• Home
  • About Us
  • Contact
  • Subscribe
  • Your Account
  • Login
No Result
View All Result
Friday, June 2, 2023
Alternatives Watch
  • Home
  • Hedge Funds
    • Manager News
    • Mandates
    • Service Provider News
    • CTAs/Managed Futures
  • Private Equity
    • Manager News
    • Mandates
    • Service Provider News
  • Private Credit
    • Manager News
    • Mandates
    • Service Provider News
  • RE/Infrastructure
    • Manager News
    • Mandates
    • Service Provider News
  • Investor News
    • Endowments and Foundations
    • ESG
    • Pensions
    • Platforms
    • Consultants
  • Research
    • Investor Scorecard
    • Manager Scorecard
  • Subscribe
  • Home
  • Hedge Funds
    • Manager News
    • Mandates
    • Service Provider News
    • CTAs/Managed Futures
  • Private Equity
    • Manager News
    • Mandates
    • Service Provider News
  • Private Credit
    • Manager News
    • Mandates
    • Service Provider News
  • RE/Infrastructure
    • Manager News
    • Mandates
    • Service Provider News
  • Investor News
    • Endowments and Foundations
    • ESG
    • Pensions
    • Platforms
    • Consultants
  • Research
    • Investor Scorecard
    • Manager Scorecard
  • Subscribe
No Result
View All Result
Alternatives Watch
No Result
View All Result

Vidrio survey: ESG integration has yet to include compensation

Christopher FaillebyChristopher Faille
November 15, 2021
in ESG, Investor News, Open Access
Vidrio survey: ESG integration has yet to include compensation
ShareTweetShareSendSend

Vidrio Financial, in collaboration with Close Group Consulting, has presented a paper on what it calls the “path forward” in the implementation of meaningful environmental, social, and governance practices into the portfolios and the compensation policies of investment funds and institutions.

Vidrio is a technology enabled service for allocators, offering data aggregation, analytics, and applications. Close Group Consulting is a boutique advisory firm.

This survey of investors and managers was conducted across two weeks in mid-October and, as the paper says, the survey has helped pinpoint some of the discrepancies in the alternatives and private markets industry.

One specific question in the survey gives a tight focus to the paper. The question is: “Do you consider ESG performance/metrics as part of your compensation plans?” This emphasis on compensation systems distinguishes Vidrio’s exposition from that of, say, Backstop’s survey of allocators, which looked into the degree to which allocators track ESG on their private portfolios. 

The Vidrio/Close Group survey found that none of its survey participants considered ESG a formal metric for compensation. None of the participants even said that they are “not currently” but are “planning to” introduce an ESG impact on compensation. One hundred percent answered the question simply “No.”

This finding, the paper says, “was somewhat surprising in nature given the large amount of information we hear from both allocators and managers on the importance of ESG.”

The Vidrio/Close Group survey also asked, “What do you think is the primary roadblock to your ability to successfully integrate ESG investment practices?”

Consistent with Backstop’s results, the Vidrio/Close Group survey found that the most common answer was the challenge posed by ESG data in comparability, reliability, etc.

On the further question of whether ESG is a key investment factor in line with financial factors, investors were all over the map.

Close to 31% of respondents said “no,” it is not such a factor; 23% said yes; and another 23% said that though ESG is a key part of their investment process it has a lower weight than financial factors. Another 23% agreed that ESG is a key factor but said that its significance depends on the specific strategy or investment at hand.

The same sharp split shows up on the matter of ESG data management. Vidrio/Close Group asked whether the respondents used third party ESG data providers. More than 38% said that they do not. Among those who do, some (15.38%) hedge that bet by developing internal ratings. About equal percentages (28% in each case) use a single third-party provider or use multiple providers. 

Tags: SurveysVidrio Financial
ShareTweetShareSendSend
Previous Post

Schulte Roth & Zabel expands services as private market deal flow hits historic levels

Next Post

Seward & Kissel finds more investors seek SMAs

Related Posts

People moves in the alternative investments industry
Consultants

People moves for week of June 2

Evanston Capital: Concentrated bets to tame complex markets
Hedge Funds

Evanston Capital: Concentrated bets to tame complex markets

Mass PRIM adds $640m to diverse PE strategies
Pensions

Mass PRIM adds $640m to diverse PE strategies

Pemberton hires for ESG
ESG

Pemberton hires for ESG

IMRF approves $315m in new commitments
Pensions

IMRF approves $315m in new commitments

Next Post
Seward & Kissel finds more investors seek SMAs

Seward & Kissel finds more investors seek SMAs

Log In/Out

Lost your password?

Search the AW Archives

No Result
View All Result

Recent News

People moves in the alternative investments industry

People moves for week of June 2

Activist investor Jana Partners escalates Freshpet battle with court filing

Activist investor Jana Partners escalates Freshpet battle with court filing

Rockhampton shuts pan-Asia fund

Rockhampton shuts pan-Asia fund

Millennium hires ex-Balyasny analyst Starikovsky as senior PM

Millennium hires ex-Balyasny analyst Starikovsky as senior PM

Be an Alts Insider

Sign up for your FREE daily alts news briefing

Subscribe

Subscribe to AW
Alternatives Watch

© 2019-2022, All Rights Reserved  |  BMV Digital

Navigate Site

  • Investor News
  • Private Equity
  • Private Credit
  • Hedge Funds
  • Real Estate/Infrastructure
  • Subscribe
  • Your Membership
  • Terms of Service
  • Privacy Policy

Follow Us

No Result
View All Result
  • Home
  • Hedge Funds
    • Manager News
    • Mandates
    • Service Provider News
    • CTAs/Managed Futures
  • Private Equity
    • Manager News
    • Mandates
    • Service Provider News
  • Private Credit
    • Manager News
    • Mandates
    • Service Provider News
  • RE/Infrastructure
    • Manager News
    • Mandates
    • Service Provider News
  • Investor News
    • Endowments and Foundations
    • ESG
    • Pensions
    • Platforms
    • Consultants
  • Research
    • Investor Scorecard
    • Manager Scorecard
  • Subscribe

© 2019-2022, All Rights Reserved  |  BMV Digital

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In

Be an alts insider

Start your days in the know with our free newsletter

No, I don't want to be an alts insider

Thank

You!

Follow us
on LinkedIn

Lost your password?

This Website Uses Cookies
We use cookies on our website to provide necessary functions. By clicking “Accept”, you consent to the use of all strictly necessary cookies.
Do not sell my personal information.
Cookie Settings Accept
Manage consent

Privacy Overview

This website uses cookies to improve your experience while you navigate through the website. Out of these, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. We also use third-party cookies that help us analyze and understand how you use this website. These cookies will be stored in your browser only with your consent. You also have the option to opt-out of these cookies. But opting out of some of these cookies may affect your browsing experience.
Necessary
Always Enabled
Necessary cookies are absolutely essential for the website to function properly. These cookies ensure basic functionalities and security features of the website, anonymously.
CookieDurationDescription
cookielawinfo-checkbox-analytics11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Analytics".
cookielawinfo-checkbox-functional11 monthsThe cookie is set by GDPR cookie consent to record the user consent for the cookies in the category "Functional".
cookielawinfo-checkbox-necessary11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookies is used to store the user consent for the cookies in the category "Necessary".
cookielawinfo-checkbox-others11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Other.
cookielawinfo-checkbox-performance11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Performance".
viewed_cookie_policy11 monthsThe cookie is set by the GDPR Cookie Consent plugin and is used to store whether or not user has consented to the use of cookies. It does not store any personal data.
Save & Accept
Powered by CookieYes Logo