoinedTrilliumin2012andservesasaportfoliomanager.PriortojoiningTrillium,ElizabethworkedasaportfoliomanagerforWinslowManagementCompany,adivisionofBrownAdvisory,whereshehadbeensince2004.Shemanagedtwoenvironmentallyfocusedinvestmentstrategies,theWinslowGreenLargeCapstrategyfrom2009‐2011andtheWinslowGreenGrowthstrategyduring2011.ShealsoprovidedequityresearchacrossBrownAdvisory’sstrategies,withafocusonwatercompanies.ShewasbornonJune4,1978.Ms.LevyholdsaB.S.inChemistryfromtheCollegeofWilliam
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andMary,andaMasterofEnvironmentalManagementfromtheYaleSchoolofForestryandEnvironmentalStudies.Ms.LevyisaCharteredFinancialAnalystcharterholder.CharteredFinancialAnalystisadesignationissuedbytheCFAinstitute.ToearnaCFAcharter,acandidatemusthavefouryearsofqualifiedinvestmentworkexperience,passthreeCFAProgramexamlevelsandadheretotheCFAInstituteCodeofEthicsandStandardsofProfessionalConduct. Item3‐DisciplinaryInformation
Registeredinvestmentadvisersarerequiredtodiscloseallmaterialfactsregardinganylegalordisciplinaryeventsthatwouldbematerialtoyourevaluationofeachsupervisedpersonprovidinginvestmentadvice.NoinformationisapplicabletothisItem.
Item4‐OtherBusinessActivities
Registeredinvestmentadvisersarerequiredtodiscloseifanysupervisedpersonisactivelyengagedinanyinvestment‐relatedbusinessoroccupationandanyrelationshipbetweentheadvisorybusinessandthoseotherbusinesses.NoinformationisapplicabletothisItem.
Item5‐AdditionalCompensation
Registeredinvestmentadvisersarerequiredtodiscloseifanysupervisedpersonreceivesaneconomicbenefitforprovidingadvisoryservices.NoinformationisapplicabletothisItem.
Item6‐Supervision
Mr.JohnQuealy istheChiefInvestmentOfficerofTrillium AssetManagement,LLCand isresponsible for themonitoringofadvicegiven toclients. YoumaycontactMr.Quealyat(617)423‐6655withanyquestionsrelatedtothesupervisionofMs.Levy._________________________________________________________________________________________________________Item1‐CoverPage
MichelleMcDonough
TrilliumAssetManagement,LLC60SouthStreet,Suite1100Boston,MA02111(617)423‐6655March30,2020
9
ThisBrochure Supplement provides information aboutMichelleMcDonough thatsupplements the Trillium Asset Management, LLC Brochure. You should havereceived a copyof thatBrochure. Please contactMichelleMcDonough,ManagingPartner at (617) 423‐6655 or [email protected] if you did notreceiveTrilliumAssetManagement, LLC’sBrochure or if youhave any questionsaboutthecontentsofthissupplement.
Item2‐EducationalBackgroundandBusinessExperience
MichelleMcDonoughjoinedTrilliumin2010andisaManagingPartner.Previously,shewastheChiefOperatingOfficeratWinslowManagement,aninvestmentfirmfocusingongreeninvesting.AtWinslow,Michelleoversawallinfrastructureactivitiesforthefirm,includingcoordinatingmultipleSECaudits.ShebeganhercareeratAdamsHarkness&Hillin1999,workingonboththebrokerdealerandassetmanagementdivision.MichelleholdsaB.A.fromSalemStateCollege. Item3‐DisciplinaryInformation
Registeredinvestmentadvisersarerequiredtodiscloseallmaterialfactsregardinganylegalordisciplinaryeventsthatwouldbematerialtoyourevaluationofeachsupervisedpersonprovidinginvestmentadvice.NoinformationisapplicabletothisItem.
Item4‐OtherBusinessActivities
Registeredinvestmentadvisersarerequiredtodiscloseifanysupervisedpersonisactivelyengagedinanyinvestment‐relatedbusinessoroccupationandanyrelationshipbetweentheadvisorybusinessandthoseotherbusinesses.NoinformationisapplicabletothisItem.
Item5‐AdditionalCompensation
Registeredinvestmentadvisersarerequiredtodiscloseifanysupervisedpersonreceivesaneconomicbenefitforprovidingadvisoryservices.NoinformationisapplicabletothisItem.
Item6‐Supervision
MatthewPatsky,CEO,isresponsibleforthesupervisionofMs.McDonough.YoumaycontactMr.Patskyat(617)423‐6655withanyquestionsrelatedtothesupervisionofMs.McDonough._________________________________________________________________________________________________________Item1‐CoverPage
LauraL.McGonagle
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TrilliumAssetManagement,LLC60SouthStreet,Suite1100Boston,MA02111(617)423‐6655March30,2020
ThisBrochureSupplementprovidesinformationaboutLauraMcGonaglethatsupplementstheTrilliumAssetManagement,LLCBrochure.YoushouldhavereceivedacopyofthatBrochure.PleasecontactMichelleMcDonough,ManagingPartnerat(617)423‐6655ormmcdonough@trilliuminvest.comifyoudidnotreceiveTrilliumAssetManagement,LLC’sBrochureorifyouhaveanyquestionsaboutthecontentsofthissupplement.
Item2‐EducationalBackgroundandBusinessExperience
Ms.LauraMcGonaglejoinedTrilliumin2001andservesasaportfoliomanager.ShewasbornonNovember8,1970.Ms.McGonaglegraduatedTuftsUniversitywithaBachelor’sdegreeinQuantitativeEconomics.Ms.McGonagleisaCharteredFinancialAnalystcharterholder.CharteredFinancialAnalystisadesignationissuedbytheCFAinstitute.ToearnaCFAcharter,acandidatemusthavefouryearsofqualifiedinvestmentworkexperience,passthreeCFAProgramexamlevelsandadheretotheCFAInstituteCodeofEthicsandStandardsofProfessionalConduct. Item3‐DisciplinaryInformation
Registeredinvestmentadvisersarerequiredtodiscloseallmaterialfactsregardinganylegalordisciplinaryeventsthatwouldbematerialtoyourevaluationofeachsupervisedpersonprovidinginvestmentadvice.NoinformationisapplicabletothisItem.
Item4‐OtherBusinessActivities
Registeredinvestmentadvisersarerequiredtodiscloseifanysupervisedpersonisactivelyengagedinanyinvestment‐relatedbusinessoroccupationandanyrelationshipbetweentheadvisorybusinessandthoseotherbusinesses.NoinformationisapplicabletothisItem.
Item5‐AdditionalCompensation
Registeredinvestmentadvisersarerequiredtodiscloseifanysupervisedpersonreceivesaneconomicbenefitforprovidingadvisoryservices.NoinformationisapplicabletothisItem.
Item6‐Supervision
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Mr.JohnQuealy istheChiefInvestmentOfficerofTrillium AssetManagement,LLCand isresponsible for themonitoringofadvicegiven toclients. YoumaycontactMr.Quealyat(617)423‐6655withanyquestionsrelatedtothesupervisionofMs.McGonagle._________________________________________________________________________________________________________Item1‐CoverPage
JodiNeuman
TrilliumAssetManagement,LLC60SouthStreet,Suite1100Boston,MA02111(617)423‐6655March30,2020
ThisBrochureSupplementprovidesinformationaboutJodiNeumanthatsupplementstheTrilliumAssetManagement,LLCBrochure.YoushouldhavereceivedacopyofthatBrochure.PleasecontactMichelleMcDonough,ManagingPartnerat(617)423‐6655ormmcdonough@trilliuminvest.comifyoudidnotreceiveTrilliumAssetManagement,LLC’sBrochureorifyouhaveanyquestionsaboutthecontentsofthissupplement.
Item2‐EducationalBackgroundandBusinessExperience
Ms.JodiNeumanjoinedTrilliumin2014andservesasaninvestmentmanager.ShewasbornonOctober21,1986.Ms.NeumangraduatedUniversityofWisconsin–EauClairewithaBachelor’sdegreeinBusinessEconomicsandearnedanMBAfromtheHECSchoolofManagementinParisspecializinginFinance.Ms.NeumanisaCharteredFinancialAnalystcharterholder.CharteredFinancialAnalystisadesignationissuedbytheCFAinstitute.ToearnaCFAcharter,acandidatemusthavefouryearsofqualifiedinvestmentworkexperience,passthreeCFAProgramexamlevelsandadheretotheCFAInstituteCodeofEthicsandStandardsofProfessionalConduct. Item3‐DisciplinaryInformation
Registeredinvestmentadvisersarerequiredtodiscloseallmaterialfactsregardinganylegalordisciplinaryeventsthatwouldbematerialtoyourevaluationofeachsupervisedpersonprovidinginvestmentadvice.NoinformationisapplicabletothisItem.
Item4‐OtherBusinessActivities
Registeredinvestmentadvisersarerequiredtodiscloseifanysupervisedpersonisactivelyengagedinanyinvestment‐relatedbusinessoroccupationandanyrelationshipbetween
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theadvisorybusinessandthoseotherbusinesses.NoinformationisapplicabletothisItem.
Item5‐AdditionalCompensation
Registeredinvestmentadvisersarerequiredtodiscloseifanysupervisedpersonreceivesaneconomicbenefitforprovidingadvisoryservices.NoinformationisapplicabletothisItem.
Item6‐Supervision
Ms.MichelleMcDonough,ManagingPartner, is responsible for themonitoring of advicegiventoclients. YoumaycontactMs.McDonoughat(617)423‐6655withanyquestionsrelatedtothesupervisionofMs.Neuman._________________________________________________________________________________________________________
Item1‐CoverPage
MatthewPatsky
TrilliumAssetManagement,LLC60SouthStreet,Suite1100Boston,MA02111(617)423‐6655March30,2020
ThisBrochureSupplementprovidesinformationaboutMatthewPatskythatsupplementstheTrilliumAssetManagement,LLCBrochure.YoushouldhavereceivedacopyofthatBrochure.PleasecontactMichelleMcDonough,ManagingPartnerat(617)423‐6655ormmcdonough@trilliuminvest.comifyoudidnotreceiveTrilliumAssetManagement,LLC’sBrochureorifyouhaveanyquestionsaboutthecontentsofthissupplement.
Item2‐EducationalBackgroundandBusinessExperience
Mr.PatskyjoinedTrilliumasChiefExecutiveOfficerandportfoliomanagerinOctober2009.BeforehisappointmentasCEObytheBoardofDirectorsofTrillium,Mr.PatskywasapartnerandportfoliomanageratWinslowManagementCompany.Mr.PatskywasbornonAugust2,1963andgraduatedfromRensselearPolytechnicInstitutein1983withaBachelorofScienceinEconomics.Mr.PatskyisaCharteredFinancialAnalystcharter.CharteredFinancialAnalystisadesignationissuedbytheCFAinstitute.ToearnaCFAcharter,acandidatemusthavefour
13
yearsofqualifiedinvestmentworkexperience,passthreeCFAProgramexamlevelsandadheretotheCFAInstituteCodeofEthicsandStandardsofProfessionalConduct. Item3‐DisciplinaryInformation
Registeredinvestmentadvisersarerequiredtodiscloseallmaterialfactsregardinganylegalordisciplinaryeventsthatwouldbematerialtoyourevaluationofeachsupervisedpersonprovidinginvestmentadvice.NoinformationisapplicabletothisItem.
Item4‐OtherBusinessActivities
Registeredinvestmentadvisersarerequiredtodiscloseifanysupervisedpersonisactivelyengagedinanyinvestment‐relatedbusinessoroccupationandanyrelationshipbetweentheadvisorybusinessandthoseotherbusinesses.Mr.PatskyservesontheboardofdirectorsofSharedInterest,anorganizationthatTrilliumhasinvestedassetsinonbehalfofcertainclients.Mr.PatskywillabstainfromanyvotesoftheBoardofSharedInterestthatdirectlyandspecificallyrelatetoaninvestmentofaclientofTrillium.TrilliumandSharedInterestarenotaffiliated.
Item5‐AdditionalCompensation
Registeredinvestmentadvisersarerequiredtodiscloseifanysupervisedpersonreceivesaneconomicbenefitforprovidingadvisoryservices.NoinformationisapplicabletothisItem.
Item6‐Supervision
Michelle McDonough and Cheryl Smith, managing partners, and John Quealy, ChiefInvestmentOfficer,are responsible for the supervisionandmonitoringof theadviceMr.Patsky gives to clients. Additionally, an outside Board of Directors is responsible forreviewing theoverallperformanceofMr.Patsky. Youmay contactMs.McDonough,Ms.Smith,orMr.Quealyat(617)423‐6655withanyquestionsrelatedtothesupervisionofMr.Patsky._________________________________________________________________________________________________________
Item1‐CoverPage
JohnQuealy
TrilliumAssetManagement,LLC60SouthStreet,Suite1100Boston,MA02111(617)423‐6655March30,2020
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ThisBrochureSupplementprovidesinformationaboutJohnQuealythatsupplementstheTrilliumAssetManagement,LLCBrochure.YoushouldhavereceivedacopyofthatBrochure.PleasecontactMichelleMcDonough,ManagingPartnerat(617)423‐6655ormmcdonough@trilliuminvest.comifyoudidnotreceiveTrilliumAssetManagement,LLC’sBrochureorifyouhaveanyquestionsaboutthecontentsofthissupplement.
Item2‐EducationalBackgroundandBusinessExperience
Mr.QuealyjoinedTrilliumasChiefInvestmentOfficerinFebruary2018.PriortojoiningTrillium,Johnspent17yearswithCanaccordGenuityinEquityResearch,wherehewasaManagingDirector,specializingintheSustainabilityandIndustrialTechnologysectors.Mr.QuealywasbornonJanuary30,1972andgraduatedfromBostonCollegein1995withaBachelorofScienceinAccountingandPhilosophy.Mr.QuealyisalicensedPublicAccountantinMassachusetts.CertifiedPublicAccountantisadesignationissuedbytheAssociationofInternationalCertifiedProfessionalAccountants(AICPA).MembersofAICPAmustabidebytheCodeofProfessionalConduct. Item3‐DisciplinaryInformation
Registeredinvestmentadvisersarerequiredtodiscloseallmaterialfactsregardinganylegalordisciplinaryeventsthatwouldbematerialtoyourevaluationofeachsupervisedpersonprovidinginvestmentadvice.NoinformationisapplicabletothisItem.
Item4‐OtherBusinessActivities
Registeredinvestmentadvisersarerequiredtodiscloseifanysupervisedpersonreceivesaneconomicbenefitforprovidingadvisoryservices.NoinformationisapplicabletothisItem.
Item5‐AdditionalCompensation
Registeredinvestmentadvisersarerequiredtodiscloseifanysupervisedpersonreceivesaneconomicbenefitforprovidingadvisoryservices.NoinformationisapplicabletothisItem.
Item6‐Supervision
Mr.MatthewPatskyistheChiefExecutiveOfficerofTrilliumAssetManagement,LLCandisresponsiblefortheoverallperformanceofMr.Quealy.YoumaycontactMr.Patskyat(617)423‐6655withanyquestionsrelatedtothesupervisionofMr.Quealy._________________________________________________________________________________________________________Item1‐CoverPage
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CherylI.Smith
TrilliumAssetManagement,LLC60SouthStreet,Suite1100Boston,MA02111(617)423‐6655March30,2020
ThisBrochureSupplementprovidesinformationaboutCherylSmiththatsupplementstheTrilliumAssetManagement,LLCBrochure.YoushouldhavereceivedacopyofthatBrochure.PleasecontactMichelleMcDonough,ManagingPartnerat(617)423‐6655ormmcdonough@trilliuminvest.comifyoudidnotreceiveTrilliumAssetManagement,LLC’sBrochureorifyouhaveanyquestionsaboutthecontentsofthissupplement.
AdditionalinformationaboutCherylSmithisavailableontheSEC’swebsiteatwww.adviserinfo.sec.gov.
Item2‐EducationalBackgroundandBusinessExperience
Ms.CherylSmithjoinedTrilliumin1997,servesasaManagingPartnerandisaportfoliomanager.ShewasbornonDecember15,1956.Ms.SmithgraduatedfromtheGeorgetownUniversitywithaBachelor’sdegreeinForeignServicein1977andfromYaleUniversitywithMasterofArts(1979),MasterofPhilosophy(1980),andPh.D.(1984)degreesinEconomics.Ms.SmithisaCharteredFinancialAnalystcharterholder.CharteredFinancialAnalystisadesignationissuedbytheCFAinstitute.ToearnaCFAcharter,acandidatemusthavefouryearsofqualifiedinvestmentworkexperience,passthreeCFAProgramexamlevelsandadheretotheCFAInstituteCodeofEthicsandStandardsofProfessionalConduct. Item3‐DisciplinaryInformation
Registeredinvestmentadvisersarerequiredtodiscloseallmaterialfactsregardinganylegalordisciplinaryeventsthatwouldbematerialtoyourevaluationofeachsupervisedpersonprovidinginvestmentadvice.NoinformationisapplicabletothisItem.
Item4‐OtherBusinessActivities
Registeredinvestmentadvisersarerequiredtodiscloseifanysupervisedpersonisactivelyengagedinanyinvestment‐relatedbusinessoroccupationandanyrelationshipbetweentheadvisorybusinessandthoseotherbusinesses.
Item5‐AdditionalCompensation
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Registeredinvestmentadvisersarerequiredtodiscloseifanysupervisedpersonreceivesaneconomicbenefitforprovidingadvisoryservices.NoinformationisapplicabletothisItem.
Item6‐Supervision
Mr.JohnQuealy istheChiefInvestmentOfficerofTrillium AssetManagement,LLCand isresponsible for themonitoringofadvicegiven toclients. YoumaycontactMr.Quealyat(617)423‐6655withanyquestionsrelatedtothesupervisionofMs.Smith.