Our takehomes from the 2024 BVCA ESG & Sustainability Conference
Ashalan Pillay, our ESG & Impact consultant, shared his key takeaways from the event. These include the societal benefits of impact investing, the crucial role of materiality assessments in engaging portfolio companies, the growing sophistication of ESG in private debt, and the importance of viewing ESG from an investor's perspective.
Impact investing
A key highlight of the conference was a panel discussion on the scalability of impact investment. Contrary to common belief, impact investing does not mean sacrificing financial returns for societal benefits. The top companies often tackle major societal problems with scalable solutions. This approach allows impact investors to focus on firms that can maximise both their positive impact on society and their returns for investors.
ESG in private debt
The panel on ESG within private debt highlighted the field's ongoing development and increasing sophistication. ESG professionals in private debt firms are becoming more important. They work with sponsors, investment teams, and portfolio companies to improve sustainability performance, showing significant progress in the field.
Materiality in portfolio management
Another key insight from the conference was the importance of materiality in managing portfolio companies. Conducting a materiality assessment is essential for ESG professionals, as it helps tailor each engagement to the specific needs of the portfolio company. This approach enables greater buy-in from the leadership team and leads to more successful engagements for ESG professionals.
Viewing ESG with an investor mindset
A common theme from all the panels was the importance of framing ESG correctly for both internal and external stakeholders. Speakers emphasised the need to filter ESG through an 'investor mindset' to ensure buy-in at all levels. This approach helps portfolio companies understand the benefits of sustainability initiatives, fostering greater engagement and successful implementation.
Get in touch with Ashalan Pillay, our ESG & Sustainability expert
Ashalan's profile
