Responsible Investing

We have always considered ourselves to be a responsible investor

Our priority sectors are consumer brands and customer-facing sectors in which sound management of environmental, social and governance (ESG) issues is not only the right thing to do, but is critical to protecting and creating value for companies and our investors.

For our investments, examples of material ESG impacts could include:

Environment
Energy efficiency, waste management and packaging

Social
Labour standards in the supply chain, health and safety, and training and development of staff

Governance
Business conduct, and anti-bribery and corruption

We have a real opportunity, and a responsibility, to make a positive difference

The purpose of this policy is to begin to formalise our commitment and approach to responsible investment in order to ensure ESG issues are actively managed as a senior partner priority at Bluegem, and to encourage Board level engagement and ownership for corporate responsibility issues at our portfolio companies. 

Our policy is, to the best of our ability, to:

Comply with all relevant regulations, at Bluegem and at our portfolio companies, in the countries in which we operate;

Manage and minimise our own direct ESG impacts;

Integrate ESG considerations into all stages of the deal cycle – from due diligence throughout the period of our ownership, and at exit;

Encourage portfolio companies to consider and address all ESG issues relevant to their business, with the aim of delivering continuous improvement; and

Track and report progress of ESG initiatives at portfolio companies

Our responsible investment policy is complemented by a full set of ESG policies that includes among others:

 
 

UN PRI

  • The PRI is the world’s leading proponent of responsible investment.

    It works:

    to understand the investment implications of environmental, social and governance (ESG) factors;

    to support its international network of investor signatories in incorporating these factors into their investment and ownership decisions.

    The six Principles for Responsible Investment offer a menu of possible actions for incorporating ESG issues into investment practice.

    Principle 1
    We will incorporate ESG issues into investment analysis and decision-making processes.

    Principle 2
    We will be active owners and incorporate ESG issues into our ownership policies and practices.

    Principle 3
    We will seek appropriate disclosure on ESG issues by the entities in which we invest.

    Principle 4
    We will promote acceptance and implementation of the Principles within the investment industry.

    Principle 5
    We will work together to enhance our effectiveness in implementing the Principles.

    Principle 6
    We will each report on our activities and progress towards implementing the Principles

 
 

UN iCI

  • The iCI believe that the global private equity industry has to play its part in tackling climate change by leveraging tried-and-tested methodologies to analyse and mitigate carbon emissions and exposure to climate-related financial risks in their portfolios.

    The three commitments of the iCI are:

    1
    We recognise that climate change will have adverse effects on the global economy, which presents both risks and opportunities for investments.

    2
    We will join forces to contribute to the objective of the Paris Agreement, to limit global warming to well-below 2 degrees Celcius and in pursuit of 1.5 degrees Celcius.

    3
    We will actively engage with portfolio companies to reduce their greenhouse gas emissions, contributing to an overall improvement in sustainability performance.

SFDR

  • The Sustainable Finance Disclosure Regulation (SFDR) is a European regulation introduced to improve transparency in the market for sustainable investment products, to prevent greenwashing and to increase transparency around sustainability claims made by financial market participants.

    It imposes comprehensive sustainability disclosure requirements covering a broad range of environmental, social & governance (ESG) metrics at both entity- and product-level. The main provisions of the SFDR have been applicable as of 10 March 2021, with a statutory instrument known as a Delegated Act containing more precise disclosure standards yet to be adopted by the European Commission. The SFDR is a fundamental pillar of the EU Sustainable Finance agenda, having been introduced by the European Commission as a core part of its 2018 Sustainable Finance Action Plan, which also include the Taxonomy Regulation and the Low Carbon Benchmarks Regulation.

    Read more about this regulation