We involve all relevant persons involved in the decision making processes of each fund/vehicle to ensure that they are familiar and use the ESG DDQ for analysing ESG factors and risks in the investment process. We ensure that this information is submitted to the decision makers (investment committee or similar) as part of the overall investment recommendation, in line with the ESG internal regulation. The DDQ information is stored in a central database to be used for reporting purposes and follow-up of investments.
We ensure that efforts are made to incorporate ESG into existing mandates. This process involves close dialogue with the investors in such mandates and PAI takes the responsibility for ensuring that the investors recognise the importance of incorporating ESG in the mandates to improve the risk/reward of the investments.
We ensure that all marketing material, mandates and relevant investor agreements for new funds/vehicles include ESG analysis and reporting. The marketing material covers ESG matters extensively and is also incorporated into the set of agreements governing the mandates, so that there is a clear obligation to review, assess and monitor ESG factors and issues. We are also starting to factor in ESG performance into the terms and conditions of our investments, so that our counterparts are incentivised to improve their ESG performance.
All progress is reported to the Board of Directors of PAI.