Principle 6 states, ‘We will each report on our activities and progress towards implementing the Principles’
Principle 6 refers to investor transparency. Some of the ways investors can implement Principle 6 are outlined below.
- PRI reporting. Complete annual PRI reporting requirements, including the PRI infrastructure module, irrespective of the size of your infrastructure portfolio relative to your assets under management.
- Investor reporting. Include ESG KPIs, activities and impacts in investor reporting on an annual or semiannual basis. Report accurately on positive impacts where these are an explicit feature of fund objectives.
- TCFD recommendations. Disclose climaterelated financial information in line with the TCFD recommendations, including: governance: the organisation fs governance of climate-related risks and opportunities; strategy: actual and potential impacts of climaterelated risks and opportunities on the organisation fs businesses, strategy and financial planning; risk management: processes used by the organisation to identify, assess and manage climate-related risks; and metrics and targets: the metrics and targets used to assess and manage relevant climate-related risks and opportunities.
- Beneficiaries and other stakeholders. Discuss ESG issues and the Principles with beneficiaries. Make use of reporting to raise awareness among a broader group of stakeholders.
- Service providers. Disclose what is required from service providers in relation to the Principles.
- ESG controversies. Discuss penalties, fines and controversies with investors and promote transparency throughout the investment chain from direct investors up to beneficiaries.
Primer on responsible investment in infrastructure
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Applying Principle 6