Creating value from environmental, social and governance issues
Based on our experience of working with clients from the private equity (PE) industry, we have seen a notable rise in attention to responsible investment (RI) and the management of environmental, social and governance (ESG) issues over the last few years. We have also observed what seems to be an emerging common challenge – to demonstrate the value of implementing a responsible investment strategy. Does managing ESG issues really help to create value? And if so, how?
Our survey seeks to explore the PE industry’s response to this question. We also examine what drives PE houses to focus on responsible investment, and how they are tackling the challenge of valuing and measuring their efforts. And we look ahead, asking how the industry’s commitment to addressing ESG risks and opportunities might evolve over the next five years.
This report summarises the results of our survey and presents our view on the key issues arising.