CommonWealth Equity Partners (“CommonWealth”) incorporates ESG not only into the ownership and operations of our own business, but also those in which we invest. As investors, we incorporate ESG issues into the process of our due diligence, operational oversight and decision-making policy and processes. CommonWealth will provide its investors with ESG disclosures for the investments we make. Our firm uses a set of questions, guided by recommendations from Principles For Responsible Investment (“PRI”) to evaluate and manage our investments.
We consider our investments’ environmental impact, any history of environmental litigation, prioritization of ESG in the operating principles and policies of the companies we invest in, and the overall operating environmental performance in the areas of energy efficiency, carbon efficiency, and waste management. Once acquired, we will require our companies to monitor, track and report environmental goals and progress against these goals. CommonWealth is committed to the principles of transparency, accountability and positive impact.
When evaluating social concerns, CommonWealth considers our investments’ and prospective investments’ interaction with the communities in which they operate. We review a series of social engagement issues including local community engagements by the company, its commitment to fair wages, and the company’s workplace health and safety track record and programs.
Each potential investment is evaluated for its corporate governance policies and practices. Evaluations include an assessment of the roles and responsibilities of the governance groups, the number and types of committees, frequency of meetings and documentation of policies and practices reviewed and signed off on by governance committees.
For each of these areas, companies CommonWealth invests in will have senior manager(s) accountable for each of the areas of ESG. The management of ESG priorities is reviewed by the partners of the firm on an annual basis.
We expect accountability for all ESG issues to reside with the senior most person (e.g. CEO) of companies we acquire.