Monthly Sustainable Portfolios Performance Summary: September 2018

Summary

• Buoyed by robust economic growth and strong corporate earnings, the S&P 500 Index eked out narrow gain of 0.57% in September even as US stock markets reached all-time new highs.
• Bonds closed the month lower, posting negative results of -0.66% but recording a slight third quarter gain of 0.01%.
• Positive fundamentals shift investor sentiment moving into month-end: US economic growth, strong corporate profits and strong consumer confidence overcame trade, inflation and interest rate concerns.
• The SUSTAIN Equity Fund Index gained 0.52% in September and 7.71% in the third quarter, lagging behind the S&P 500 by 30 bps and 60 bps, respectively.
• In contrast to equity funds, intermediate-term investment grade sustainable bond funds outperformed the Bloomberg Barclays US Aggregate Index in September, albeit by a narrow margin of 5 basis points.
• Sustainable model portfolios lagged their respective indexes in September, posting results that range from a positive 0.21% to -0.37%.
• Sustainable funds closed September at another high point at $321.9 billion, up $11.4 billion of which $10.9 billion, or 96%, is sourced to repurposed funds.

Buoyed by robust economic growth and strong corporate earnings, the S&P 500 Index eked out narrow gain of 0.57% in September even as US stock markets reached all-time new highs
Performance in September across asset classes, geographic regions and styles covered a narrower 16% arc that ranged from a high of 6.85% posted by the price of Brent crude oil to a negative -9.1% recorded by the MSCI India Index.