We're bringing our professional risk management, compliance, and due diligence toolkit to the field of impact investing.
As corporate scandals monopolize headlines, investors and shareholders are valuing strong corporate governance more than ever. They recognize that governance is a key driver for performance and sustainable profits that have proven to be directly affected by strong internal controls and conscientious leadership.
Reports about false disclosures and the exploitation of sensitive personal and proprietary information are common. Meanwhile, scores of top executives, commercial and non-profit alike, have been charged with and convicted of crimes ranging from fraud and bribe-taking to embezzlement and racketeering. These crimes do more than strike a harsh blow to a company’s reputation — they compromise the integrity of a company’s operations.
This has a direct impact on shareholder value.
IntegrityRisk is a proven global leader in GRC working with multinationals, corporates, financial institutions and others on the assessment of material GRC issues. Our partnership with Finclusive enables us to tailor and expand on our best-in-class research and investigative processes, as well as our extensive international network of compliance and due diligence professionals, so we can authenticate environmental, social, and governance (ESG) investing performance.
Corporate Governance Moves Center Stage
If an entity is the subject of credible adverse media coverage, has an extensive litigation history, or presents a serious reputational risk owing to fraud, embezzlement, money laundering, or even data breaches, those data points are critical to understanding their underlying corporate governance capacity. IntegrityRisk ImpactCheck supplies a comprehensive, in-depth analysis of an entity’s governance structure, internal controls, and processes — and, by direct extension, their performance.
Our integrated impact measurement and accounting framework provides conceptual clarity on ESG impact dimensions: factors, inputs, activities, outputs, and outcomes — all driven by stakeholder values.
Whenever publicly available or unverified self-reported information does not accurately or comprehensively capture the true risk in their business operations, companies can be overvalued. Why? Because public equity pricing remains a lagging indicator — when a data breach occurs, or an executive is convicted of a corporate crime, the stock price of the company can drop dramatically because the event was unforeseen. But what if it was foreseeable?
Looking Ahead, Not Just Behind, to Inform Investment Bottom Lines
Many investors are experiencing increased pressure to demonstrate accountability by incorporating tested and proven methods of due diligence and compliance reporting. ImpactCheck is vital to traditional/mainstream and impact-oriented investors alike.
If you are . . .
— An alpha-seeking mainstream investor looking to maximize financial returns, and/or
— A social impact investor or enterprise looking to maximize ESG performance
. . . governance is critical.
ImpactCheck tilts the focus toward a predictive lens by bringing a disciplined and pressure-tested methodology to understand and assess governance risk. It informs future investment decisions not only by looking at yesterday’s events, but by gauging the likelihood of a future adverse event based on a close examination of all relevant corporate governance indicators. Stronger verification tools married to advanced analytics makes all the difference when it comes to understanding a company’s ability to execute its strategy and provide value to the marketplace.
We identify material environmental and social risks associated with an entity’s supply chain, financial strategy, or business operations that may have inimical effects on the company’s reputation, litigation risk, coverage in the media — and especially its ability to drive financial performance.
What ImpactCheck Offers
ImpactCheck can supply information on:
— An entity’s non-compliance with environmental standards and regulations;
— Risks associated with a company’s dependence on scarce or vulnerable resources that are likely to fluctuate and affect business operations;
— Supply chains that are extractive, polluting, heavily resource dependent — or source labor in a country with a history of labor rights abuses;
— How an entity treats its employees;
— How an entity interacts within the communities it operates;
— Potential risks that could materialize into labor law litigation; and,
— Discrepancies in self-reported/disclosed company operations.
ImpactCheck provides multiple layers of due diligence and compliance assessment in areas of adverse media, publicly disclosed regulatory and financial filings, open, deep and dark-web information stores, litigation research, and discreet in-person interviews — among other areas of investigative diligence.
If you are an investor, asset owner, asset manager, financial institution, ratings agency, foundation, or family office – or simply want to comprehensively assess the compliance and governance capabilities surrounding your assets and holdings – contact us today to explore how ImpactCheck can get busy working for you.