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As people live longer — thanks to better medical care and living conditions — and as the middle class grows in emerging economies leaving more people with disposable income, many are looking for ways to improve their health and well-being. As a result, a growing number of individuals around the world are seeking out products and services that enhance physical and mental health. This represents an opportunity for companies that are innovating in areas such as personal care solutions, self-care remedies, fitness services, and even health-protecting sectors such as automotive safety systems. Investors, too, can capitalize on this long-term secular trend.
Amber Fairbanks, Portfolio Manager with Impax Asset Management and of the new NEI Global Corporate Leaders Fund, says companies that are active in parts of the economy that promote well-being have a clear trajectory for growth.
“The investment opportunity comes from demand. We’re seeing increasing demand for [solutions that contribute to] well-being as people live longer and demographics shift toward millennials and gen Z, with their focus on well-being through sustainable products as well as better nutrition,” she explains.
“We’re really looking at what’s going to be driving people, going forward, with regard to improving their well-being. We translate that into what types of industries might be interesting within this secular trend. Then we look at the individual companies and really try to identify those companies that are best placed to grow from these trends.”
At an industry level, some have a very direct impact on health and well-being. Consider, for example, the companies that provide toothpaste and other oral care products, over-the-counter medications, vitamin supplements, monitoring devices, hearing aids, and cataract surgeries.
Others have a looser connection but may still be well positioned to benefit from this trend. After all, quality of life improves — just as fintech makes banking more accessible and saving easier, utilities deliver cleaner water and cleaner energy, or technology (in any industry) improves productivity and efficiency.
“Technology is really woven throughout everything we’re doing, because it’s going to drive growth going forward, [and] it’s going to drive health, happiness, and prosperity,” Fairbanks adds.
How fund holdings are changing lives for the better
One company held within the NEI Global Corporate Leaders Fund that’s directly enhancing well-being is Intuitive Surgical, Inc. It’s a U.S. medical device company that delivers minimally invasive surgery through robotics, and its da Vinci system is used in more than 70 countries, with a surgeon starting a procedure that uses it every 13.79 seconds.
Minimally invasive surgery results in patients experiencing shorter recovery periods and providers being able to deliver care at a lower cost. Intuitive is also good to its employees, having been recognized as a 2023 best place to work for disability inclusion (Disability:IN), a 2024 best company to work for in healthcare (U.S. News & World Report), and a 2024 best place to work (Built In for Employers).1
Staying safe is also a big component of well-being, and the fund invests in automotive safety supplier Autoliv. Headquartered in Sweden and operating in 25 countries, Autoliv designs, develops, and manufactures passive safety systems for all leading car manufacturers, dominating a field with high barriers to entry.
Autoliv is also innovating to protect riders of two- and three-wheel vehicles, for example, by working to create airbags for motorcycles and scooters. Its partnership with the United Nations Road Safety Fund is supporting the UN’s goal of reducing traffic fatalities and Autoliv’s goal of saving 100,000 lives every year. In 2023, the company says its products saved 35,000 lives and mitigated 450,000 injuries.2
Also addressing safety is Mobileye, headquartered in Jerusalem, Israel, which is developing autonomous driving solutions. It’s solidly positioned to capitalize on the fact that automotive safety features that were once revolutionary are becoming standard. For example, its advanced driver-assistance systems are currently deployed in millions of vehicles globally.
At the same time, Mobileye is at the forefront of development of hands-off/eyes-off solutions for consumer vehicles, as well as robotaxis, public transport, and goods delivery. It was recognized among Newsweek’s World’s Most Trustworthy Companies in 2023 and has committed itself to equal opportunity for employees, including occupational integration initiatives for people with disabilities.3
A new path to performance
Society is changing and so are the investment opportunities. Investors can capitalize on this with the expertise of a specialist investment manager and the NEI Global Corporate Leaders Fund.
For more information about NEI Global Corporate Leaders Fund, please visit neiinvestments.com.
Commissions, trailing commissions, management fees and expenses all may be associated with mutual fund investments. Please read the prospectus and/or Fund Facts before investing. Mutual funds are not guaranteed, their values change frequently, and past performance may not be repeated.
NEI Investments is a registered trademark of Northwest & Ethical Investments L.P. Northwest & Ethical Investments Inc., is a wholly-owned subsidiary of Aviso Wealth Inc. (“Aviso”). Aviso is a wholly-owned subsidiary of Aviso Wealth Limited Partnership (“Aviso Wealth LP”), which in turn is owned 50% by Desjardins Financial Holdings Inc. (“Desjardins”) and 50% by a limited partnership owned by the five Provincial Credit Union Centrals (the “Centrals”) and The CUMIS Group Limited.
1 www.intuitive.com/en-us/-/media/ISI/Intuitive/Pdf/2023-Intuitive-ESG-Report.pdf
2www.autoliv.com/investors/annual-and-sustainability-report
