Within this pillar, our focus is on contributing to solving planetary challenges.
Companies providing solutions for planetary challenges
An important indicator of the positive impact we, as VP Capital, want to make is the number of companies and the invested capital actively contributing to solutions for the recognized planetary challenges (across the entire investment portfolio). This has been assessed for each company as part of our portfolio screening.
Carbon neutral certified
We recalculated our carbon footprint, achieved carbon reduction, and obtained the Carbon Neutral company certification.
As a company, VP Capital has committed to validated Science Based targets.
Planetary metrics improved
We have developed a planetary dashboard where we report on the environmental impact (such as water consumption, sustainable material usage, and green energy) of VP Capital and our largest direct investments. In this way, we aim to provide visibility on areas for improvement or even contributions to solutions for planetary challenges
Since 2021, we have been screening our portfolio regarding climate risks in broad terms, following the concept of 'dual materiality'. This allows us to assess, on one hand, the risks that climate change poses to our portfolio and, on the other hand, the impact our investments have on global climate change.
We evaluate our investments based on three aspects:
- Physical climate risk
→ the extent to which an asset is at risk of being affected by physical climate-related risks, such as extreme weather conditions, shifts in water supply, or temperature increases. The score for physical climate risk has three dimensions: climate-related hazards and exposure, vulnerability, and lack of adaptive capacity.
- Climate transition risk
→ the extent to which an asset faces specific risks linked to the transition to a low-carbon economy. The risk is determined by the type of vulnerable asset classes and the timing of exposure. The climate transition risk indicates the level of risk associated with decarbonizing the economy for a particular asset, based on macro trends and the dynamics of the national economy of its location.
- Climate transition opportunity
→ the extent to which an asset is well-positioned to manage the transition risks to a low-carbon economy. We perceive this as an opportunity, namely the ability to adapt to consequences and challenges. This indicator reflects the economic resilience during such a transformation based on four micro, meso, and macro-economic dimensions.
Our Sustainable Progress measured
At VP Capital, we want to contribute to sustainable progress. We screen our entire investment portfolio on the metrics above. Read more about this in our Progress Report via the button below.