IMPACT REPORTING VERIFICATION
We assess the quality of an investor’s external impact reporting based on industry best practices.
IMPACT REPORTING VERIFICATION
We assess the quality of an investor’s external impact reporting based on industry best practices.
Our Approach
We evaluate the quality of an investor’s impact reporting based on four key principles:
Relevance
Integration of sustainability goals (e.g., SDGs), stakeholder identification, and engagement practices
Completeness
Thorough description of the impact thesis, investor contribution narrative, and impact performance
Comparability
Use of impact indicators that facilitate the analysis of performance over time, relative to other organizations, and relative to expectations
Balance
Discussion of negative impact, identified impact and ESG risks, and instances of impact underperformance
BlueMark’s Reporting Assessment documents the quality and degree of alignment of the client’s impact reporting with best practices and a list of recommendations on areas of strength and areas for improvement.
The BlueMark Value-Add
With the threat of impact-washing a growing concern in the market, asset owners and other stakeholders need a way to know that investors are living up to their impact pledges. Impact reports are an important way to communicate the progress of an impact fund or initiative, but can often contain either too little, too much, or confusing information. That’s why when we verify these reports, we evaluate their quality against a range of relevant market standards and provide recommendations on areas for improvement, thereby providing Limited Partners and other stakeholders with the assurance they need while also encouraging investors’ continued advancement towards best practices.
The Types of Clients We Serve
We serve a variety of impact investors, including asset managers, asset allocators, and companies.
The Best Timing for Client Verification
Impact reports should ideally be verified with the same frequency as financial reports, which in the case of most organizations is annually. In a fund context, these verifications would generally be required throughout the lifecycle of the fund to ensure ongoing impact integrity.
The Industry Standards We Use for Verification
We draw on a variety of impact investing industry frameworks and standards, depending on the particular type of client and their particular impact thesis, investment strategy, and asset class. These standards include but are not limited to:
- Impact Management Project (IMP)
- The GIIN’s IRIS+ impact measurement framework
- Operating Principles for Impact Management (OPIM)
- Principles for Responsible Investment (PRI)
- Sustainability Accounting Standards Board (SASB)
- Sustainable Development Goals (SDGs)
- SDG Impact
- Taskforce on Climate-related Financial Disclosures (TCFD)
The Industry Standards We Use for Verification
We draw on a variety of impact investing industry frameworks and standards, depending on the particular type of client and their particular impact thesis, investment strategy, and asset class. These standards include but are not limited to:
- Impact Management Practice (IMP)
- The GIIN’s IRIS+ impact measurement framework
- Operating Principles for Impact Management (OPIM)
- Principles for Responsible Investment (PRI)
- Sustainability Accounting Standards Board (SASB)
- Sustainable Development Goals (SDGs)
- SDG Impact
- Taskforce on Climate-related Financial Disclosures (TCFD)