The concept of sustainable investment
ESG is an acronym for Environmental, Social, Governance. ESG investment is therefore a way of investing capital that takes into account environmental factors, social responsibility and corporate governance in addition to the purely financial aspect.
According to research, ESG factors are increasingly important to the success and long-term profitability of businesses, and integrating sustainability into the core strategy is now a necessity. Increasing awareness of our impact on our planet and society in the investment process contributes to a better understanding of company business models and a more accurate measurement of risk. When we make decisions while taking into account three non- financial macro-factors: Environmental (E), Social (S) and Governance (G), we can limit the negative impact of humans on the environment.
Financial market participants also have an important role in the process of transforming the economy towards a more sustainable environment and society. This involves adapting the activities of financial institutions to the principles of sustainable development, whereby identifying and managing ESG-related risks in a way that takes into account changes in the business environment.
These issues are taken into account both at the level of PFR TFI’s operations and the managed funds. In their case, the scope and type of factors taken into account depends on the investment policy of a given fund.
Guided by the interests of participants in the investment funds it manages, PFR TFI adopts the principles of sustainable development and ESG standards, which cover issues relating to environmental protection (Environmental), social responsibility (Social) and management, corporate governance and anti corruption (Governance).
Statement on the evaluation of individuals subject to the Variable Remuneration Components Policy
PFR TFI S.A. acknowledges that risks to sustainable development, where justified, are part of the assessment of individuals subject to the Variable Remuneration Components Policy at PFR TFI S.A. as part of the individual assessment in terms of non-financial criteria.
The Variable Remuneration Components Policy at PFR TFI S.A. is available at this page.
SFDR Classification
All funds managed by PFR TFI S.A. are classified as classified as an Article 6 fund under the EU Sustainable Funding Disclosure Regulation (SFDR), which means that sustainability risk is taken into account in the investment decision-making process.
Sustainability risk in the SFDR is defined as: an environmental, social, or governance event, or condition that, if it occurs, could cause an actual or a potential material negative impact on the value of the investment arising from an adverse sustainability impact.
Detailed information on the profile of managed funds as well as documents and results are available in the tabs of individual funds in the Investment funds section. To read the information you are interested in, select the appropriate fund from the list:
More information
We also encourage you to visit the Corporate Governance tab, where you can find information on PFR TFI’s application of the Principles of Corporate Governance for Supervised Institutions, as well as other documents, such as the Investment Funds’ Engagement Policy.
News and comments
ESG regulations concern new areas where market practice is still developing. Therefore, at PFR TFI, we participate in market initiatives that aim to exchange knowledge and good practices in the field of sustainable financing, as well as monitor planned legislative changes. We also share knowledge ourselves by publishing articles and comments that concern this area.