H2 Equity Partners Fund Management BV | SFDR website disclosures
In order to comply with the sustainable finance disclosure regulation (SFDR*), H2 Equity Partners Fund Management BV (“H2 Equity Partners”) makes the following disclosures.
Integration of sustainability risks
A sustainability risk means “an environmental, social or governance event or condition that, if it occurs, could cause an actual or potential material negative impact on the value of the investment”.
Before any investment decisions are made on behalf of a fund that H2 Equity Partners manages, an investment decision process is followed which in regard to specific investments includes the approval of the investment committee of such fund. H2 Equity Partners views ESG as a standard topic in the pre-investment process. Part of the investment decisions process is that H2 Equity Partners assesses the risks attached to a potential investment opportunity, which includes sustainability risks. Identified sustainability risks are considered by H2 Equity Partners when making investment decisions.
In addition, H2 Equity Partners and its subsidiaries (“H2EP Group”) pay staff a combination of fixed remuneration and variable remuneration (including a possible bonus). Variable remuneration for relevant staff also takes into account compliance with all policies and procedures which are in effect within the H2EP Group, including those relating to taking into account sustainability risks on the investment decision making process.
Employees are made aware of the applicable policies and procedures when starting their employment with H2EP Group.
No consideration of sustainability adverse impacts
In accordance with article 4 sub 1 (b) of the SFDR, H2 Equity Partners states that it does not consider adverse impacts of investment decisions on sustainability factors as set forth in article 4 sub 1 (a) of the Disclosure Regulation and therefore does not make the disclosures as described in article 4 sub 1 (a) of the SFDR. Given the small size of the organisation of H2 Equity Partners, such disclosure as set forth in article 4 sub 1 (a) of the SFDR and the administrative burden in connection therewith would not be proportional.
* Regulation (EU) 2019/2088