It will ensure consideration of material environmental, social and governance (ESG) factors in investment decision-making, through education and knowledge sharing and providing guidance on integrating responsible investment throughout the investment process from origination to exit.
An Infrastructure Advisory Committee composed of 17 limited partner and general partner representatives – among them Hesta, IFM Investors, Allianz Global Investors and Aviva Investors—from nine countries will share their expertise and guide the new infrastructure strategy.
The workstream will involve a series of initiatives to support and guide infrastructure investors on implementing robust responsible investment strategies. By including ESG considerations, infrastructure projects can increase value and future revenue. The commercial reality is that investors adapting to the ‘new normal’ of a low/no return environment are seeking opportunities for higher returns.
Long-term investors with lots of patient capital need a home for those funds and infrastructure, leading to long-term value for investors and society.
Fiona Reynolds is managing director of Principles for Responsible Investment
