We are pleased to announce that Mindful Capital Partners III S.C.A. SICAF RAIF (“MCP-III“) has been upgraded to art. 8 SFDR status.
This upgrade represents a significant milestone in the ESG journey that the MCP team has been pursuing for several years. It enhances both transparency towards you and our commitment to ESG topics. Furthermore, it ensures a stronger alignment of MCP portfolio companies with our sustainability strategy, policy, and the best ESG market practices.
These below are the two main implications of art. 8 SFDR for MCP-III:
Identification of E/S characteristics
Art. 8 fund (also referred to as “Light green fund”) is defined as a financial product that “promotes, among other characteristics, environmental or social characteristics, or a combination of those characteristics, provided that the companies in which the investments are made follow good governance practices”.
Therefore, the MCP Team has identified and included in the ESG Policy six environmental and social (“E/S”) characteristics which MCP has devoted particular attention over the years and intends to prioritize through its investments in the coming future. These same areas have been and will continue to be the focus of MCP portfolio companies’ efforts.
|1) Tackling climate change: Raise awareness among the portfolio companies, supporting them in monitoring their greenhouse gas emissions and in adopting carbon reduction initiatives. Promote the use of renewable energy sources and encourage the adoption of energy efficiency measures.|
|2) Improving product sustainability: Encourage the incorporation of ESG considerations in products development and design (for ex.: supporting R&D investments for sustainable materials / products / services, improving the waste management measures and/or water management practices).|
|3) Responsible sourcing: Support the inclusion, at portfolio company level, of ESG criteria in the supplier selection and monitoring.|
|4) Employee safety: Ensure safe working conditions for all workers.|
|5) Employee engagement and well-being: Promote voluntary training and welfare initiatives amongst the employees of the portfolio companies to enhance their personal growth, engagement and retention.|
|6) Diversity & Inclusion: Promote practices based on inclusion and diversity factors and ensure equal opportunities to all employees and candidates.|
Enhanced disclosure to LPs
The MCP Team commits to disclosing information about its ESG Policy and methodologies, including providing clear details on how E/S characteristics are considered in the investment decision-making processes. Additionally, MCP will collect additional data, on top of the usual financial performance data, to measure and monitor the impact of its investments on E/S characteristics. This is done with the purpose of reporting on the progress made towards sustainability goals.
Starting from June 30th, 2023, MCP will annually publish on the corporate website (www.mcpinvest.com) the following documents:
- ESG Investors’ Report which provides updates on the ESG framework, as well as the results from our monitoring and engagement activities with the portfolio companies.
- Updated ESG Policy.
- Updated SFDR disclosure, which includes a description of the principal adverse impacts of investment decisions on sustainability factors.
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At Mindful Capital Partners, we firmly believe that investing responsibly not only delivers better returns but also provides substantial long-term social as well as environmental benefits. We look forward to continuing our journey towards responsible and sustainable investments.