Climate Endowment

Important information on dealing with sustainability in accordance with the Transparency Regulation

As a company, we want to contribute to a more sustainable, resource-efficient economy with the aim of reducing social problems and the risks and effects of climate change. In addition to observing sustainability goals in our corporate organization, we see it as our task to sensitize our partners to aspects of sustainability in the design of the business relationship with us and their actions. 

In providing investment advice, Climate Endowment undertakes to consider essential ESG aspects in due diligence and in the monitoring of portfolio investments, insofar as this is appropriate under the given circumstances. 

Climate Endowment Group recognizes the importance of all UN Sustainable Development Goals (UN SDGs). When considering the UN SDGs for our current funds, Hydropower and Forestry, our focus is on the goals listed below: 

UN Goal No. 6: Clean Water and Sanitation – Ensure availability and sustainability management of water and sanitation for all.

UN Goal No. 7: Affordable and Clean Energy - Ensure access to affordable, reliable, sustainable and modern energy for all.

UN Goal No. 9: Industry, Innovation and Infrastructure - Build resilient infrastructure, promote inclusive and sustainable industrialization and foster innovation.

UN Goal No. 12: Responsible consumption and production – Ensure sustainable consumption and production patterns.

UN Goal No. 13: Climate Action - Take immediate action to combat climate change and its effects.

UN Goal No. 15: Life on Land - Protect, restore and promote sustainable use of terrestrial ecosystems, sustainably manage forests, combat desertification, end and reverse soil degradation and put an end to the loss of biological diversity.

Sustainability criteria therefore not only apply to the Climate Endowment Group itself, but are also considered when establishing funds, the sub-funds. 

CE is industry agnostic and invests in the global roll-out of mature technologies with infrastructure or hard asset characteristics directly or through co-investments.  

The setting and context of each investment is highly variable due to the changing circumstances in the industry, capital structure and diverse geography being considered. Thus, the potential environmental and social risk and impact of each project will also vary due to various factors such as the type and sizes of the investment, the location and the environmental baseline. Further the social risk and impact needs to be considered regarding communities affected under any investment decision.  

The Impact team will consider the following steps to verify and substantiate the impact details of every investment:  

  

 

Initial screening for activities which could cause significant harm to each environmental objective

Life-cycle analysis and risk assessment for economic activities

Checking for significant harm mitigation potential for sectoral activities

Contrast and evaluate against relevant key findings from research and technical publications

Align with international standards, laws, conventions and the global SDGs

Verify geographical/physical, climatological and/or hydrological conditions on potential deployment

Process

Climate Endowment group does not offer financial instruments that clearly do not consider a strategy to include sustainability risks in their investment decisions. If there are exceptions, these will be explained individually. 

The respective investment advisor provides information about the respective consideration of sustainability risks in investment decisions with his pre-contractual information. 

Our company’s strategies for incorporating sustainability risks are also incorporated into the company’s internal organizational guidelines. The observance of these guidelines is decisive for the evaluation of the work performance of our employees and thus has a significant influence on future salary development. In this respect, the remuneration policy is in line with our strategies for including sustainability risks. 

If you have any questions, customers are welcome to contact us in advance of a potential investment.