Data snapshot: ESG debt KPIs linked to effective fundraising

The monitoring of ESG debt KPIs for ESG-linked debt facilities is more prevalent among those GPs looking to raise bigger funds, according to Investec's GP Trends 2022 report.

The use of ESG in debt structures has been linked to effective fundraising among private equity firms in Investec’s new GP trends 2022 report.

Findings from a poll of 150 British and mainland European GPs reveal that the monitoring of ESG debt KPIs for ESG-linked debt facilities is more prevalent among those firms that expect to raise a bigger fund next time around, compared with those anticipating “flat future fundraising”.

The data tells a story of ESG moving beyond exercises in compliance “to become predictors of effective fundraising”, the report said.