Summary
This statement applies to Taaleri’s limited companies, Alternative Investment Fund Managers Taaleri Energia Funds Management Ltd (ID2833245-3) and Taaleri Private Equity Funds Ltd (ID 2264327-7), that manage assets and invest in renewable energy and alternative investments creating positive impact.
The statement addresses requirements as set out in the Regulation (EU) 2019/2088 of the European Parliament and the Council on sustainability‐related disclosures in the financial services sector (SFDR) specifically relating to the consideration of principal adverse impacts of investment decisions on sustainability factors. This statement describes and details how the below-listed financial market participants and fund managers assess adverse impacts on sustainability factors as part of their investment processes and portfolio management. This statement is updated annually and covers the period from March 2022, until an updated version is provided by the latest of June 2023.
Taaleri’s Alternative Investment Fund Managers invest in financial instruments on behalf of its clients within its Products, which are managed in line with their investment objectives and constraints. While Taaleri’s goal is to make investments with a positive impact on our stakeholders as well as the society and environment, we acknowledge that some business activities of our assets may have adverse sustainability impacts (“PASI”) on the environment or people. Taaleri acknowledges the responsibility of the asset management industry towards climate risks, and other principal adverse impacts through the investment decisions made, and the influence we have on our investees through active ownership.
Taaleri applies the definition of Principal Adverse Impacts as constructed by ESMA: “Negative, material or likely to be material effects on sustainability factors that are caused, compounded by or directly linked to investment decisions and advice performed by the legal entity.”
For purposes of the SFDR regulation (2019/2088), Taaleri considers PASI in the financial products as stated below:
Article 6 funds: The investments underlying this financial product do not take into account the EU criteria for environmentally sustainable economic activities. This is because these products are closed funds that no longer actively market or raise funds, and no changes can be made to their investment strategies.
Article 8 funds: The “do no significant harm” principle applies only to those investments underlying the financial product that take into account the EU criteria for environmentally sustainable economic activities.
The investments underlying the remaining portion of this financial product do not consider the EU criteria for environmentally sustainable economic activities.
Article 9 funds: The “do no significant harm” principle applies to all investments underlying the financial product, as they take into account the EU criteria for environmentally sustainable economic activities.
Taaleri uses resources or causes negative impacts mostly in the categories of Scarce human capital, GHG emissions, and Waste. The negative contribution in the GHG emissions impact category seems to be driven mostly by our non-strategic investments, which don’t include investments in renewable energy. Taaleri’s principle negative adverse sustainability impact is our direct CO2 emissions, which we will continue to cut down according to our NZAM commitment. We aim to reduce our impact on the environment by directing funds towards circular- and bio-based projects that replace traditional industrial manufacturing. Taaleri will pursue net impact modeling for the rest of its portfolios to increase our understanding of our funded emissions and act to reduce our adverse impacts.
We are committed to, not only diminishing our negative impacts but to creating a positive impact on the planet and society. We consider sustainability throughout our value chain and the value chain of our investments. We want to create a meaningful and supportive working environment that attracts the best talent, so we can perform to the highest quality. We engage with our partners and commit them to Taaleri’s values and good business practices.
Taaleri has the most positive impact on the following UN’s sustainable development goals: “7 Affordable and clean energy”, “9 Industry, innovation, and infrastructure”, “11 Sustainable cities and communities”, “8 Decent work economic growth”, and “13 climate action”. We have used third-party net impact assessments (Upright platform) to improve our understanding of our principle adverse impacts. In our 2021 portfolio assessment, our renewable energy portfolio net impacts were estimated to be highly positive (54%) and aligned with the aforementioned SDG goals, no misalignment with the rest of the SDGs was detected. The combined avoided carbon emissions of the said portfolio in 2021 was 375 800 tCO2e, which was calculated according to EIB’s methods. Taaleri will pursue net impact modeling for the rest of its portfolios.
Taaleri's full Statement on Principal Adverse Sustainability Impacts can be found here (link)