"The Portland PE team approached our transaction in a very transparent and collaborative manner. We chose them because we expect them to be partners and more than simply a source of growth capital."
Making a Difference
Impact Investing
We refer to our impact investing orientation as ‘profit with a purpose’. Impact investing is a term that captures the concept that investments can provide financial returns and positive social outcomes while also protecting the environment. A study by JP Morgan and Global Impact Investing Network found that over 90% of impact investors stated that their investments were meeting or surpassing their predictions - impact investing just works. Thus, we consider that an investment with a positive social and environmental footprint is more likely to generate higher and especially secure returns. Involving the interests and risks for local communities enhances the acceptance of a company and thus prevents disturbances in the business operation, most likely avoiding losses.
Nowadays, companies guided by sustainability best practices are those attracting the most talented and skilled people. This being especially important for the Caribbean region as it faces challenges in finding and keeping highly skilled people.
Putting it to work
Our investment activity throughout the Caribbean region reinforces the concept that “long-term value creation and sustainability are inextricably linked”. Environmental, social, and governance (ESG) best practices are part of our firm’s daily workflow and are captured in our Environmental and Social Monitoring System, available here for our stakeholders and all interested parties. For more information on Portland’s ESG program, or our portfolio companies’ ESG programs, please contact us at your convenience.
As part of our general assessment, environmental and social impacts and risks are reviewed for each investment. Our review process is based on international environmental and social standards, such as the Sustainability Standards of the International Finance Corporation. If we detect gaps between those standards and the performance of an investment, we develop adequate corrective measures, which we detail in an Environmental and Social Action Plan (ESAP). The ESAP provides details on the gaps, the necessary actions, the responsible parties and a timeline for the implementation of each action. Of course, during the whole process we work closely with our investee companies as a respectful and supporting business partner.
Read our 2012 AIC Caribbean Fund Impact Report.