Climate Change Data

Compass Group LLC; CG Compass Group (USA) LLC; Compass Group Capital Management LLC; Compass Group Investments Solutions LLC. Mexico: Compass Group Investments de México S.A. de C.V. S.O.S.I.; CDI Sociedad Administradora de Proyectos S.A. de C.V. Colombia: Compass Group Colombia S.A.S.; Compass Group S.A. Comisionista de Bolsa. Brazil: CG Investimentos Brazil Ltda. Peru: Compass Group SAFI S.A; Compass Group Perú S.A. Chile: Compass Group Chile S.A. Administradora General de Fondos; Compass Group S.A. Asesores de Inversión; CG Servicios Financieros Ltda. Argentina: Investis Asset management S.A.S.G.F.C.I. Uruguay: Compass Group Global Advisors S.A.; Compass Group Uruguay Investment Advisors S.A. Luxembourg: Compass Group Luxembourg GP SARL.

Climate Impact & Sustainability Data (2020, 2022, 2023)

Reporting Period: 2020

Environmental Metrics

Total Carbon Emissions:Under four tonnes of CO2 per capita in 2018 (Latin America)
Renewable Energy Share:Significantly exceeded other developing world regions in 2019 (Latin America)

ESG Focus Areas

  • Environmental
  • Social
  • Governance

Environmental Achievements

  • Latin America's share of electricity production from renewables greatly exceeded that of other parts of the developing world in 2019.
  • Colombia aims to create over 100,000 green jobs.
  • Chile plans to allocate at least $1.3 billion towards environmentally friendly measures.
  • Subsidiaries of AES, Engie, Enel, EDP and Iberdrola are developing 57 GW in renewable sources in Latin America.
  • Omega Geração avoided the emission of 289 thousand tons of CO2 in 2019.

Social Achievements

  • Latin America has performed better than numerous peers in financing and allocating public spending towards education.
  • Latin America's literacy rate has risen to nearly 95%.
  • Natura conserved over two million hectares of forest and improved the income of thousands of families.
  • Omega Geração fulfilled 14 of the 17 UN global goals.
  • Globant's program supports women in the IT industry, with 1,500 girls participating in the “Girls Programming Club”.

Governance Achievements

  • Compass Group developed an internal credit rating methodology incorporating “Governance” as a component of credit analysis.
  • Compass Group formalized the integration of sustainability and governance factors via a checklist questionnaire.
  • Compass Group is a signatory to the UN Principles for Responsible Investment (PRI).
  • Compass Group updated its valuation guidelines to incorporate research on the correlation between governance scores and cost of capital.
  • Compass Group actively engaged with portfolio companies to improve their governance frameworks (e.g., berry producer in Chile, cement company in Mexico).

Climate Goals & Targets

Long-term Goals:
  • Chile's target of achieving carbon neutrality by 2050.
Medium-term Goals:
  • Colombia's pledge to reduce greenhouse gas emissions by 51% by 2030.
  • Chile's target of achieving carbon neutrality by 2050.
  • Globant aiming for a neutral carbon footprint by the end of 2021.

Environmental Challenges

  • Deforestation and wildfires in the Amazon.
  • Systemic social issues in Latin America (human rights, healthcare, education, inequality).
  • Weak state institutions addressing healthcare issues.
  • Governance issues, corruption, political instability, and lack of economic growth.
  • Poor transparency and weak policy making hindering foreign investment.
  • Corporate corruption scandals.
Mitigation Strategies
  • Government initiatives in Colombia and Chile to promote green jobs and environmentally friendly measures.
  • Companies incorporating ESG values into their culture (Natura, Omega Geração, Globant).
  • Compass Group's active engagement with portfolio companies to improve governance and ESG practices.
  • Compass Group's internal credit rating methodology and ESG questionnaire.
  • Compass Group's participation in the UN PRI.

Supply Chain Management

Climate-Related Risks & Opportunities

Physical Risks
  • Deforestation
  • Wildfires
Opportunities
  • Renewable energy development

Reporting Standards

Frameworks Used: UN Principles for Responsible Investment (PRI)

Reporting Period: 2022

Environmental Metrics

ESG Focus Areas

  • Environmental
  • Social
  • Governance

Climate Goals & Targets

Long-term Goals:
  • Commit to a Net Zero implementation plan verified by an internationally recognized organization within four years.
Medium-term Goals:
  • Commit to achieving Net Zero before 2050 within three years.
Short-term Goals:
  • Disclose GHG emissions data in line with an internationally recognized standard within two years.

Environmental Challenges

  • Addressing climate change in a local manner while raising global awareness.
  • Promoting robust ESG practices of companies within their portfolios.
Mitigation Strategies
  • Engaging with issuers to encourage more robust climate-related disclosures and transparency of quality carbon data.
  • Incorporating the materiality of climate-related risk factors when assessing the investment case of potential investee companies.
  • Systematically engaging with high polluters to promote plans to decrease their GHG emissions.

Supply Chain Management

Responsible Procurement
  • Exclusions and screening of companies involved in certain activities (thermal coal, oil sands, tobacco, etc.).

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: Principles for Responsible Investment (PRI)

Reporting Period: 2023

Environmental Metrics

Total Carbon Emissions:Not disclosed
Scope 1 Emissions:Not disclosed
Scope 2 Emissions:Not disclosed
Scope 3 Emissions:Not disclosed
Renewable Energy Share:Not disclosed
Total Energy Consumption:Not disclosed
Water Consumption:Not disclosed
Waste Generated:Not disclosed
Carbon Intensity:Not disclosed

ESG Focus Areas

  • Environmental
  • Social
  • Governance

Environmental Achievements

  • Not disclosed

Social Achievements

  • Not disclosed

Governance Achievements

  • Developed a proprietary ESG rating system (out of 100) using a 135-question questionnaire, integrated into bottom-up analysis and impacting credit rating and equity valuation.

Climate Goals & Targets

Long-term Goals:
  • Not disclosed
Medium-term Goals:
  • Not disclosed
Short-term Goals:
  • Not disclosed

Environmental Challenges

  • Not disclosed
Mitigation Strategies
  • Not disclosed

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement
  • Not disclosed

Climate-Related Risks & Opportunities

Physical Risks
  • Not disclosed
Transition Risks
  • Not disclosed
Opportunities
  • Not disclosed

Reporting Standards

Frameworks Used: Principles for Responsible Investment (PRI)

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

  • Not disclosed

Not disclosed

Sustainable Products & Innovation

  • Not disclosed

Awards & Recognition

  • Not disclosed