New UNPRI assessment enhances KGAL ESG rating

German investment manager KGAL has achieved enhanced ratings in its latest UN Principles of Responsible Investment (UNPRI) assessment for all categories in which it is measured: Strategy & Governance; Property; and Infrastructure. 

Its latest ratings now place it in the top segment of the 1,677 worldwide investment managers which participate in the ESG initiative.

KGAL CEO, Gert Waltenbauer, says: “Following our first assessment in 2019, we are pleased with the significant improvement we have achieved this year. We believe it reflects our strategy which provides for comprehensive consideration of environmental, social and corporate governance (ESG) aspects throughout our entire value chain. We make targeted investments in climate-friendly assets such as renewable energies and projects that help reduce CO2 emissions. The social aspects of ESG policy are just as important to us as good corporate governance. We categorically rule out direct investments in fossil fuels, weapons, nuclear power, gambling and speculation with staple foods. The latest PRI rating shows that we are on the right track with our ESG strategy and we will continue to enhance our performance in this crucial aspect of our business.”

Within the relevant comparison group, KGAL has been rated A+ for Strategy & Governance; the median rating is A.  The company saw the greatest enhancement in the Property module with a two-grade improvement which moved it to an A rating (median rating of all signatories: B). In the Infrastructure module, its rating moved from B to the top grade of A+.

KGAL became a UNPRI signatory in 2018, but the company has been a long-term adherent to sustainability principles and first developed its own strategy in 2010. Today, the company seeks to bring best ESG practice to all areas of its business from the risk assessment of assets to product strategy and the ongoing dialogue with investors, occupiers, service providers and supervisory authorities.