As a proud signatory of the UN-supported Principles for Responsible Investment (PRI), the world’s leading proponent of responsible investment, we view ESG analysis as a fundamental part of investment risk management and potential value creation across all our funds.
We formally incorporate the PRI, SDGs and other factors into investment screening and due diligence. To this end, we have created a framework that is designed to review a specific set of responsible investing matters, assesses potential risk factors and provides transparency to clients.
We are implementing this framework throughout all our funds to ensure a consistent and transparent approach to ESG due diligence. In most cases, due diligence is based on standardised questionnaires and assessments, which have been developed by the investment team and ratified by the fund’s investment committee.
The ESG approach is systematically embedded across our investment and asset management processes. The assessment and identification of potential for improvement take place as soon as investment opportunities are identified using the criteria mentioned below. In practice, each project is thoroughly assessed through an initial due diligence analysis prior to investment. If ESG topics are highlighted during this process, risk mitigation procedures are included in the project documentation and specific risk indicators are identified for the implementation of continuous monitoring. In general, the methodology used in the ESG analysis process for investment opportunities is built around the following steps:
- Verification of the eligibility of the project against the exclusions established by SUSI Partners for its various funds
- ESG framing of the project in regulatory terms and needs for its development
- Detailed analysis of ESG issues
- Determination of ESG risks and key performance indicators
- Identification of the ESG mitigation and monitoring strategy
Further details on SUSI Partners’ approach are set out in our sustainability policy.