Impact Reporting

As impact investors, we report on the social and environmental impacts impact of client portfolios. The reports are highly valued by our clients and help them more deeply understand their investments.

Our impact reporting expectations are in line with market practices for impact investment fund reporting.

• Year-round monitoring: Throughout the year we undertake standard, ongoing engagement and monitoring of products’ impact progress – such as by attending quarterly calls.
• Annual spring reporting request: In addition to year-round monitoring, each spring we reach out to all product issuers in our client portfolios and request impact data on the previous calendar year, asking information regarding operations and outcomes, at the product level and the level of underlying portfolio companies.

Operations

We ask about operations through six aspects. For each aspect, we list various policies and practices and product issuers select which policies they have and practices they follow. Examples:

• Impact Measurement Strategies: “We align or are planning to align our impact framework to international standards or frameworks” and “Some of the compensation and benefits such as performance reviews and annual bonus are linked to impact performance”
• Diversity: “Women or non-binary people constitute 50% or more of the total workforce” and “Equity-deserving groups constitute 30% or more of the total workforce”
• Positive Employment and Equality Practices: “We have a family leave policy” and “We design accessible hiring practices to attract diverse talent from equity-deserving groups”
• Environmental and Social Considerations: “We have a recognized third-party ESG or social impact certification or commitment such as Certified B Corporation” and “We report on the GHG emissions of our own operations”
• Indigenous Reconciliation Practices: “We assess the alignment of our investments to UNDRIP” and “We implement the CARE Principles for Indigenous Data Governance”
• Social Equity in Investment Decision-Making: “We have community representation in our governance as membership on investment committees or participation in advisory boards” and “We provide capacity building and network growth to our investees by providing access to mentors and connections” 

Outcomes

• The social or environmental outcome you seek to achieve
• Metric (Read our Guidance for FMs – Impact Metrics and KPIs)
• Relevant SDGs this specific metric is aligned to
• Baseline
• Target

Stakeholders

• Main stakeholder(s)
• Geography of the stakeholder
• Expectation duration of the outcome on the stakeholders (years)

Our Commitment to Data Privacy and Fair Practice
We recognize that our position as stewards of capital and impact data garners us both influence and access to private information. We take that seriously and are committed to using our position for positive change. We are keenly aware of how data can be and has been used to harm and disenfranchise groups. But conversely, we also see how data can be used as a positive force for change through impact management. Data can be an important tool in creating a more equitable, just and sustainable society. We believe in honest, transparent engagement with Indigenous people and other marginalized communities to ensure agreement with our use of the data.

If you have concerns about sharing data or about our intended or actual use of  data, please reach out and we will discuss appropriate accommodations.

Data Collection Overview:

• WHEN: We use these assessments as part of our due diligence process on investment products for client portfolios and, after client investment, when generating portfolio impact reports for clients.
• WHY: We use these assessments to support impact assessment and performance measurement. It is important to note that investment decisions and monitoring practices are informed by the mandates and priorities set by our clients. The suitability assessment of an investment for a portfolio and its performance are based on many factors. We do not base our decisions solely on any diversity metric.
• DATA SHARING: Completed assessments are not shared directly with clients; instead they are used to to generate analysis for memos and reports. We will never publicly share product-level data; we share results with clients only on a confidential basis, not to be shared. We may anonymize and aggregate impact data to provide general commentary about the state of Canada’s impact investing sector or specific impact areas or to advance the sector generally.
• DATA SHARING, PRODUCTS AND PRODUCT ISSUERS WITHIN REALIZE FUND I: Post-investment annual assessments will be shared with Employment and Social Development Canada. See the Realize Capital Partners website for more information.