Incorporating ESG in investment decisions and active ownership

. . . Maximizing Sustainability Value. Minimizing ESG Risks.

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We work with corporations and private equity firms to realize ‘Sustainability Advantage’ in their investments . . . from strategy / policy development, through analysis and due diligence, to post-transaction value realisation and compliance / reporting.

Responsible Investment. ESG and responsible investment considerations are profoundly reshaping business models. In the coming years, they will become intrinsically embedded across all forms of corporate transactions and investments.

Such change is set to unlock competitiveness, profitability, and attraction of capital. But it is also essential to the trustworthiness of businesses, as customers, investors, employees, societies, and governments all expect companies to play their part in creating a fairer and more sustainable planet.

Investment Decisions. In the past twelve months, ESG investments have hit new records and attracted heightened regulatory focus on disclosure and enforcement. With stakeholder impacts, climate change, biodiversity, human capital management, diversity and inclusion and cybersecurity continuing to be top of mind for investors and regulators alike.

Active Ownership. Stakeholders increasingly expect investors to manage sustainability outcomes within their fiduciary duties and to align their activities with global frameworks such as the United Nation’s Sustainable Development Goals, Principles of Responsible Investment (PRI), Taskforce on Climate-Related Financial Disclosures (TCFD), and Sustainability Accounting Board Standards (SASB).

Forces driving the growth of responsible investment

> Financial Materiality:

Industry evidence continues to show that incorporating material ESG factors into investment decisions, lead to better risk management and more sustainable practices, and results in improved risk adjusted returns.

> Client Demand:

Many asset owners – and beneficiaries – recognise ESG factors are financially material, and expect their investment managers and service providers to align their investments with their values and with broader environmental and social objectives.

> Regulation & Policy:

ESG issues and disclosures have increased significantly in recent years, reflecting the important role that the financial sector needs to play in meeting global challenges such as climate change, modern slavery and tax avoidance.