Chennai, April 2018: Kotak Asset Management Company (Kotak Mutual Fund) today announced that it has signed the United Nations-supported Principles for Responsible Investment, becoming the first asset management company to lead the responsible investing narrative in India. The PRI is the leading global network for investors, committed to integrating environmental, social governance (ESG) practices into investment policies and practices.
Kotak Mutual Fund’s investment philosophy has always been driven by the principle of delivering optimum returns on a sustainable basis for its investors. By signing the Principles for Responsible Investment (PRI), Kotak Mutual Fund aims to adhere and implement ESG standards in its investment decisions. Formal adoption of the global benchmarks on responsible investing assures all stakeholders of Kotak Mutual Fund’s commitment to ESG practices.
Nilesh Shah, MD & CEO, Kotak Mahindra Asset Management Co. Ltd. said, “Investor interest is at the core of our investment philosophy and all our investment decisions have always been driven by sustainable returns. By signing the PRI, we are formally committing to responsible investing.”
“Globally, companies adhering to ESG protocols, in addition to having good risk management and corporate governance practices, deliver sustainable returns. With evolving investor attitude towards responsible investing, we need to adapt and adopt international trends and best practices in this area. The processes outlined by PRI will help us develop a more sustainable financial ecosystem’, added Nilesh.
Fiona Reynolds, CEO, Principles for Responsible Investment said, “We appreciate Kotak Mutual Fund’s initiative to sign PRI principles. The first Indian asset management company publicly committing to make its investment decisions in a more responsible and sustainable manner using the PRI’s voluntary framework will encourage not just the rest of Indian asset management companies but also other private, public and state enterprises to emulate the same. To get sustainable returns on investments, investment decisions should be driven by the tenets of ESG principles. This is one of the world’s fastest growing investment trends. We believe that it is time for Indian businesses to follow global best ESG practices.”
Established in 2006, the PRI principles have since been signed by more than 1,900 global signatories comprising of asset owners, investment managers and service providers across 55+ countries having a combined AUM of US $70 trillion.
About Kotak Mahindra Asset Management
Kotak Mahindra Asset Management Company Limited (KMAMC), a wholly owned subsidiary of Kotak Mahindra Bank Limited (Kotak), is the Asset Manager for Kotak Mutual Fund (KMF). KMAMC started operations in December 1998 and has approximately 12 lakh investors in various schemes. KMF offers schemes catering to investors with varying risk – return profiles and was the first fund house in the country to launch a dedicated gilt scheme investing only in government securities. The company is present in 76 cities and has 79 branches.
The United Nations-supported Principles for Responsible Investment (PRI) Initiative is an international network of investors working together to put the six principles for responsible investment into practice. Its goal is to understand the implications of Environmental, Social and Governance issues (ESG) for investors and support signatories to incorporate these issues into their investment decision making and ownership practices. In implementing the principles, signatories contribute to the development of a more sustainable global financial system. There are currently more than 1900 signatories to the PRI who collectively manage approximately US$70 trillion in assets. Visit www.unpri.org.