Why Taranis Capital believes in integrating ESG into its investment portfolio
At Taranis Capital, we have a strong commitment to responsible and sustainable investing. We firmly believe that integrating Environmental, Social, and Governance (ESG) principles into our investment strategy, will not only enable us to make a positive impact on society and the environment, but it is essential for our long-term success, as wider international trends such as the drive for a more diverse and low-carbon economy are shaping the way the world will look in the future.
Six reasons that outline our reasons for prioritizing ESG in our investment decisions:
1. Risk mitigation
ESG factors are crucial in assessing and mitigating investment risks. We want to invest in companies that are more resilient in the face of economic, regulatory, and reputational challenges by continually considering their environmental impact, social responsibility, and strong governance practices. We also are also aware of the need to continually assess physical and transitional risks across different economic and financial scenarios due to the unpredictable nature of policy and regulation. Our aim is to reduce our exposure to potential risks that could negatively affect our investments over the short, medium and long-term.
2. Enhancing long-term returns
Sustainable business practices often lead to better long-term financial performance. Companies that prioritize ESG are more likely to innovate, adapt to changing market conditions, and attract investors who value responsible management. By investing in businesses with strong ESG profiles, we seek to deliver sustainable returns to our clients over time.
3. Ethical considerations
We believe that our investments should align with our corporate values and contribute positively to society and the environment. By incorporating ESG principles into our decision-making process, we ensure that our investments do not harm the environment, exploit communities, or compromise on ethical standards.
4. Responding to stakeholder expectations
Investors, consumers, regulators, employees, communities, and other stakeholders increasingly expect companies to demonstrate a commitment to sustainability and responsible business practices. By adhering to our ESG principles, we align our investments with evolving societal expectations, helping our portfolio companies stay competitive and trusted in the market.
5. Impactful sustainability
Taranis Capital is focused on building a sustainable future for our clients and the planet. We recognize that unsustainable practices can lead to environmental degradation, social inequality, and governance failures, which can have far-reaching consequences. By selecting investments that adhere to our ESG principles, we contribute to a more sustainable and equitable world.
6. Attracting top talent
As people become more aware of ESG-related issues, it has become increasingly important for companies to invest in ESG and align with the values of a workforce that is increasingly prioritizing purpose-driven careers. Our investments in such companies can benefit from a skilled and dedicated team, driving innovation and productivity.
Why we’re driving ESG-principles into our values.
Taranis Capital believes that integrating ESG principles into our investment strategies is not just a responsible choice but a strategic imperative. By considering environmental, social, and governance factors, we aim to mitigate risks, enhance returns, and contribute to a sustainable and ethical future. Our commitment to ESG reflects our dedication to creating long-term value for our clients while making a positive impact on the world. For more information on our ESG initiatives and investment strategies, please contact us.