Landmark Partners ESG Policy
Introduction & Scope
Landmark Partners believes that effectively integrating environmental, social and governance (“ESG”) considerations into our investment process supports our mission to deliver consistent and strong risk-adjusted returns. We are a signatory to the Principles for Responsible Investment (PRI) and strive to apply this set of best practices to our investment activities. While a majority of our investments are in the secondary market where we assume ownership stakes in hundreds of partnerships and thousands of underlying assets, we will use our influence with fund sponsors and investment managers to encourage best practices where possible. We understand that corporate social responsibility and sustainability issues are of integral importance and take seriously our duty to the investors we serve.
Investment Analysis & Due Diligence
We recognize that ESG considerations increasingly represent material risks and opportunities that have the potential to impact fund value. We will endeavor to develop a comprehensive awareness of these issues during our due diligence process.
We hold ourselves to the highest professional standards and seek to invest in underlying funds that demonstrate a commitment to standards of good conduct, including at a minimum, compliance with all applicable local and international laws and regulations. Additionally, it is our preference to invest in underlying funds that demonstrate performance beyond minimum standards including, but not limited to, topics such as environment (e.g., pollution & waste), social (e.g., labor laws, health & safety, human rights) and governance (e.g., anti-bribery & corruption, ethics, accounting) impacts.
Landmark’s diligence process aims to develop an understanding of investment exposures and risks. Data is aggregated through review of fund reporting, direct interaction with fund sponsors, market research, and utilization of Landmark’s network of market professionals. It is Landmark’s objective to gather and record information on ESG considerations during this process.
Fund sponsors and investment managers are requested to provide information regarding their ESG policies during our diligence process. Results are incorporated in the Investment Memo and logged in our investment evaluation files.
During investment ownership, we continue to monitor the ESG progress of our underlying funds to ensure our clients’ interests are well protected.
If we become aware of a significant ESG issue that requires active attention, we work with the underlying fund to understand how they are addressing the situation. Where possible, we use our influence on our fund manager calls to address ESG issues and concerns.
Landmark encourages systematic senior level review of ESG during the investment cycle. Landmark’s ESG Steering Committee oversees ESG policy, performance and reporting which will segment the Private Equity, Real Estate and Real Assets businesses. The Chief Compliance Officer is responsible for managing implementation of the ESG policy and advancing further ESG integration into investment processes. The Investment Committee has ultimate responsibility for determining how significant ESG issues will be managed.
We incorporate ESG materials into our annual compliance training that is mandatory for all employees. These materials provide an overview of key ESG issues and topics to ensure firm-wide awareness and education. Additionally, we engage ESG subject matter experts to provide training to deal team members on how to identify and assess ESG issues during due diligence.