2019

Guidance on how an investor can develop a responsible investment policy.

Use this resource to:

• Governance: Develop investment policies and incorporate sustainability considerations into the investment process.

This reporting framework offers companies seven guiding principles and 12 reporting requirements to help prepare (financially) material and decision-useful environmental disclosures for the mainstream report. CDSB additionally offers topic-specific guidance for companies, such as on climate-related reporting and climate accounting.

Use this resource to:

• Measure, assess and value: Understand the measurement and disclosure standards and guidance for organisations, so that investors can provide capacity to the asset to help adherence.
• Communicate: Understand how underlying assets might prepare environmental and climate change information in a way that connects to mainstream financial information.

Guidance on designing impact measurement systems for impact investments selection.

Use this resource to:

• Measure, assess and value: Design an impact measurement system for impact investments.

Regulation that sets out sustainability disclosure requirements for financial market participants within the EU. It includes disclosure requirements for firm-level as well as for investment products. Disclosure requirements cover mitigation of negative impacts termed ‘principal adverse impacts’ and performance on sustainable investment objectives.

Use this resource to:

• Communicate: Review regulation for disclosure requirements for financial market participants in the EU

The EU Climate Transition Benchmarks (CTB) and Paris-Aligned Benchmarks (PAB) are examples of portfolio impact benchmarking techniques being employed in regulation. The regulation sets out requirements for index providers to construct investable indexes that are on a 7% decarbonisation trajectory.

Use this resource to:

• Measure, assess and value: Review EU’s proposed approach for establishing benchmarks, which incorporates greenhouse gas emissions at portfolio level. A climate benchmark serves as an investment performance benchmark for GHG emission-related strategies; an engagement tool and a policy benchmark to help guide strategic asset allocation.

The Principles for Responsible Banking (PRB) guide banks in aligning their business strategies with society’s goals, as well as promoting sustainability. These principles aim to encourage banks to play a crucial role in achieving global sustainable development objectives, including addressing climate change, promoting financial inclusion and fostering sustainable economic growth.

This is a cross-cutting resource, meaning that it supports the internal impact management process as a whole, rather than one or a few of the Actions of Impact Management.

The B Corp Certification is an assessment process that evaluates a company’s social and environmental performance, as well as governance and transparency. Organisations that achieve B Corp Certification demonstrate a commitment to meeting a high standard of responsible business practices and accountability.

Use this resource for the following Actions of Impact Management

• Verification, assurance and certification: Achieve B Corp certification by meeting the standards set by B Lab, demonstrating a commitment to social and environmental performance, accountability and transparency.
• Benchmarking and rating: Compare impact scores and metrics with those of other organiations within the same industry or sector.

The Social and Human Capital Protocol is a framework designed to assist organisations in identifying, measuring, and managing their impacts and dependencies on social and human capital. It provides a standardised approach for businesses to integrate social and human capital considerations into their decision-making processes, enabling them to better understand and manage their relationships with employees, communities and stakeholders.

This is a cross-cutting resource, meaning that it supports the internal impact management process as a whole, rather than one or a few of the Actions of Impact Management.

Standard and guidance on how to apply the third of SVI’s Social Value Principles.

Use this resource to:

• Measure, assess and value: Use the guidance to value impacts from the perspective of affected stakeholders. This standard emphasises the importance of using data collected directly from stakeholders.

Standard and guidance on how to apply the first of SVI’s Social Value Principles.

Use this resource to:

• Identify: Use the guidance on identifying stakeholders and engaging with them to understand actual and potential significant impacts.
• Set targets and plan: Use the guidance on identifying stakeholders, engaging with them, and collecting information to help shape strategy and objectives.