Responsible Investing

Investindustrial leverages Sustainability as a catalyst to drive financial returns and risk mitigation.

Investindustrial’s objective is to maximize returns for the funds that it manages and stakeholder value through a number of factors. These include, where appropriate, identifying sustainability risks and opportunities, and ensuring appropriate focus and resources are allocated to mitigate risks and capitalise on opportunities. As such, Investindustrial follows a systematic approach to incorporate sustainability throughout the investment process, from pre-investment due diligence to realisation, focusing on value preservation and value creation factors.

Investindustrial’s sustainability value preservation and creation approach is underpinned by Investindustrial’s Responsible Investment Policy and Sustainability Policy, first issued in 2009, and last updated in 2024. With Investindudustrial’s latest fund including sustainable investments, the updated Responsible Investment Policy includes our proprietary approach for sustainable investments using recognised frameworks including the Sustainable Development Investments (SDI) framework and the EU Taxonomy of Sustainable Activities, which includes both the Green and Social taxonomies.

Investindustrial’s dedicated Sustainability team works closely with the Investment advisory team to support pre-investment due diligence and exit preparation and outcomes. The combined impact of sustainability, climate, governance, supply chain and corporate culture initiatives on the value of each portfolio company is assessed against revenue, cost, risk and reputation.

Post-investment, Investindustrial’s Sustainability team collaborates with the Investment advisory team on sustainability, supporting portfolio companies in adopting and integrating Investindutrial’s sustainability framework into their strategies and plans. This approach is an integral way of ‘Building Better Companies’. It will typically take place over a three to five year period, depending on the sophistication of each business and the maturity of their existing sustainability programmes and initiatives and whether sustainable transformation is core to the value creation plan.