Five private markets giants have created the One Planet Private Equity
Funds group to “advance the understanding of climate-related risks and
opportunities within our investment portfolios so that we can build better
and more sustainable businesses”, the group said in a statement today.
The founding members are
Ardian, The Carlyle Group, Global Infrastructure Partners, Macquarie Infrastructure and Real Assets
and SoftBank Investment Advisers. These firms will link up with the two
other groups in the One Planet
initiative, a 15-strong one for sovereign wealth funds and one for asset
managers.
In a joint statement, the firms said: “We commit to actively collaborate
within the One Planet Sovereign Wealth Fund Framework and engage with the
members of the OPSWF and One Planet Asset Managers. We will also engage
with other stakeholders, potentially including regulators and our broader
industry to further the objectives set out in the Framework.”
The initiative, which was founded by six SWFs in 2017, has published a
framework that sets out three principles to “accelerate the integration of
climate change analysis into the management of large, long-term and
diversified asset pools”. The three principles are: alignment (with the
typically long-time horizon of a SWF); ownership (encouraging companies to
address climate issues); and integration (of climate change considerations
into investment processes).
In an emailed statement, Carlyle chief executive Kewsong Lee described
climate change-related risk as “one of the most pressing issues of our
time,” adding, “We are delighted to become a founding member of the One
Planet Private Equity Funds Initiative and look forward to driving further
progress and navigating the challenges ahead through better collaboration,
data and insights.”
The announcement coincides with a meeting held between French president
Emmanuel Macron and 33 institutional investor CEOs to discuss responsible
investment policies, corporate engagement on climate related financial
disclosure, and new investments in renewable energy solutions, according to
a statement from One Planet group.
To access more of Private Equity International’s global private
equity news and data, visit their website
here.