We are firmly committed to investing responsibly, in accordance with environmental, social and corporate governance (ESG) criteria. ESG principles, when incorporated into our investment process, add value through combining economic goals with a sustainable development perspective to better meet the long-term objectives of our investors and other stakeholders. Click here for our Responsible Investment Policy.
Integration: ESG is fully integrated into our investment processes for Direct Lending, Special Opportunities, High Yield and Syndicated Loans, and Private Equity Solutions. Wherever appropriate, we seek to engage with stakeholders in order to raise awareness of, influence, and improve ESG practice.
ESG Committee: Our ESG Committee comprises senior management and members of the investment, legal, and business development teams. The Committee meets regularly to implement and oversee our ESG policy and processes, monitor progress towards our goals, and deliberate on how we can improve to become best-in-class in ESG across our business lines.
As the consideration of ESG factors can mitigate risk and potentially enhance returns for our clients, we assess ESG issues and long-term ESG trends during all stages of investment, from initial screening through to investing, monitoring, and exit. We strive for continual improvement and best practice in responsible investment across our business lines.
PRI: Hayfin is a signatory to the UN-supported Principles of Responsible Investment (PRI), a global voluntary initiative focused on the investment industry, whose signatories have committed to integrating ESG factors into investment processes. As a signatory, we commit to the following:
- incorporating ESG issues into investment analysis and decision-making processes;
- incorporating ESG into ownership policies and practices;
- seeking appropriate disclosure on ESG by entities in which we invest;
- promoting acceptance and implementation of the Principles within the investment industry;
- working together to enhance our effectiveness in implementing the Principles; and
- reporting on our activities and progress towards implementing the Principles.
Alternative Credit Council: Hayfin is a member of the Alternative Credit Council (ACC), a global body that represents asset management firms in the private credit and direct lending space. The ACC represents over 100 firms that collectively manage $350bn of private credit assets. ACC members participate in industry level discussions on regulatory and policy matters, support the organisation’s wider advocacy and education efforts, and assist with research conducted by the ACC with a view to strengthening the sector’s sustainability and wider economic and financial benefits.
The ACC is an affiliate of the Alternative Investment Management Association (AIMA), which in 2017 contributed to an industry-wide initiative coordinated by the UN PRI to develop a standardised questionnaire for the due diligence of responsible investment practices.
The UK Stewardship Code: Hayfin Capital Management (HCM) LLP has been a signatory to the UK Stewardship Code 2020 since 2021. The code sets a best practice standard across stewardship for asset managers investing on behalf of UK asset owners. As a signatory we report annually to demonstrate how we invest in line with the Code’s 12 Principles. Our latest submission report is available in full here: here
Hayfin Emerald Management (“HEM”) LLP has not signed the Code but follows the same strategy for the effective stewardship of the assets under the management of HEM LLP as that of its affiliate, HCM LLP, which has signed the Code. In this respect, HEM LLP has adopted and complies with HCM LLP’s processes for ensuring that there is effective stewardship of the assets under HEM LLP’s management.
Contact: If you want to find out more, please contact us.