ESG/Responsible Investing

Our team is committed to supporting responsible investing practices in line with our fiduciary duty to all investors across investment vehicles.

Makena Capital believes an investment process that integrates environmental, social, and governance (“ESG”) factors enhances our ability to manage risk and create value for our investors.

As a global, multi-asset class investment manager focused on preserving and growing capital over an extended horizon, we are keenly focused on responsible investment practices and stewardship of capital at all levels of the investment process. Makena became a UN PRI Signatory in 2016 and have since only strengthened our commitment to responsible investing across our portfolio. As part of our fiduciary duty to all investors, we believe formal incorporation of ESG considerations into our investment process sharpens our ability to identify potential risks and opportunities and drives attractive long-term risk-adjusted returns.

For more information on our ESG Policy or practices please email ClientOperations@makenacap.com

+   Responsible Investing Framework

Over the past several years, our team has gradually integrated ESG factors into the manager due diligence process, consistent with our fiduciary obligations to all investors. We feel it is imperative to partner with best-in-class managers whose objectives and culture align with our own and with whom we can collaborate to create robust frameworks for responsible investing. Over the course of the year, we have several points of contact with our managers to engage on this subject. Our annual ESG Survey is sent to all continuing managers and allows us both to monitor manager progress using our internal evaluation framework and to identify broader trends across our portfolio. We provide a summary of this information in our annual ESG Report.

Makena’s ESG Report for 2018 can be found here.

+   Investment Strategies

Through our sustainable natural resources strategy, Makena seeks unique ESG-focused opportunities across sectors by targeting investments in agriculture, water, clean energy, and associated infrastructure and services. Improving technology and expanding demand for sustainable food, water, and energy sources has created a market landscape that is favorable from both a returns and environmental impact perspective. In this sub-segment, we look for investments which can catalyze sustainable resource development and utilization while generating competitive financial returns.

+   Community Engagement

From leadership to engagement, Makena aspires to be a pioneer within the investment management industry and believes it is our responsibility to promote greater awareness and positive involvement in local and global communities. As a firm, we promote philanthropic involvement and initiatives at multiple levels through leadership, service, and engagement opportunities within communities both near and far from our Silicon Valley headquarters.

Leadership:
Managing Directors currently serve or have served on the Boards or Investment Committees of leading institutions, including The Rhodes Trust, Carnegie Endowment for International Peace, Dartmouth College, University of Virginia, Virginia Retirement System, and Virginia Environmental Endowment.

Service:
Makena’s employees are actively engaged in the community, volunteering their time and providing financial support to a range of causes. As a firm, we encourage and enjoy getting out in the community. Most recently, Makena spent our Annual Volunteer Day at the Boys & Girls Club of San Francisco working with elementary and middle school children in their after-school activities. In addition, Makena’s partners have a generous employee donation matching program which allows us to increase the impact of our employees’ contributions. Each year, Makena’s Management Company and employees support a diverse array of national and global organizations including schools, social welfare organizations, and many other charitable and not-for-profit groups.

+   Partners

UN Principles for Responsible Investment

Makena became a signatory to the United Nations Principles for Responsible Investment (“UN PRI”) in 2016 as part of our continuing commitment to improving ESG integration throughout the investment process. In becoming a signatory, Makena pledged to pursue the following principles to the best of our ability.

Ceres

Makena joined Ceres, a sustainability non-profit organization, in 2017. Our work with Ceres involves participation in several working groups, including Carbon Asset Risk and Water Risk, that seek to provide investors with the tools to identify risks within their portfolios and engage with companies to press for new standards.