Now it’s important to emphasize, we do not integrate ESG for any other nonfinancial long-term reasons for trying to enhance value and create sustainable wealth. That’s not what we do. Unless the clients ask us to specifically, we do not, for example, divest from particular title stocks. So that’s just a general background of what we do in the old Hermes, which we came Federated Hermes Limited. And as Chris says, we think that is totally in line with fiduciary duties on the by U.S. law. In Europe, there is a demand for one additional factor, which is not just to do ESG for enhancing returns, but to try to create social impact. This has allowed in certain jurisdictions and certain structures in Europe, and the demand for that continues to increase in Europe.
And we have continued to see demand for and the opportunity for continuing to grow our business over there. I will finish up by making one point. The old Hermes I would claim, was one of the first people to look at this space back in 1983. We’ve had a long experience of thinking about why we do it. And the point is that we do it for the sake of the enhancement of the underlying investor. Our position in our mind, is what gives us the strength to continue to roll out our products outside of the United States where demand is continuing to increase in fact, and enhanced — to ensure the fact that within what we do — are doing it within the bounds of fiduciary. Specifically, the demand is not dying out the rest of Europe. Asia possibly is a little bit less than in Europe, but we see an increasing demand within the big European market for the time being.
Brian Bedell: That’s great overview. Thank you so much.
Operator: Your next question for today is coming from John Dunn with Evercore ISI.
John Dunn: Thank you. Can you kind of characterize the sort of timing of the unfunded pipeline? How much is later stage versus newer wins and maybe the average time to funding?
Ray Hanley: Sure, John. I don’t have statistics to give you on the quarters. But typically, you’ll see the equity in fixed income fund in a couple of quarters and private markets can take as long as into next year because when we get those commitments when we have closings, the money often is not shown as assets under management until it’s actually drawn down and investing. So we’d have to do some more work to give you kind of a weighted average timing on the pipeline, but generally look for the equity and fix over the next couple of quarters and the private market to extend out several quarters.
John Dunn: Got you. And then maybe just thinking about strategic value dividend, can you give us kind of a flavor of the profile of the investor there? How they look at the current backdrop? And how the conversations of your wholesalers are going, holding on to assets versus like maybe increasing sales at some point?
Chris Donahue: Well, in terms of discussions, these are challenging discussions with the salespeople and the intermediaries that are in there. And so you got to be straightforward about that, but it simply repeats what we said all along, and the fund continues to do what it does. So even though it’s like a Pogo stick in terms of Morningstar category that it doesn’t really fit going from the top to the bottom, bottom to the top, that’s what stimulates the discussions. And so we’ve been through this before. And that keeps a lot of the core shareholders quite sanguine because they’re looking at a 5%-plus yield on a bunch of stocks that are pretty solid. Now they’re not the magnificent 7%, so you’re not going to get that ride. So it is an active debate and an active discussion.
John Dunn: Thank you.
Operator: Your next question is coming from Michael Brown with KBW.
