As an integral part of a.s.r. real estate’s strategy, all activities must comply with our CSR policy and the CSR policy of the specific Fund. Investments and divestments are made on behalf of our clients as part of the deployment of the strategy. All investments and divestments are subject to due diligence. The results of this process are recorded in standardised proposals. The Fund’s CSR objectives (set out in the CSR policies of the funds) and the accompanying impacts of investments and divestments are included in the investment/divestment proposals as far as possible. Such proposals will include identified environmental, social or governance events which, if they occurred, could have a material negative effect on the value of the investment.
a.s.r. real estate has identified four major climate risks, inter alia, that could have an impact on the investments. These risks are also taken into account in the decision-making process concerning the investments. The four climate risks are:
- heat stress
Above all, and as mentioned above, the most important impacts of investments and divestments in this area are managed by following and monitoring the CSR policy.
All material investment/divestment proposals are discussed in the Investment Committee of a.s.r. real estate, which includes the statutory board of a.s.r. real estate and managing directors of its business lines, supported by an independent analysis by legal, tax, research, compliance and risk officers. Above a certain threshold value specified in the individual fund governance, investment/divestment proposals will be submitted to the Investment Committee of the funds for approval.
The main sustainability risks for the sustainability targets will be mitigated in accordance with the other fund objectives by an integrated risk management system based on a risk control matrix and enterprise risk management.