On top of the traditional financial variables, we incorporate the Environmental, Social and Governance issues (“ESG”) into our investment strategy, process and risk management framework. Responsible Investments and ESG Issues are an integral part of our due diligence process for both direct investments as well as all investments made into mutual funds. 

SFDR: Click here for more information on Sustainability Risk Integration in the Investment Decision-making Process (PDF) Please Note that the Laicorn Opportunity Fund is categorised as an Article 6 Product.

External Fund Managers

Factors we appreciate when selecting external Fund Managers include integration of ESG analysis into portfolio management, regular reporting as well as transparency in terms of ESG issues. For us it is important that our Fund Managers are open and transparent about their ESG capabilities and also the challenges they may be facing. Active ownership and commitment to international norms, principles of responsible investments as well as other initiatives supporting sustainability is seen as an advantage. Furthermore, we expect Management Companies to publicly disclose their corporate governance and ESG policies.

Direct investments

We expect our investee companies to respect international norms related to human rights, labor rights, environment and corruption and to offer up to date, transparent information on their sustainability efforts. These factors, together with a more detailed ESG analysis, are integrated into our company evaluation model. When appropriate, we may use our voting right at AGMs or even be a member in the boards or nomination committees of our investee companies. Furthermore, we may engage with companies and collaborate with other investors on selected, sustainability related topics.

ESG Due Diligence

We also have a detailed ESG Due Diligence questionnaire, that we require to be filled out by all of our Fund Managers. In this questionnaire we ask about the ESG approach of the fund as well as the portfolio managers and analysts experience in ESG. We also ask more detailed questions about the ESG analysis as well as ESG materiality and KPIs. Transparency and reporting aspects of the fund are also covered in our due diligence. In regards of the Management Company, we require them to have an ESG Policy publicly available. We also request them to disclose whether they are a signatory of PRI or other investor initiatives and whether their funds have any ESG labels.