One Day in July seeks to build its environmentally focused portfolios with an emphasis on the same key investment criteria that we believe are critical to all portfolios. Among these are low cost, substantial diversification of risk across industries and geographies, a high degree of liquidity and transparency in the investment vehicles we use, and a competitive level of current income.
Nevertheless, because certain types of stocks are less compatible with an environmentally focused mandate, there will invariably be some differences among investment characteristics in these portfolios relative to the portfolios we manage that do not consider environmental factors (“baseline portfolios”). We believe that these differences are generally modest. However, they are still worth noting since they may periodically cause performance of an environmentally focused portfolio to diverge in either direction from the performance of a comparable baseline portfolio.