Here are companies in the Pax Small Cap Fund that we believe are taking advantage of sustainability-related opportunities, or taking appropriate steps to address key ESG issues:
Evoqua Water Technologies Corp (AQUA US Equity)
Evoqua Water Technologies is a leading provider of products, solutions and services to ensure water quality and consistency for municipalities, industrial water users and recreational facilities. In addition, the company’s products and services enable regulatory and environmental compliance, increase efficiency through water reuse and prepare customers for next-generation demands.
Evoqua Water Technologies publishes a sustainability report, which includes information about its environmental, health and safety (EHS) processes, including its loss prevention system (LPS) and internal EHS management system. Demonstrating its commitment in these areas, the company has received ISO 14001-2015 and OHSAS 18001 certifications at multiple global locations.
The company has set a quantitative safety goal and employees have “stop work authority” to prevent accidents, both of which are considered best practices.
Comfort Systems USA, Inc. (FIX)
Comfort Systems provides heating, ventilation and air conditioning system installation, maintenance, repair and replacement services.
The company’s services, such as maintenance on, and replacement of, existing air systems with modern, energy-efficient systems, help to reduce a building’s energy costs, improve comfort within a designated area, and reduce greenhouse gas emissions.
Comfort Systems is an Energy Star® partner, a member of the United States Green Building Council and employs LEED®-accredited professionals.
The company also discloses information about its occupational health and safety programs. These include a focus on company-wide accident prevention that goes beyond OSHA compliance, including benchmarking and tracking of workplace safety and automobile accidents. Further, Comfort Systems integrates safety performance into executive compensation, demonstrating its commitment in this area.
Vertiv Holdings Co (VRT US Equity)
Vertiv, through its subsidiaries, is a global leader in the design, manufacturing and servicing of critical digital infrastructure technology that powers, cools and manages electronics that process, store and transmit data. Vertiv provides this technology to data centers, communication networks and commercial and industrial environments worldwide.
Vertiv’s power and thermal management solutions are designed to help customers reduce their use of energy, water and space. The company estimates that its water-free cooling systems have saved billions of gallons of water per year worldwide since their introduction in 2013, with each deployment saving 6.75 million gallons of water per year compared to open-loop water-based systems. Vertiv has also pioneered the use of system-level thermal management controls that enable thermal systems across a data center to intelligently collaborate to reduce energy consumption.
In addition to helping customers meet their sustainability goals, Vertiv has implemented processes and innovations in its own facilities to conserve energy and water and to reduce greenhouse has emissions. The company has, for example, designed and built many of its new U.S. facilities following LEED-certified standards. In the Asia Pacific region, manufacturing facilities have achieved internationally recognized certifications, including ISO 14001, ISO 50001 and OHSAS 18001.
Pax Small Cap Fund Top 10 Holdings