Adverse incidents regarding sustainability

The main adverse incidents at the entity level are not taken into account

Sherpa Capital currently does not consider the principal adverse impacts (PAIs) of its investment choices on sustainability factors as outlined in Article 4 of the Disclosure Regulation.

The Regulation’s Article 4(b) mandates fund managers to explain why the adverse impacts of investment choices on sustainability factors aren’t considered. While Sherpa Capital is devoted to integrating ESG factors, the firm finds aligning with the SFDR’s PAI regime challenging due to its existing investment strategy and processes.

Sherpa Capital has started to gather KPIs at portfolio company level, and after this process is completed and refined, we will analyse the adherence to the SFDR’s PAI regime in the future.