Over the last year, Linzor has taken decisive steps to improve and deepen its existing ESG program and hone in on the impact thesis of its most recent portfolio companies. The firm established an ESG and Impact Committee, comprised of internal and external members, who undertook a detailed review and revision of the firm’s Responsible Investment Policy. This resulted in the adoption of the Sustainable Development Goals as an impact framework and the SDG Action Manager as an impact measurement tool. Each portfolio company was evaluated and established ESG and impact action plans based on this framework, including company-specific initiatives associated to different goals and a firmwide focus on climate and diversity. The details and outcomes of this process can be found in our first annual Impact and Sustainability Report.
The events of the past 18 months remind us that investment returns are inextricably linked to sustainability in the long term. Latin America has been one of the regions most affected by COVID-19 in economic and public health terms. At the same time, numerous climate disasters in different parts of the world confirm the urgency of taking climate action to limit the rise in global temperature. In order to create value for the long term, our investments must focus on companies that can grow in a sustainable and socially responsible manner while making a positive impact on various stakeholders. We look forward to embed these expanded efforts into our investment strategy going forward and to build upon all the best practices we have developed as investors over the past three decades. Our goal is for each of our portfolio companies to become the gold standard for ESG performance in their sector and country.
We know we still have a lot of work to accomplish this objective, but we are motivated by the challenge and look forward to tracking the development in the next few years of the initiatives that we are planting right now.
Click here to read the full report.