TOWARDS A SUSTAINABLE FUTURE
Sustainability Report 2018
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TOWARDS A SUSTAINABLE FUTURE - Sustainability Report 2018

Fund of funds survey's results

Latest campaign shows ESG ratings climbing
80%
of GPs report that they have a formal ESG policy

Our most recent GP survey showed that ESG practices are continuing to improve across the portfolio, with almost 80% reporting that they have a formal ESG policy. This figure has been rising steadily since we launched our survey – in 2014 it stood at just 50%. Similarly, 45% of those who completed our GP survey are signatories of at least one Responsible Investment-related initiative. Within this group, the UN PRI is by far the most frequent choice: 83% say they are signatories, up from 74% previously.

HOW OUR GPS’ ESG SCORES ARE EVOLVING

Out of 155 GPs who completed our latest survey, 25 did it for the first time

40 GPs

increased their ESG rating compared with last year – this is a marked improvement: only nine GPs managed to improve their score from 2016 in our 2017 survey

87 GPs

maintained their score from last year

3 GPs

saw their rating fall (2%)

CURRENT PORTFOLIO BREAKDOWN

We see a close correlation between GPs who achieve 4 stars for their ESG performance as investors, and those who also achieve the same rating for their commitment to ESG at a corporate level.

SURVEY METHODOLOGY

Ardian’s ESG Monitoring survey overviews two types of information: commitment to ESG as a company (corporate level) and commitment to ESG as an investor (throughout the investment process). The aim is to assess the Environmental, Social, and Governance criteria integration as well as the Responsible Investment practices of the managers of the funds it invests in. Every question on the ESG Monitoring survey is assigned a specific weight and a specific rating is attached to each answer. For each ESG sphere of activities, GPs can obtain a maximum rating of four stars.

HOW FINANCIAL PERFORMANCE
RELATES TO ESG PERFORMANCE

74%

of GPs with outstanding financial performance have best-in-class ESG results (3 or 4 stars out of 4 stars)

Between 2017 and 2018 the proportion of 4-star rated GPs with outstanding financial performance rose from 10% to 33%.