Sustainability and Responsible Investment

As a financially focused investor and signatory to the UN Principles for Responsible Investment (‘UN PRI’), CIP recognizes the importance of environmental, social and governance (‘ESG’) topics on the long-term performance of its funds under management. CIP’s approach to sustainability is founded on the strong and consistent link between high environmental, social and governance (ESG) standards and value creation.

Responsible ESG management creates value primarily through selecting and structuring desirable projects with lower risk profiles, and avoiding negative return impacts due to unexpected costs and project delays. To maximise this value creation and manage ESG impacts in a responsible and sustainable manner, consistent with its role as a fiduciary investment manager, CIP integrates ESG throughout the investment process and implements ESG at the project level.

Additionally, CIP has defined ESG standards for each of its funds, and CIP reports directly on ESG topics on a quarterly and annual basis to investors in its funds. Further general information about CIP’s approach can be found by downloading the overview from the ‘ESG report’ section below.

The investments have positive climate and social impacts

The Funds’ investment strategies, which focus on greenfield and renewable energy projects, create positive impact on the environment and aid high quality job creation across global markets. The projects in the CIP managed funds’ portfolios at 31 December 2019 once operational, are estimated to sustainably power approximately 3.0 million households and save the equivalent of approximately 5.6m tonnes of CO2 each year.

~3,000,000

equivalent households powered
once projects are fully operational.

~5,600,000

tonnes CO2 avoided each year
once projects are fully operational.

ESG report

Below you can discover more about our ESG framework and how we integrate ESG into our investment process.

Download overview

Sustainability-related disclosures

Introduction to Sustainable Finance Disclosure Regulation

On 10 March 2021, the EU Sustainable Finance Disclosure Regulation (Regulation 2019/2088) (‘SFDR’) entered into force. This regulation requires all alternative investment fund managers to publicly disclose on their website:

  • their sustainability approaches
  • the sustainability profiles of all of their managed funds that are marketed after 10 March 2021

Below you can find these two regulatory disclosures.

CIP’s sustainability approach

CIP’s sustainability approach is described in the section above titled ‘Sustainability and Responsible Investment’ and the overview which can be downloaded above.

For CIP’s formal disclosure statement under the Sustainable Finance Disclosure Regulation, please click here.

Sustainability profile of funds

CI-IV and CI-ETF I are currently the only funds managed by CIP that have been marketed after 10 March 2021.

Under the SFDR, funds can be generally classified in three ways:

  • Article 6 funds, which do not have any sustainable or ESG element or strategy
  • Article 8 funds, which promote, among other characteristics, environmental or social characteristics (“light green” funds)
  • Article 9 funds, which have, as their objective, investments in economic activities that contribute to environmental or social objectives (“dark green” funds)

On the basis that they are financially focused funds with an objective to invest in economic activities that contribute to an environmental objective, both CI-IV and CI-ETF I are currently assessed as Article 9 (“dark green”) funds.

For CI-IV’s formal disclosure statement under the Sustainable Finance Disclosure Regulation, please click here.

For CI-ETF I’s formal disclosure statement under the Sustainable Finance Disclosure Regulation, please click here.

Human Practice Foundation

CIP provides financial support to the Danish charity foundation Human Practice Foundation, which focuses on improving education and developing social entrepreneurships in the poorest areas in the world. The organization’s vision is to allocate and utilize resources and create real, measurable growth and sustainable development for the funds received, and to give children in developing countries the possibility to lift themselves out of poverty.

In March 2018 CIP participated in the inauguration of the Saraswati Sikaicha Secondary School in Taplejung, Nepal – a project where CIP has contributed financially to the construction of the school building and various equipment.

You can learn more about Human Practice Foundation and Saraswati Sikaicha Secondary School on humanpractice.org.