Promoting sustainable development
Environmental, social and governance (ESG) issues are at the heart of professional shareholders’ concerns.
The ESG Commission was created in February 2013. It succeeds the Sustainable Development Club created in 2010.
The ESG Commission brings together 34 member structures that work to take into account non-financial issues into the practices of management companies and of the companies they support. The Commission’s role is to engage the private equity profession in the adoption and implementation of responsible investment policy within management companies and their portfolio companies, creating value (financial and non-financial) for companies as well as for the funds backing them and for their stakeholders.
The Commission’s objectives are set out in three main areas of work:
- a historical area of training and sharing experience on all environmental, social and governance issues;
- transparency and dialogue with the ecosystem of institutional investors, public authorities, companies and partner organisations in France and abroad;
- the fight against climate change with the 2020 Climate initiative, an area that mobilises us as citizens.
The Commission is organised around a steering committee of 12 members who manage five working groups:
- GT1 : IC20 – 2020 Climate Initiative
- GT2 : Breakfast meetings – ESG conferences
- GT3 : Annual ESG report
- GT4 : ESG Guide
- GT5 : ESG dialogue between LPs and GP
Marc Guyot (LBO France) Chairman of the ESG Commission
The Commission’s objectives are to:
- Bring together France Invest members involved in taking ESG non-financial criteria into account and committed to a responsible investment approach
- Serve as a platform for exchanging experience on the implementation of an ESG policy within management companies and their portfolio companies
- Make strategic and tactical recommendations to the Board of Directors of France Invest on ESG matters
- Act as a coordinator on responsible investment topics in relation to the PRI (Principles for Responsible Investment), other European associations (BVCA, EVCA) and all private equity stakeholders.
Focus: 2020 Climate Initiative
The ESG Commission has stepped up its actions to embrace changes in sustainable finance and to develop the IC20 (25 signatories), while ensuring cross-cutting application of ESG across France Invest’s other Commissions.To this end, workshops have been created for IC20: training & awareness, methodology & simplified and advanced action plans and positive contributions.
The IC20 Initiative brings together more and more French private equity players, and “embraces” all the business lines in the profession, GPs and LPs alike, in the recognition and consideration of the climate issue in our business.
The objective: Effectively contribute to reducing CO2 emissions and to the energy and low carbon transition. How? By sharing methodologies and commitments with all stakeholders in the private equity sector who want to be involved in the fight against climate change. A “Climate” training course is offered and supplements the France Invest Academy’s training catalogue.