Sustainability is fast becoming the economic imperative of the 21^st Century global economy as companies around the world recognize the strategic, financial and competitive advantages associated with superior sustainability performance.

Sustainable Investing is the full integration of environmental, social and governance (ESG) factors into investment analysis and decision making. It seeks to deliver superior long-term investment performance by combining financial and ESG analysis in an effort to identify companies with sustainable business models.

Among the reasons Sustainable Investing may be a smarter way to invest are these:

• Companies with stronger environmental performance may carry less risk, achieve greater efficiencies and are better positioned to take advantage of opportunities in a global marketplace that is increasingly sensitive to environmental impact.

• Companies with strong employee relations and workplace practices may enjoy higher productivity, higher morale, lower turnover and absenteeism, and are therefore better positioned for growth than their less enlightened competitors.

• Companies with better corporate governance practices may be less likely to have "blow-ups" or other surprises, financial or otherwise.

• Companies with a specific focus on environmental technologies and solutions may be better positioned to benefit from environmental legislation or regulation in areas such as climate change, energy efficiency and green jobs initiatives.

In short, Sustainable Investing is for investors seeking to capture the returns associated with the seismic shift from an industrial economy to a sustainable economy.

The fund managers included in ESG Managers® Portfolios have been selected by Morningstar Associates for their overall investment quality combined with their experience and expertise in implementing Sustainable Investing strategies.