The Framework Behind Every Environmental Investment Decision
Investing in the environment is about more than backing renewable energy or low-carbon technologies. It also requires a disciplined process to determine whether an investment genuinely delivers positive environmental outcomes.
That is why EnviroInvest has developed its Environmental Assessment Framework. It is the governance document that sets out how every potential investment is assessed before it can be considered by our Investment Committee.
You can access a copy of the Framework here.
Why We Developed It
Environmental investing has grown rapidly, but so too have concerns around inconsistent standards and greenwashing.
Our Framework was designed to provide a consistent, evidence-based approach to assessing investments. Rather than relying on broad sustainability claims, every investment is reviewed against clearly defined environmental criteria to determine whether it delivers a measurable environmental benefit.
What Does It Cover?
The Framework outlines the environmental assessment process from start to finish.
It explains:
what qualifies as an Eligible, Conditional or Excluded Investment;
how environmental benefits are identified and verified;
how Green, Transition and Excluded Revenue are assessed;
why customer exposure is considered; and
how approved investments continue to be monitored over time.
Every investment is also assessed using a structured 100-point Environmental Investment Scorecard, helping ensure each opportunity is evaluated consistently.
Why It Is Important for Investors
Strong governance gives investors confidence that environmental claims are supported by evidence rather than marketing.
The Framework establishes a repeatable assessment process, documents the reasons behind each environmental classification and includes ongoing monitoring to ensure investments continue to meet our standards after capital has been committed.
While no framework can remove every investment risk, it can provide greater transparency around how investment decisions are made.
Read the Full Framework
This article is only a summary.
The full EnviroInvest Environmental Assessment Framework provides a detailed explanation of our environmental assessment methodology, governance processes, investment classifications, scorecards and monitoring requirements.
If you would like to learn more about how we assess environmental investments, you can access the complete Framework from our website www.enviroinvest.com.au/environmental-framework.
Important Information
EnviroInvest Pty Ltd ACN 685 107 957 ("EnviroInvest") is an Authorised Representative of Daylight Financial Group Pty Ltd ACN 633 984 773 ("DFGPL") which is the holder of Australian Financial Services Licence No. 521404.
Information in this commentary is current as at the date prepared unless otherwise stated. Investments can rise and fall in value and past performance is not a reliable indicator of future performance. Please refer to the Disclaimer section of our website for further Important Information.
This communication may contain general financial product advice. It has been prepared without taking into account your objectives, financial circumstances or needs. You should therefore consider its appropriateness before acting on it.
If our advice relates to the acquisition or possible acquisition of a particular financial product, you should obtain and consider the Information Memorandum (IM) or Product Disclosure Statement (PDS), where applicable, before making any investment decision.