The three main areas of focus for responsible investment relate to the environmental and social impact of any business's activity, and the manner in which a business is managed. Together, these factors are known as Environmental, Social and Corporate Governance (ESG). Responsible investment is a key priority for Verdelo. Verdelo is in business to create stronger, more profitable companies, thereby generating competitive returns for its investors and the Crowd. Verdelo believes that a responsible approach towards its portfolio companies, their employees, suppliers and local communities, the environment and society is an essential part of its success.
Verdelo believes that responsible ownership and business success go hand in hand and, as such, Verdelo has embedded consideration of ESG factors throughout all stages of its involvement in an investment. Verdelo is fundamentally committed to building long-term, sustainable businesses, which will grow, provide employment and generate economic benefit in an environmentally and socially responsible manner, both during and after Verdelo's ownership. Responsible investment, and subsequently responsible ownership, require proper analysis, judgement and mitigation of risk. Verdelo aims to invest in companies that take a responsible approach towards the environment, society and corporate governance.
ESG processes and procedures focus on non-financial performance indicators that address a company's approach towards responsible investment, sustainability, its impact on society and the environment, as well as other ethical and corporate governance considerations.
All companies have an impact on the environment, but Verdelo is committed to minimizing the negative impact our work has on the environment.
Verdeo believes in taking steps to limit our negative impact on the environment by minimizing waste, reusing resources where possible, using alternative means of travel, and carefully considering the environmental impact of companies we work with.
Companies have a corporate social responsibility (CSR) to their employees, shareholders, and vendors, as well as to the societies in which they operate.
Verdelo will avoid working with companies that do not meet our standards within CSR. It is very important that we get a first-hand look at how the industry operates, the conditions of the workers and other relevant groups before we make any agreements with a company.
Governance & Compliance
A good and functioning governance structure, with a robust compliance program, serves as a control mechanism to prevent bribery, corruption, tax-avoidance, fraud, terror financing, and other illegal activities.
We believe that active corporate governance and compliance is crucial for the development of our vision and provides long-term benefits for our shareholders, employees, and society in general.
Our Continuous ESG Process
Board of directors' work : Verdelo expects the board of directors to consider sustainability aspects when setting company strategy, and requires sustainability or ESG to be a standard item on the board agenda for each company.
Appointing diverse boards : Where Verdelo has a mandate to appoint board members it will always strive to ensure the makeup is diverse when it comes to gender, professional background, nationality and other relevant characteristics.
Sustainability strategy workshops : Verdelo aims to hold a workshop during the first 100 days of a new holding being acquired. In this workshop, Verdelo will align sustainability action items and preliminary targets identified during due diligence with management, setting a plan with both prioritised quick wins, and long-term bold goals.
Dissemination of best practices : In addition, Verdelo's large company portfolio and analytical capabilities mean it is possible to benchmark performance and share learnings with best practice tools for continuous competency and capacity building.
Ongoing support : Where needed, Verdelo provides other expert sustainability support on specific strategic and operational projects, depending on portfolio company needs.
Incident reporting : If incidents do occur with portfolio companies, Verdelo has established escalation routines to quickly be able take action.
Verdelo continuously monitors portfolio companies' sustainability performance and annually updates targets on specific KPIs.