The purpose of this tool is to provide a framework for investment organizations to do a candid self-assessment of areas needed for future sustainability effectiveness. Organizations can assess their strengths and develop plans for building their capabilities where gaps exist.
Instructions: Select the most accurate answer.
ESG EDUCATION
What proportion of investment professionals at your organization have completed an ESG/sustainability course or certification, or have more than five years of experience in this area?
What proportion of investment professionals at your organization have access to an ESG/sustainability expert, either as part of the team or as an external resource, who can provide in-depth explanation on ESG-related matters?
Agree or disagree: Our organization has a commitment to ESG/sustainability training and to ensuring professionals have access to continuous learning materials.
SYSTEM-LEVEL THINKING
Agree or disagree: Our investment teams have T-shaped skills (the ability to both understand different fields and make connections between them).
How significant are second and third order (ripple) effects in the consideration of investment decisions?
Does your investment process include consideration of system-wide impacts (such as the impact from and on climate and financial stability)?
COLLABORATION SYNERGY
With how many ESG/sustainability-focused industry groups do you have meaningful relationships/collaborations (e.g., PRI, Climate Action 100+)?
How would you describe the infrastructure your organization has in place to encourage internal networks to incorporate ESG across functional areas (for example, research, portfolio management, risk management)?
Agree or disagree: There are effective engagements and/or collaborations with the organization’s key stakeholders (including clients, beneficiaries, investee companies).
ESG DATA
How would you rate your organization’s ability to evaluate all data sets and draw valuable insights, including hard data and soft data?
Agree or disagree: Our organization’s investment process uses significant ESG data sources.
Agree or disagree: Our organization’s technology systems and platforms are able to handle all data types, including non-traditional sources (such as geospatial, survey, and social media).
SUSTAINABILITY INNOVATION
Agree or disagree: Our organization can effectively customize mandates to target certain extra-financial objectives and/or use custom benchmarks.
Agree or disagree: Our investment models have a track record of being dynamic and forward-looking, and incorporate current and emerging ESG/sustainability factors.
Agree or disagree: Incentives and the right organizational culture exist to encourage innovation.
PURPOSEFUL CULTURE
Agree or disagree: Our investment process considers various stakeholder interests and longer time horizons.
Agree or disagree: Our organization is committed to the idea that sustainability can secure benefits for both our clients and our organization in the long term.
Agree or disagree: Our culture emphasizes the importance of inclusiveness and the engagement of our people.