ITPEnergised, GHD and Bird & Bird have published a new report “Why ESG Matters” exploring how infrastructure investors are managing risk and finding opportunity in the new investment reality of ESG.
ESG impacts every stage of the asset lifecycle – from origination to exit. We have purposely partnered together, recognising the scale of this challenge, and to combine our strengths to market so we may best assist clients in navigating this rapidly evolving landscape. The evidence of our latest research, including a survey completed by 50 investment funds, pension funds, investment banks and sponsors, is that these themes have not been lost upon infrastructure investors. Across the board, investors are more focused on ESG than ever before; many are rethinking their own operating practices while also approaching portfolio strategy with a fresh pair of eyes.
Moreover, investors’ views and understanding are evolving at pace. They no longer see ESG only through the narrow lens of climate change. While they remain absolutely committed to the imperatives of decarbonisation, they are focused on a broad palette of issues that span the social and governance aspects of ESG as well as environmental.
As ESG expectations continue to grow, this Report highlights trends and key issues for enhancing returns both now and in the future.
“The stars are now aligning for a more ESG-driven approach to infrastructure investment. The powerful forces driving investors towards an embrace of ESG appear to have been considerably strengthened by the Covid-19 pandemic. And there is good reason to expect a further acceleration in the years ahead.”
“Navigating ESG – including regulatory, market, technology, and reputational aspects – can be difficult as there is no ‘one size fits all’ approach. Reflecting on broad organisational questions about drivers or incentives, stakeholder
expectations and goals can help to articulate a strategy.”
For more information and advice please contact our team at ESG@itpenergised.com
