Our responsible investment approach
We believe that managing environmental, social and governance or sustainability risks and opportunities is an important part of creating, protecting and enhancing long-term value in the infrastructure investments that we manage on behalf of our investors.
Five Minimum Standards
We aim to implement in all portfolio companies following Igneo’s investment in the business
Health and safety
- Zero accident target
- Standard reporting
Climate change
- Emissions targets
- Emissions reporting
Governance
- Independent board representation
- Risk management
- Standards / certifications
- Customer satisfaction surveys
- Cyber security
- Modern slavery risk assessment
Employee engagement
- Employee engagement surveys
- Apprenticeships or continuous professional development
Climate Action 1, 2, 3!
As long-term infrastructure investors, it is vital that we manage the risks and opportunities presented by climate change and the energy transition.
Three climate actions we aim for all portfolio companies to take:
Responsible investment is integrated throughout the investment process
Initial screening
- Red flags report
- Sustainability issues one of eight key criteria assessed
Due diligence
- In-depth analysis of risks and opportunities
- Assessment of Five Minimum Standards, climate risks and other material issues
Investment decision
- Due diligence conclusions presented to Investment Committee
- Don’t proceed if material risks cannot be remedied
Asset management
- Close engagement with every company
- Aim to implement the Five Minimum Standards and Climate Action 1, 2, 3!
- Drive performance on other material issues
- Monitor progress and report regularly to investors
Sharing experience
- Between portfolio companies
- Between team members
Exit
- Improved sustainability performance can be a key way to demonstrate long-term value
Reports and Ratings
First Sentier Investors is a signatory of:
Igneo (the direct infrastructure business) achieved 5 Stars in its 2023 PRI report, with a score of 100/100
Part of the First Sentier Investors Group