We integrate Environmental, Social and Governance (ESG) considerations into our investment process to manage risk and add value.
We consider material ESG factors alongside other factors through the entire investment and ownership cycles:
When we’re looking for investment opportunities
- We use a responsible investing lens to anticipate potential impacts on our investments and identify emerging trends, risks and opportunities. This helps us find investments with growth potential that support our long-term investment objectives. It can also give us an early-mover advantage in exciting new areas.
- See our case study "Pure Fitness - Investing in Asia’s emerging health and wellness market."
When we’re making our initial investment in a company
- Before we invest, our due diligence process includes looking at ESG factors that are significant to the company based on its sector and geography.
- When we’re considering an external fund manager, our due diligence includes reviewing how they identify, assess and manage ESG risks and opportunities for the companies in its portfolio.
- See our case study "GFL Environmental - Integrating ESG into our due diligence process."
When we’re managing our investment in a company
- Our portfolio managers regularly monitor the ESG risks and value-creation initiatives associated with each private investment. Where necessary, we work with the companies to refine their ESG practices.
- For public companies, ESG analysis is included in company assessments and is updated regularly. Portfolio managers will engage the company if there is a significant issue.
- We regularly review how our external managers integrate ESG factors into their assessment and management of companies.
- See our case study "Aroona Farms - Adding value through sustainable agricultural practices."