Consumer Discretionary

Report by CEN-ESG

ESG report - MAB outlined the progress made with its three sustainability pillars in FY23 but its KPIs and metrics were lacking in scope and depth. CEN’s MAB score (39/100) remains below the F&B sector median. Environmental highlights included the submission of a net zero roadmap for SBTi approval and increased engagement with suppliers on sustainable packaging. Despite scoring revisions, Social was on par with the sector median. The company updated its animal welfare policy, completed modern slavery risk assessments and created strategic partnerships with charities. Governance saw the only positive y/y change thanks to alignment with the UK Corporate Governance Code. MAB plans to include a sustainability objective in executive LTIPs from FY24. Click here to access the full report.

Report by Creative Portfolios

Paul Hollingworth sifts through ~300 UK companies to ascertain their financial risk. He incorporates seven different Risk Models and scores companies by each model to come up with an aggregate Score. Investors should not be chasing high risk or "a dash for trash" (as we saw in Jan) but should combine classical valuation assessment with low risk opportunities. Companies featured in the top quartile of low risk include Renishaw, Rightmove, Sylvania Platinum, AG Barr, Rotork and Wilmington. Investors should eschew companies such as Wizz Air, Aston Martin, Mitchells & Butlers, Rolls Royce and Ocado. Let alone small caps such as Kromek, Plant Health or Pressure Technologies.