Using our Active Owner approach to Responsible Investing, our investment process is designed to encourage discussion of ESG during the investment committee process.
During the Investment Committee process, a dedicated page on sustainability is included where ESG issues are addressed to determine the compliance of the investment with the overall sustainability strategy and vision of AXA IM - Real Assets as well as to highlight any qualitative ESG criteria met by the asset in terms of tenant comfort and wellbeing. These factors are mandatory to be addressed during the investment decision making and acquisition process to systematically determine an action plan for compliance with our strategy if a high ESG risk is identified. For development assets, AXA IM - Real Assets applies our strict sustainability policy - encompassing both initial construction and design and use - to all its developed buildings.
In addition, as per the update of the investment committee template, the first page includes a dashboard where a summary of ESG information is displayed which demonstrates: potential regulatory risk, physical risk, counterparty risk, certifications and environmental performance
To be transparent, investment decisions will be based on a combination of factors including traditional property criteria of location, tenant financial covenant, level of rent, length of lease, et al and not exclusively driven by ESG and sustainability factors.