APG is tasked with the implementation of the RI policies of its clients for the total asset portfolio including both listed and non-listed assets. APG is required to report on policy implementation via regular reports to
clients. Breaches of the RI Policy are also required to be reported if discovered. APG ensures that key ESG requirements are reflected in the contractual arrangements with third party external managers. Therefore, contracts with such managers will typically include a mix of the following:
• acknowledgement of APG's responsible investment requirements and exclusion policy requirements
• regular reporting requirements, including frequency and content
• reporting on Sustainable Development Investments
• specific requirements regarding investments in high risk industries or countries
• acknowledgement and adherence to certain international standards (e.g. IFC Performance Standards)
• opt-out rights for certain types of investment
• fund governance requirements modelled on ILPA principles.
• mandatory GRESB participation for real estate managers.
The final form of legal requirements regarding responsible investment criteria will depend on the individual circumstances of each investment.