Each investor's approach will be unique, reflecting priorities based on the requirements of stakeholders (including regulators), investment structure and approach, available resources and governance budget.
Applying sustainable growth principles is most effective when it is integrated into standard investment processes, providing an additional layer of insight and oversight. The framework below identifies where ESG and sustainability considerations sit within the typical 'Belief, Processes, Portfolio' investment approach.
We recommend a three step process, as illustrated below:
1. Review your beliefs
2. Update your policy and embed it within your processes
3. Create a workplan that incorporates ESG factors and sustainability themed strategies