Parnassus has removed language from its funds’ statutory documents pertaining to the use of exclusionary screens. The funds have used such screens for a long time, but doing away with them won’t materially impact how they are run. As the firm’s environmental, social, and governance tools have evolved, Parnassus feels exclusionary screens no longer encapsulate its entire analysis of firms’ sustainability. The exclusions weren’t too restrictive anyway. They affected roughly 80 companies that will now be on a cautionary list, which means a manager may dig deeper into one of them for a potential investment. This does not mean the firm will suddenly invest, for example, in tobacco companies, but it could invest in a company that potentially derives more than 10% of revenue from a previously excluded industry as long as it’s not a core risk for the business (10% was the previous threshold for exclusion). For example, this could include an investment in an oil-services company that is actively working to decarbonize and/or working on measurement and diagnostics. The firm will still scrutinize reputational and material ESG risks for all potential investments. As such, the removal of exclusionary screens is a relatively minor adjustment and does not change the Parnassus funds’ Morningstar Medalist Ratings.
Parnassus Value Equity Investor PARWX
- NAV / 1-Day Return 56.85 / −0.30 %
- Total Assets 5.0 Bil
-
Adj. Expense Ratio
- Expense Ratio 0.880%
- Distribution Fee Level Average
- Share Class Type No Load
- Category Large Value
- Investment Style Large Value
- Min. Initial Investment 2,000
- Status Open
- TTM Yield 1.05%
- Turnover 30%
USD | NAV as of Oct 02, 2024 | 1-Day Return as of Oct 02, 2024, 10:25 PM GMT+0
Morningstar’s Analysis PARWX
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Get our overall rating based on a fundamental assessment of the pillars below.
People Pillar
Parent Pillar
- Current Portfolio Date
- Equity Holdings —
- Bond Holdings —
- Other Holdings —
- % Assets in Top 10 Holdings 31.3
Top 10 Holdings
|
% Portfolio Weight
|
Market Value USD
|
Sector
|
---|---|---|---|
Verizon Communications Inc | 4.19 | 208.4 Mil | Communication Services |
S&P Global Inc | 3.42 | 170.1 Mil | Financial Services |
D.R. Horton Inc | 3.28 | 163.1 Mil | Consumer Cyclical |
Sysco Corp | 3.10 | 154.1 Mil | Consumer Defensive |
Oracle Corp | 3.02 | 150.3 Mil | Technology |
Ball Corp | 2.95 | 147.0 Mil | Consumer Cyclical |
Bank of America Corp | 2.95 | 146.9 Mil | Financial Services |
Global Payments Inc | 2.92 | 145.5 Mil | Industrials |
Agilent Technologies Inc | 2.71 | 134.9 Mil | Healthcare |
Deere & Co | 2.70 | 134.5 Mil | Industrials |