Impact is central to our mission, our portfolios, and how we operate as a business. We focus on making an impact that’s real and measurable, and use our investor influence to protect the value of our clients’ investments.
At Tribe, impact means aligning our investments to the UN Sustainable Development Goals (SDGs)UN Sustainable Development Goals (UN SDGs)The Sustainable Development Goals (SDGs), also known as the Global Goals, were adopted by the United Nations in 2015 as a universal call to action to end poverty, protect the planet, and ensure that by 2030 all people enjoy peace and prosperity. There are 17 goals. read more to deliver positive social and environmental outcomes.
We look at an investment’s financial potential and its long-term potential for positive impact outcomes. We call this our twin-lensTwin-lensTribe’s two separate assessments of an investment’s financial and impact credentials — the potential monetary returns it may deliver as well as its social and environmental outcomes. read more approach.
We look at core financial indicators that signal strength, resilience and long-term potential. These help us understand how well a company is run, how effectively it allocates capital, and whether it can sustain growth over time.
These metrics include Return on Invested Capital (ROIC), Free Cash Flow (FCF) generation, earnings growth, revenue growth and financial strength.
For us, impact means aligning investment to the desired outcomes of the UN Sustainable Development Goals (SDGs)UN Sustainable Development Goals (UN SDGs)The Sustainable Development Goals (SDGs), also known as the Global Goals, were adopted by the United Nations in 2015 as a universal call to action to end poverty, protect the planet, and ensure that by 2030 all people enjoy peace and prosperity. There are 17 goals. read more, Paris Climate Agreement, and the Kunming-Montreal Global Biodiversity Framework.
We assess every investment opportunity using our impact investment scorecard. This gives us a clear, consistent view of how each investment performs across a wide range of impact measures from ownership and values alignment with the UN SDGs, to how revenues contribute to the SDGs and the investment’s carbon intensity.
Our process is rigorous, data-led, and always focused on both financial strength and impact potential.
We identify macro opportunities aligned with your portfolio theme, that have the potential to support the SDGs and provide long-term growth.
We assess each investment’s SDG alignment, misalignment and stewardship potential alongside business quality and growth outlook, before conducting advanced qualitative analysis.
Our impact investment team agrees which scorecard approved investments will be included in the portfolio, and which won’t. Stewardship plans for engagement with approved funds and direct equities are then agreed.
Our Impact Investment Committee (IIC) creates the portfolio, guided by the portfolio’s investment and impact objectives.
We regularly revisit stages 1-4 to check for continued alignment with your investment and impact objectives, stewardship progress and key risk parameters.
We avoid investing in companies whose practices conflict with the SDGs.
Our approach combines data-led analysis with qualitative reviews to ensure a rigorous and transparent process. We use a portfolio weighted average methodology which flags companies with more than 0% revenue linked to a controversial activity. This ensures your portfolio stays aligned with your values and supports real-world change.
We use our influence as an investor to engage and vote in-house on every investment using our twin-lens approach: protecting the value of your assets and supporting your impact goals.
Our stewardship is guided by three principles:
We use our agency independently and alongside other likeminded investors to maximise our ability to influence.
We prioritise and engage deeply on the most important and materially impactful issues in our portfolios.
We put our efforts towards delivering real-world positive outcomes in agreed timeframes.
Real progress on sustainability relies on outcome-driven measurement and transparent reporting. Find out more about how we report on the positive impacts made by the businesses we invest in.