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Tikehau Capital

PRI reporting framework 2018

Export Public Responses

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Implementation processes

FI 01. Incorporation strategies applied

01.1. Indicate 1) Which ESG incorporation strategy and/or combination of strategies you apply to your actively managed fixed income investments; and 2) The proportion (+/- 5%) of your total actively managed fixed income investments each strategy applies to.

Corporate (non-financial)
0 Screening alone
0 Thematic alone
0 Integration alone
100 Screening + integration strategies
0 Thematic + integration strategies
0 Screening + thematic strategies
0 All three strategies combined
0 No incorporation strategies applied

01.2. Describe your reasons for choosing a particular ESG incorporation strategy and how combinations of strategies are used.

Our fixed income investments include private direct lending, leveraged loans (including CLOs) and listed fixed income management (investment grade and high yield).

In terms of ESG screening, Group exclusion principles are applied to potential investments. Manufacturers of controversial weapons and issuers based in high risks jurisdictions are excluded.

In terms of ESG evaluation approach, investment analysts perform a detailed review of each potential investment which includes a range of ESG factors. This is being formalized by implementing a proprietary ESG risk tool. If there is a concern over an investment opportunity (e.g.. polluting industry, controversial businesses, etc.), the ESG committee will be called.

ESG monitoring processes will be implemented from 2018: In terms of ESG monitoring for listed fixed income securities and CLOs, research analysts will update the analysis risk tool on an annual basis. In terms of ESG monitoring for private debt securities, an ESG questionnaire will be sent to portfolio companies and the results will be monitored by investment teams.

For companies offering a greater access to management, the investment teams may ask ESG questions during management interviews and promote best practices.

01.3. Additional information [Optional].

FI 02. ESG issues and issuer research (Private)

FI 03. Processes to ensure analysis is robust

03.1. Indicate how you ensure that your ESG research process is robust:

03.2. Describe how your ESG information or analysis is shared among your investment team.

03.3. Additional information. [Optional]