We believe that every good business should have strong environmental, social and corporate governance (ESG) principles – and that building these principles into our business practices is good for our investors, employees, investee companies and their stakeholders in the long term.
Our approach is led by the Firm's core values which include our responsible behavior towards environmental, social and governance matters in investing.
Our Values & Culture
We have a well-defined set of values and standards to guide our teams, about how they behave and represent Stakeboat Capital – and as far as possible we apply these values in our approach to ESG. To achieve this, we strive to apply standards of professionalism uniformly across the firm.
We work hard to maintain these standards, and this is reflected in our management structure. We have in place an investment committee with well experienced partners from across our businesses which will decide if we can invest in a particular business which is binding on the firm and its employees.
Governance to us means more than simply complying with laws in the countries where we and our investee companies operate. The companies we invest in have similar governance structures to ensure legal compliance and to monitor performance. Investment companies are also structured so that Stakeboat Capital has to approve any major decisions before they're made.
We also have governance structures to ensure that we are completely accountable, transparent and that our interests are aligned with those of our investors. We have internal policies to eliminate conflicts of interest, taking into account our fund management obligations and fiduciary duties. If there are conflicts, we will address them with integrity, professionalism and in the best interest of our investors.
We are fully aware of the impact we leave on the environment in the countries we operate – for example through the goods and services we buy, the products we consume, the investment processes we apply when we acquire companies, etc.
Our environmental policy focuses on three areas:
1. Minimizing the impact on the environment
We aim to reduce carbon footprint by identifying more efficient resource use, recycling opportunities and, where necessary, by paying to offset our or our investee companies’ carbon emissions. Every year we conduct an internal survey to make sure we are complying with our own ambitions, and we present the results to Stakeboat Capital's Operating Committee for review and action.
2. Assessing environmental impact before making a new investment
We invest responsibly, so we insist that pre-investment proposals include a breakdown of a business's environmental impact- for example on water use, waste management, energy and sourcing. Otherwise we require confirmation that there are no issues that the Investment Committee should be aware of. Once we have invested in a company, the executive management team is made responsible for compliance with environmental legislation - and if there is a breach, it is reported immediately to Stakeboat Capital's representative on the board.
3. Encouraging existing investee companies to adopt appropriate policies
Our board members in investee companies always encourage management teams to abide by environmental policies in their operations. These tend to focus on energy use, waste and recycling, water use and conservation, and supply chain environmental management. If the company makes any acquisitions while under our ownership, we make sure that they consider environmental policies in any due diligence, and monitor them after acquisition.
We insist that our investee companies comply with employment laws, especially relating to employees’ rights and welfare, and encourage them to work with responsible trading partners and suppliers.