Bregal Investments is an international private equity firm providing a platform for four direct investment teams and a fund-of-funds team across the US and Europe. BI joined the Net Zero Asset Managers initiative on 1 November 2021 and made its initial target disclosure in November 2022.
Percentage of assets covered by the Net Zero Asset Managers Commitment Statement
80% of total AUM (USD $6.1 billion)
Information on interim target(s) covering the proportion of assets to be managed in line with net zero
25% of portfolio companies by invested capital have set science-based targets as of June 30, 2022. This considers the total invested capital covered by approved SBTs as of June 30, divided by the total invested capital in companies in the portfolio for more than 2 years. This calculation therefore includes companies where we have already achieved approved SBTs within the two-year grace period whilst excluding all other companies that are still within the grace period but have not yet achieved approved SBTs.
100% portfolio to set science-based targets by 2030 (these portfolio targets cover 80% of total investment and lending activities by invested capital as of June 30, 2022). Target developed using the Private Equity Sector Science-Based Target Guidance
GHG scopes included:
As part of our net zero 2030 target, we are making best efforts to collect, assess and aggregate Scope 1, 2 and 3 emissions from all in scope companies as part of our commitment to our Science Based Targets. Where companies are below 500 employees (SME definition by SBTi), we are prioritizing measuring key scope 3 material categories and where companies are over 500 employees, we will measure and manage scope 3 material categories and set relevant science-based targets.
Science Based Target initiative for Financial Institutions
Bregal Investments (BI) commits that 40% of its direct private equity investments by EUR invested capital will have set science-based targets by 2025 and 100% by 2030 from a 2021 base year. For the SBT, BI portfolio targets cover 79% of total investment and lending activities by invested capital as of June 30, 2021. The SBTs are consistent with the reductions needed to stay in line with the well-below 2 degrees Celsius and aims to achieve the 1.5 degrees Celsius climate scenarios.
More information on our target and how we intend on achieving them is here
Proportion of AUM committed:
Following the same methodology as our target submission to SBTi in 2021, 20% of our total investment and lending activities currently are not covered by portfolio SBTs. These relate to fund of funds and direct lending investments, which are deemed optional by the SBTi PE Guidance. BI will continue to make efforts to engage with other private equity firms we indirectly invest in through our fund-of-funds and credit funds as we learn from our experience setting SBTs with our direct private equity funds; however noting, in line with the aforementioned guidance, that in a non-direct investment class the ability to direct and set SBTs is harder given the lack of control over these underlying investments.
Policy on coal and other fossil fuel investments:
No. BI already excludes companies involved in the extraction of coal as per our internal Restricted Investment list.
Refer to Bregal Investments SBT validated targets here