UN Global Compact, PRI Launch the ESG Investor Briefing Series

(New York, 30 July 2012) – Today marked the launch of the first ESG Investor Briefing, hosted by SAP AG. SAP’s Briefing is part of a joint project of the United Nations Global Compact and the UN-backed Principles for Responsible Investment (PRI), designed to improve company-investor communications on environmental, social and corporate governance (ESG) information.

The first call was highly successful, attended by approximately 37 PRI signatories and their affiliates, including asset owners, investment managers and investment banks. Senior executives from SAP presented on their ESG performance using a common ESG Value Driver Framework developed in collaboration with a group of Global Compact LEAD companies and PRI investors.

In consultation with investors and companies, the PRI and the Global Compact created the ESG Investor Briefing Project, with the goal of improving the ability of financial markets to properly value sustainability performance. Much of the dialogue between companies and investors on ESG issues tends to remain outside of mainstream discussions on business strategy and is often not integrated into the scope of companies' investor relations departments. In addition, there is a need to explore how companies’ ESG value drivers can be communicated beyond sustainability reporting and ultimately be included in mainstream investor relations, such as quarterly analyst calls. In response to these challenges, this initiative aims to develop and test a platform for companies to provide ESG information to investors that can be included in traditional financial analysis.

The briefings provide an opportunity for investors to learn more about which ESG value drivers companies deem material to their business, and to engage with the management both during and after the calls. Attendees also have an opportunity to provide crucial feedback to the company through follow-up surveys. A final publication will focus on both the content and process of the calls.

The initiative plans to pilot a series of 10 to 15 briefings in the second half of 2012 and first half of 2013. In addition to SAP, four other companies – Enel, AkzoNobel, NovoNordisk and Eni – have already confirmed their participation and numerous other companies have expressed strong interest. The PRI and the Global Compact  encourage companies to host their own ESG Investor Briefing. Investors are also asked to invite companies to participate in the project, and to request that companies integrate ESG information into their traditional financial calls.

• Access SAP’s ESG Investor Briefing presentation and recording.

Upcoming ESG Investor Briefings:

• Enel – 24 October 2012
• AkzoNobel – 19 November 2012
• NovoNordisk – TBD
• Eni – TBD

Contacts

Interested companies and investors should contact Danielle Chesebrough (Danielle.Chesebrough@unpri.org) and Jerome Lavigne-Delville (Lavigne@unglobalcompact.org).