As part of the Danske Bank Group our overall responsible investment approach in Danske Private Equity reflects Danske Bank's approach to Responsible Investment, which is underpinned by clear policies, instructions and guidelines. Find relevant documentation on Danske Bank’s approach here: Sustainability related disclosures
Statement on Integration of Sustainability Risks
Purpose Pursuant to Article 3 of Regulation (EU) 2019/2088 on sustainability-related disclosures in the financial services sector (the “Sustainable Finance Disclosure Regulation”) this statement provides information on how Danske Private Equity integrates sustainability risks in investment decision-making processes for assets under management.
The Sustainable Finance Disclosure Regulation defines “sustainability risk” as an environmental, social or governance (ESG) event or condition that, if it occurs, could cause an actual or a potential material negative impact on the value of an investment. Sustainability risks relate, among other things, to environmental factors including but not limited to consumption and efficiency; extreme weather events such as floods and strong winds; pollution incidents; biodiversity or marine habitats damage, and social factors such as inequality; labour strikes; health and safety incidents such as injury or death; product safety issues. Governance: Tax evasion; discrimination within a workforce; inappropriate remuneration practices; lack of protection of personal data.
As a part of our fiduciary duties to customers, we are committed to identify negative risk exposures with a financial impact on the investments that we manage on behalf of our customers. This implies a duty to systematically identify and manage sustainability factors that may pose a risk of causing material negative impact to the value of an investment (sustainability risk) and to integrate considerations of such factors into our investment products. Our commitment to integrate sustainability risks in our portfolio management services is enshrined by the Responsible Investment Policy adopted by the board of Danske Private Equity. For the effective implementation of these commitments, we follow the Sustainability Risk Integration Instruction of the Danske Bank Group available here: Sustainability related disclosures
SFDR Statements
The EU Sustainable Finance Disclosure Regulation (SFDR) is a regulation that aims to enhance transparency and comparability to investors on how asset managers and institutional investors integrate sustainability dimensions in their general processes and at investment product level. Under SFDR, Danske Private Equity is committed to disclose how we integrate sustainability risks in our investment decision-making processes, advisory process and remuneration policies and how we consider the principal adverse impacts investments might have on sustainability factors. Statements are available below.
Sustainability-related disclosures for Danske PEP funds
For Danske PEP funds that are promoting environmental or/social characteristics you can find relevant information on these commitments in SFDR annex and further detailed in product specific website-disclosures:
Danske PEP 2022 (EUR) K/S (SFDR Annex – Pre-contractual)
Danske PEP 2022 (EUR) K/S (Sustainability-Related Website Disclosure)
Danske PEP 2022 (EUR) K/S (SFDR Annex – Periodic disclosure)
Danske PEP 2022 (USD) K/S (SFDR Annex – Pre-contractual)
Danske PEP 2022 (USD) K/S (Sustainability-Related Website Disclosure)
Danske PEP 2022 (USD) K/S (SFDR Annex – Periodic disclosure)
Danske PEP 2022 Co-Investment K/S (SFDR Annex – Pre-contractual)
Danske PEP 2022 Co-Investment K/S (Sustainability-Related Website Disclosure)
Danske PEP 2022 Co-Investment K/S (SFDR Annex – Periodic disclosure)
No consideration of adverse impacts of investment decisions on sustainability factors
Danske Private Equity does not consider the principal adverse impacts (“PAIs”) of its investment decisions on sustainability factors within the meaning of Article 4(1)(a) of the Sustainable Finance Disclosure Regulation.
Danske Private Equity does not currently do so because of the lack of consistent, accessible and accurate data available across asset classes that Danske Private Equity has under management.
In particular, for certain investment strategies, Danske Private Equity is reliant on external managers disclosing how they take such impact into account, noting that a considerable proportion of our managers and investments are located outside the European Economic Area and, accordingly, provide different standards of disclosures on sustainability factors.
Although Danske Private Equity does not consider the PAIs within the meaning of the Sustainable Finance Disclosure Regulation, where relevant to a strategy and product, Danske Private Equity may choose to commit to integrate such considerations in the strategy and provide to its investors reporting against similar or certain of these metrics.