Schroders has achieved top ratings for its global impact investment strategy after seeking independent verification of its process.
This follows the introduction of a new metric: the Operating Principles for Impact Management. The Impact Principles are the industry standard for integrating impact throughout the investment lifecycle, which are now hosted by the Global Impact Investment Network (GIIN), of which Schroders has been a member since April 2021.
The nine principles cover areas such as strategic intent, origination and structuring, portfolio management, and impact at exit, and include independent verification.
These results are the first independent verification of Schroders’ impact management and measurement framework, which was built in close collaboration with impact investment specialist BlueOrchard, which Schroders acquired in 2019.
Since then Schroders has been enhancing its capabilities in impact investing across asset classes and addressing investors’ increasingly challenging requests to deliver returns, while also having a positive social and environmental impact.
Schroders engaged BlueMark, an independent provider of impact verification services, to undertake the verification of the alignment of Schroders’ impact management and measurement system with the Impact Principles.
BlueMark assessed Schroders’ investment policies, processes and tools, spanning the range of teams responsible for their implementation and oversight, to assess how impact practices were embedded across the firm’s impact strategies, across both public and private markets.
Schroders scored the top ratings – high or advanced – on all nine principles. Schroders impact investment lead Catherine Macaulay says: “Asset managers have a key role to play in allocating capital to create investment opportunities whist also tackling pressing social and environmental challenges, such as the energy transition.
“BlueMark’s independent verification marks another milestone in Schroders’ sustainability and impact journey. The result is testament to our commitment to having a robust product range and the rigour and integrity of our group-wide approach, strongly anchored on BlueOrchard’s best-in class impact investing framework.”
