Alternative Asset Management & Sustainability Insights – Details, episodes & analysis

In this week's issue of Travers Smith's Alternative Insights, we are looking at we are looking at NAV lending to private equity funds, and ILPA's recently issued guidance.

Links:

McKinsey's 2024 Global Markets Review

ILPA guidance on continuation funds

ILPA review of its highly impactful reporting template

ILPA guidance on NAV-based facilities

Financial Stability Report

BVCA pointed out

ILPA Guidance

Welcome to the third episode in our Sustainability Insights ... in conversation series.

In the fourth episode of our Sustainability Insights … in conversation series, Simon Witney speaks to Diandra Soobiah, Director of Responsible Investment at Nest, the National Employment Savings Trust. Their discussion explores Nest's significant commitments to the private markets and, with 15% of NEST's £42 billion AUM allocated to private markets, Diandra explains what more she wants to see from the sector.

Our second episode of Sustainability Insights … in conversation charts Kristen Weldon's journey to natural capital in private markets.  Simon Witney and John Buttanshaw from Travers Smith's ESG team talk to Kristen about the importance of nature and biodiversity, explore some of the investible opportunities for the private markets, and discuss UK and EU legal and regulatory initiatives. 

In this week's issue of Alternative Insights, we are looking at the UK's attempts to get defined contribution pension schemes to invest in private funds.

In this week's issue of Sustainability Insights, we are looking at Labour law reforms across the UK and Europe in light of upcoming elections.

Links:

• TUC - "The biggest upgrade of workers’ rights in a generation"
• IER - CBI lobbying to ‘soften’ Labour’s workers’ rights pledges, FT reports.
• FT - Keir Starmer seeks to reassure business over Labour’s worker rights pledges
• IER - Row rumbles on as business leaders line up against a 'full fat' New Deal for workers - IER
• European Commissions - Social Europe: More transparent and predictable working conditions for workers in EU
• European Council - Platform workers: Council confirms agreement on new rules to improve their working conditions
• FCA proposals for asset managers
• US FTC proposed ban on employers imposing non-competes on employees
• UK government's Department for Business & Trade 'Non-Compete Clauses'
• Raconteur - is this the death of the non-compete clause?
• The Hill - 'Banning non-compete agreements hurts US companies and workers'
• CMA research report on competition and market power in UK labour market
• SHRM - ' Will the FTC Finalize a Compete Ban on Noncompetes?'

In this week's issue of Travers Smith's Alternative Insights we are looking at the European Commission's recent policy brief reviewing the first 100 days of the EU's Foreign Subsidies Regulation.

Links:

EU's new Foreign Subsidies Regulation

Travers Smith's Alternative Insights: The impact of the EU's new rules on foreign subsidies

The European Commission's recent policy brief

In this week's issue of Sustainability Insights, we are looking at European supply chain due diligence requirements including the fate of the EU's CS3D.

Links:

Aligning the EU Due Diligence Directive with the International Standards: Key Issues in the Negotiations

FT article - France seeks weaker EU due diligence rules for banks

Forecast for 2024 European Parliament elections

European lawmakers reached an in-principle agreement on the Commission's 2022 proposal to ban products from the EU market that are made with forced labour

US Uyghur Forced Labor Prevention Act

Call for evidence issued by an influential Parliamentary Committee

Our recent note on similar European rules 

OECD Due Diligence Guidance for Responsible Business Conduct

Business and Human Rights Resource Centre - UK: Update - 50 businesses sign statement calling for human rights due diligence legislation

Our briefing - "Value chain" negligence claims: the door has been opened

Our ESG risk map

In the 73rd issue of Travers Smith's Alternative Insights, we are looking at subscription line financing and the emerging role of rating agencies.

Links:

• An analysis by Blackrock
•  ILPA's guidelines issued in 2017
• In 2022, Citi was reported to have scaled back its lending by over two-thirds
• Rating agencies (GLI Fund Finance 2024 - Rated subscription lines: An emerging solution tot he liquidity crunch | Travers Smith)

We launched a new podcast series in February: Sustainability Insights … in conversation. In the first edition, Simon Witney discussed topical issues – including the global ESG landscape and responsible AI – with Cornelia Gomez, Global Head of ESG at General Atlantic. 

Listen to the podcast here, and sign up here if you want the second edition to land in your inbox.

Listen to a discussion between Travers Smith's Simon Witney and Cornelia Gomez, Global Head of ESG at General Atlantic. Simon and Cornelia discuss the outlook for regulation in 2024, differing global perspectives on sustainability, and responsible AI.

In this week's issue of Sustainability Insights, we are looking at corporate governance and reporting in EU portfolio companies.

We are launching a new podcast series in February: Sustainability Insights … in conversation. In the first edition, Simon Witney will discuss topical issues, including the global ESG landscape and responsible AI, with Cornelia Gomez, Global Head of ESG at General Atlantic.  Sign up on our website (www.traverssmith.com) and it will land in your inbox next week.

Links:

• The EU's Corporate Sustainability Reporting Directive
• PERG – the Private Equity Reporting Group
• The PwC analysis of good practice
• The Walker Guidelines commissioned by the BVCA and written by Sir David Walker in 2007
• TCFD further reforms announced and then ditched, following a call for evidence to gather ideas for simplifying the rules
• This year's PERG report
• The UK's Financial Reporting Council's review of reporting by the UK's largest private companies
•  FRC's Guidance on the Strategic Report and Thematic review of climate-related metrics and targets
• The Wates Corporate Governance Principles for Large Private Companies, the UK Corporate Governance Code itself (amended this year, and with updated guidance) and the CGI model terms of reference for an ESG Committee
• "Section 172" statement 
• ESG Footprints in Private Equity Portfolios: Unpacking Management Instruments and Financial Performance