Sustainability
Sustainability is fundamental to Darby’s investment strategy. We are committed to the responsible growth of the companies we invest in and the sustainable development of communities where they operate.
Our Approach
Darby’s sustainability approach is designed to manage impacts and create value for companies and investors. The approach is made up of three themes. The first is responsible management of the environmental, social, and governance (ESG) impacts of investments.
The second is a focus on investments that meaningfully contribute to climate change mitigation and adaptation.
Finally, we target and promote other positive impacts within our portfolio, especially those that contribute to the UN’s Sustainable Development Goals.
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Darby works with portfolio companies to anticipate and avoid adverse impacts on workers, communities, and the environment throughout investment. In practice, this means identifying and mitigating ESG risks at companies in a manner consistent with local laws and regulations and with international standards, including the IFC’s Performance Standards on Environmental and Social Sustainability and the ILO Core Conventions.
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Climate change is one of the most urgent priorities for the Latin America region. Darby applies a climate lens as part of its overall investment strategy— we avoid investment in fossil fuels, track GHG emissions for all investments, and prioritize investment in companies whose operations mitigate climate change’s impacts.
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Outside of positive impacts around climate, Darby also recognizes that its investment strategy has potential to contribute to other important economic and social impacts. Darby works with companies to promote and measure the positive impacts their operations have in areas like gender equality, quality work, clean water, sustainable infrastructure, food security, and other themes related to the UN SDGs.
Consideration of each of these themes is incorporated into to all decision-making and integrated throughout the investment process.
Transparency and Reporting
We believe part of responsible investing is being transparent about our impacts with stakeholders. Darby utilizes recognized international frameworks like the IFC Performance Standards so our ESG objectives are clear and defined. As signatories to the UN Principles for Responsible Investment (PRI), we are committed to regular disclosures about the firm’s overall sustainability strategy. Darby is also a member of the Investidores pelo Clima (Investors for Climate) initiative in Brazil.
