Adopting a fully-integrated investment process

With every investment, we consider environmental, social and governance (ESG) factors as part of our wider decision-making process. It is fully integrated into the investment process – from origination right through to post-investment. We do this by taking both a top-down and bottom-up approach to assessing ESG risks, identifying and managing the issues that we believe could have the biggest impact on our assets across the investment lifecycle.

Our ESG framework is designed to capture material ESG risks and impacts relevant to each sector, ranging from carbon emissions avoided in renewables to employee and contractor health and safety, community development, board composition, and bribery and corruption.

Responsible investment policy & framework

Our approach to all our private credit investments is to ensure the environmental, social and governance (ESG) are fully considered as part of the wider investment decision-making process.

Private Credit ESG - picture

Integrating ESG throughout the investment process

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Case studies

  • Bromford Housing Group

    Bromford Housing Group

    LGIM Real Assets (Legal & General) has provided £100 million in deferred long-term financing to Bromford Housing Group (Bromford), the largest provider of affordable homes across Central and South West England.

  • HeatRHight – supporting clean energy

    HeatRHight – supporting clean energy

    LGIM Real Assets announces that it has provided debt finance to HeatRHIght, a renewables funding scheme that supports the delivery of air source heat pump technology to the social housing sector, on behalf of institutional clients.

  • Landsvirkjun - clean energy

    Landsvirkjun - clean energy

    In 2018, the business made its first private corporate credit investment into the largest renewable energy provider in Iceland, Landsvirkjun. The company dominates domestic markets with a 73% market share, and has over 50 years of experience in building and operating hydro, geothermal and wind power assets.

  • Walney Extension - clean energy

    Walney Extension - clean energy

    In 2017, LGIM Real Assets made its debut transaction into the offshore wind sector, completing a £330 million investment into one of the world’s largest offshore wind farms, the Walney Extension located off the coast of Cumbria, England.

Responsible investing

Get in touch

The Real Assets ESG team operates across the LGIM Real Assets platform. This dedicated group works closely with the asset management and investment teams to support ESG integration in investment strategy and decision making.

Key risk

The value of any investment and any income taken from it is not guaranteed and can go down as well as up,
and investors may get back less than the amount originally invested.