Atlantic Premium Capital Partners is a private equity fund manager that invests in a variety of asset classes and sectors, with a significant portion of capital allocation underpinned by real estate assets. Their funds primarily invest in Iberian companies, and Atlantic Premium targets global markets for capital raising. The investments made in the real estate sector are focused on value-add developments, such as the development or refurbishment of multi-residential, commercial, and hospitality assets.
As a responsible investment firm, Atlantic Premium recognizes the importance of ESG considerations in the investment process— a crucial component to growing and diversifying their investor base for future fund launches. In order to align with the EU’s Sustainable Finance Disclosure Regulation (SFDR), Article 8 criteria, Atlantic Premium approached Measurabl for assistance in producing comprehensive ESG disclosure documentation that meets the requirements.
Atlantic Premium’s ultimate goal is to attract new investment capital for future fund raises. By prioritizing ESG integration, they can attract a wider array of institutional investors and responsible investment funds who are looking to deploy capital sustainably.
Measurabl’s ESG Advisory team was tasked with helping Atlantic Premium Capital Partners align their investment strategy with the EU’s Sustainable Finance Disclosure Regulation (SFDR), Article 8 criteria. This involved a comprehensive two-part project aimed at:
- Defining the fund’s ESG strategy
- Ensuring their investments were aligned with ESG considerations
To develop the fund’s ESG strategy, Measurabl conducted a materiality assessment that identified key stakeholders and prioritized topics for consideration. This assessment helped Atlantic Premium develop a blueprint for their ESG strategy and ensured that their investments were aligned with their ESG considerations. Measurabl’s assessment also provided insights into how the fund was managing ESG risks and identified which risks were financially material.
Next, to align with article 8 of the SFDR, a fund must:
- Integrate ESG factors into the fund’s risk management process
- Disclose how ESG factors are integrated into the investment process, including any ESG-related targets or metrics used to assess the performance of the fund
- Provide information on the potential impact of ESG factors on the financial performance of the fund
- Disclose how the fund’s investment strategy contributes to the transition to a more sustainable economy
In addition, Principle Adverse Impacts (PAIs) must be taken into account and disclosed. PAIs are negative impacts on sustainability factors that may arise from the fund’s investment decisions and activities. The EU has identified several mandatory PAIs that must be considered by all Article 8 and 9 funds. Moreover, there are additional non-mandatory PAIs that may be relevant depending on the investments.
Measurabl worked with Atlantic Premium to align their ESG disclosure documentation with the stringent SFDR Article 8 criteria. Our team carried out a series of gap and benchmark analyses, carefully examining the fund’s policies and procedures to identify any areas that required improvement.
We then provided guidance on the latest best practices for ESG reporting, equipping Atlantic Premium with the knowledge and tools they needed to remain at the forefront of responsible investing.
Through our partnership, Atlantic Premium was able to produce ESG disclosure documentation that met the rigorous SFDR Article 8 criteria. This allowed them to showcase their commitment to sustainable investing practices, setting them apart from competitors in the market. Additionally, Atlantic Premium was able to enhance its reputation as an ESG integrated fund and open up opportunities to attract larger institutional investors.