Climate Change Data

Alkhabeer Capital

Climate Impact & Sustainability Data (2018, 2019, 2021)

Reporting Period: 2018

Environmental Metrics

ESG Focus Areas

  • Corporate Social Responsibility

Environmental Achievements

  • Embarked on an energy and resources saving initiative to reduce electricity consumption by 5%, plastic bottles by 25%, and paper by 10% by the end of 2019. Aiming to increase the use of recycled paper for internal use to 25% by the end of 2019.

Social Achievements

  • Six students enrolled in the summer internship program.
  • Alkhabeer Capital was named Best Private Equity Company in Saudi Arabia for a second consecutive year. Alkhabeer was also named Best Asset Manager in Saudi Arabia.

Governance Achievements

  • The Board of Directors held five regular meetings during 2018. The percentage of independent directors equates to 44% of the total composition of the Board.
  • No penalties, fines, precautionary measures or preemptive restrictions were imposed on Alkhabeer by CMA or any other supervisory, regulatory or judicial body during 2018.

Climate Goals & Targets

Short-term Goals:
  • Reduce electricity consumption by 5%, plastic bottles by 25%, and paper by 10% by the end of 2019. Increase the use of recycled paper for internal use to 25% by the end of 2019.

Environmental Challenges

  • Volatility in most of 2018 due to trade wars, China growth uncertainties, unstable European politics and interest rate hikes in the US.
  • Underperformance in the real estate sector despite efforts to boost residential activity.
  • Challenges facing the asset management industry.
  • High unemployment rate among Saudi nationals (12.9% in Q1 2018).
Mitigation Strategies
  • Modified strategy with sharper focus on real estate and private equity.
  • Launched Alkhabeer REIT Fund.
  • Expanded investments in the education sector by acquiring three educational companies.
  • Government initiatives to encourage private sector to hire locals, including localization of jobs in the telecom sector.

Supply Chain Management

Climate-Related Risks & Opportunities

Awards & Recognition

  • Great Place to Work® – Among Best Workplaces in Saudi Arabia
  • Banker Middle East – Best Private Equity Firm in Saudi Arabia
  • Islamic Business & Finance – Best Asset Manager in Saudi Arabia

Reporting Period: 2019

Environmental Metrics

ESG Focus Areas

  • Shari'ah compliance
  • Corporate Governance
  • Risk Management
  • Employee Well-being

Social Achievements

  • Ranked sixth under the Best Small and Medium Workplaces in Asia and the only Saudi company in the list
  • Great Place to Work® – Among Best Workplaces in Saudi Arabia
  • 'Best Employers' in the Middle East

Governance Achievements

  • Corporate Governance Framework developed in accordance with the Corporate Governance Regulations set by the Capital Market Authority (CMA)
  • Established Boards & Committees Governance Division to ensure proper governance and effective control of Alkhabeer’s Boards and Committees

Climate Goals & Targets

Supply Chain Management

Climate-Related Risks & Opportunities

Awards & Recognition

  • Banker Middle East – Best Private Equity Firm in Saudi Arabia
  • Islamic Business & Finance – Best Asset Manager in Saudi Arabia
  • Best GCC Equity Fund for “Alkhabeer GCC Equity Fund”
  • Best Islamic Fund by Banker Middle East for “Alkhabeer Liquidity Fund - Hasseen”
  • GCC Equity Fund of the Year for “Alkhabeer GCC Equity Fund”

Reporting Period: 2021

Environmental Metrics

ESG Focus Areas

  • Environment
  • Social
  • Governance

Environmental Achievements

  • Planted 1,000 trees in line with the Saudi Green Initiative.

Social Achievements

  • Launched Alkhabeer Internship Program.
  • Received six awards from Great Place to Work Institute, including awards for Best Work Environment for Women and Best Work Environment for Millennials.

Governance Achievements

  • Developed a code of business conduct.
  • Established Board Committees (Investment, Audit, Nomination & Remuneration, Risk, and Compliance).

Climate Goals & Targets

Long-term Goals:
  • Achieve distinguished investment management performance by providing investment products aligned with client interests.
Medium-term Goals:
  • Continue to acquire promising opportunities in attractive sectors for listing on the primary and parallel market in Saudi Arabia.
  • Continue to develop innovative investment products and expand the launch of closed exchange traded funds.
Short-term Goals:
  • Launch brokerage services in the second half of 2022.

Environmental Challenges

  • COVID-19 pandemic and its impact on global economies.
  • Geopolitical risks affecting market volatility.
  • Potential credit risk from counterparties.
Mitigation Strategies
  • Implemented a strategic transformation plan.
  • Adopted a credit strategy for monitoring and controlling counterparty risk.
  • Maintained a strong capital base and complied with CMA capital requirements.
  • Implemented robust risk management processes (credit, market, liquidity, and operational risks).

Supply Chain Management

Climate-Related Risks & Opportunities

Awards & Recognition

  • Alkhabeer Capital’s CEO selected among Forbes Middle East’s “30 Biggest Asset Managers 2021”.
  • “Best New Income Traded Fund” Saudi Arabia and “Best Islamic REIT – Real Estate Investment Trust” in Saudi Arabia in 2021 from Global Economics.
  • “Best Islamic Investment Management Company” in Saudi Arabia in 2021 from World Economic Magazine Inc.
  • Six awards from Great Place to Work Institute.