General Terms aval wealth management ltd


Please contact Anders af Hällström for further information.

SFDR disclosure


Sustainability risk refers to an event or situation related to environment, social or governance (ESG) issues that may cause a material negative effect on the value of an investment. Aval Wealth Management Ltd recognizes that sustainability risks may be associated with its investment activities and investment services offered by it, and they may affect the return of the investments should they materialize.

. AVAL does not, for the time being, carry out an accurate assessment of the likely effects of sustainability risks on the return on investment properties. Many factors affect the magnitude of the possible return effects of sustainability risks, such as for example the investment’s time horizon, geographical distribution and industry distribution. However, sustainability risks can affect the financial success of investment targets and thus also their returns, negatively or positively. As far as AVAL is concerned, sustainability risks are mainly directed directly at the financial instruments it offers in investment advice or asset management. In this case, the way and scope of sustainability risks are always taken into account by financial instrument.

We believe that companies acting responsibly will in the long term outperform. Therefore, we consider that sustainability issues are important when we are picking investments for our asset management clients or advising our clients on choosing investment targets. We integrate sustainability risks to our regular due diligence process according to the following principles and methods:

As we analyze the company specific risks, we include sustainability risks as an integrated part of the analysis and monitor sustainability factors together with financial analysis and figures. Sustainability factors affect the growth potential, costs and public image of the companies and are therefore material for expected return and risk of investments. We consider environmental, social and governance issues. Our sustainability analysis is based on publicly available information, such as sustainability reports published by companies and third-party sustainability assessments. Sustainability risks of the investments are monitored continuously as the news flow of the companies is followed daily.

Minimum requirement is that in addition to following laws, the invested companies comply with international norms and treaties on human rights, labor, anti-corruption and sustainability. In case a company is suspected to be in non-compliance, an attempt is made to investigate how the company is planning to rectify the issue and progress to implement the plan is monitored. In case a company is breaching these norms repeatedly it may be excluded from allowed investments.

We require our co-operation partners to consider sustainability regarding investments in all asset classes. In selection of third-party funds and asset managers the sustainability analysis is focused on investment process and re-porting. We welcome a commitment by asset managers to UNPRI or a corresponding initiative of particular asset class.

AVAL has signed the UN Principles for Responsible Investment (PRI) in 2022 and is thus committed to promoting the principles of responsible investment in its investment activities.

Disclosure according to the Regulation (EU) 2019/2088 of the European Parliament and of the Council of 27 November 2019 on sustainability-related disclosures in the financial service sector (“SFDR”), Article 4, paragraph 1, subparagraph b

Aval Wealth Management Ltd (”AVAL”) does not for the time being consider the EU criteria for environmentally sustainable economic activities to be able to disclose principle adverse impacts on sustainability factors of its investments in accordance with the Article 4 of the SFDR

AVAL has made this decision on the basis that in the context of the investment strategies it is not possible to conduct detailed diligence on at least some of the investment targets on the principal adverse impacts on sustainability factors required in SFDR Article 4, paragraph 1, subparagraph a . AVAL constantly monitors technical possibilities for assessing, measuring and reporting the main harmful effects of investment sites. When AVAL considers that the Notification Regulation and its technical standards measurements according to can be made of the investment sites with the required accuracy and that the related costs are proportionate to the reporting, AVAL will update its policy on the assessment of the main adverse effects accordingly. AVAL takes the main adverse sustainability effects into account in investment advice and asset management in such a way that the customer determines whether the recommendation given to him or the investments include products whose investment operations take them into account. Investment products are not prioritized when considering the main adverse effects.

AVAL’s reward system is consistent with the consideration of sustainability risks. AVAL’s remuneration principles are subject to requirements according to which the remuneration must be consistent with the consideration of the company’s sustainability risks. The principles and procedures regarding remuneration do not conflict with the operating principles related to the company’s sustainability risks. AVAL has not introduced a reward system based on variable rewards, where sustainability risks should be taken into account.


Directive on the exercise of certain rights of shareholders in listed companies (EU) 2017/828

Aval WM pursues to participate in the general meetings of companies, where the interest of the investors needs to be protected. Aval WM may use proxy voting, when necessary.

Aval WM regards matters concerning investor interests particularly important. Such matters include e.g.

  • capital structure
  • remuneration policy
  • appointment and structure of the board of directors
  • ESG issues
  • transparent influencing possibilities and nomination processes


If the governance is deemed to not reach the required level, Aval WM tries to influence the company and / or its management to attain changes. In such cases this may be done in co-operation with other shareholders. Company may also determine that investor interests are better served by disposing of the holding than keeping it.

Aval RTS 28 – reporting