ESG | Archipelago

Environment, Social, and governance (ESG)

Our approach to ESG at Archipelago Capital Partners is centred on a basic question:

"How do we invest in profitable opportunities that drive growth and economic development

for companies and people today, while enhancing their ability to sustain such growth?"

Our success as an asset manager anchored in Southeast Asia is tied to the long-term growth and economic development of the region. Growing income level creates more investment opportunities for us. Faster growth attracts more investments in the market that can raise the valuation of our investments. Addressing the question of sustainable growth and development is therefore an essential part of our business. It is also core to our values as a responsible investor.

ESG Management

1 / Policy & Management System

Our ESG Policy and Environmental and Social Management System (ESMS) guide how we integrate ESG considerations across our investment process in line with leading international standards and frameworks including IFC Performance Standards, Sustainability Accounting Standards Board (SASB), and Taskforce on Climate-Related Financial Disclosures (TCFD).

2 / Governance

At Archipelago, everyone is involved in ESG. Our board and the CEO sets the direction. Our Investment Committee provides their considerations on ESG for every investment we make. Our Investment Team and ESG Officer work closely together to ensure the implementation of our ESG commitments. Every quarter, we gather as a team to review our progress and discuss improvement opportunities.

3 / Integration into Investment Process

We consider ESG risks and opportunities across our investment process from deal origination to investment screening, deal structuring, portfolio management, and exit.

4 / Capacity Building

We continually build the capacity of our team to identify and successfully manage ESG risks and opportunities, including our Board, Senior Management, Investment Team, Support Team, and Operating Partners through regular dialogues and training.