Investing for Long-Term Value

Case Study

At Bain Capital, we don’t simply consider ESG factors across our individual portfolio companies when investing. Our Public Equity team has also launched a dedicated strategy focused on low-carbon investments.

This strategy is comprised of a portfolio of companies that can compound at superior rates long-term while also delivering a superior carbon profile. As of year-end 2022, the Enduring Equity strategy was 83% less carbon intensive than the MSCI World Index, and 79% of the capital was invested in companies with greenhouse gas emissions reduction goals. Many of the companies have also publicly committed to reaching net zero emissions by 2035 and have developed KPIs to demonstrate progress towards this commitment. Bain Capital Public Equity also consistently assesses investing in companies who consider ESG holistically—examining and advocating for board diversity and transparency, among other ESG factors.

In curating investments for this strategy, we’ve established an internal process to evaluate ESG performance. We only invest in companies we deem to have a “positive” or “neutral” ESG performance, and will avoid investing in entities we consider to have “negative” ESG performance. Ultimately, this strategy seeks to provide the opportunity to drive profit while simultaneously supporting the planet.

Joshua Ross
We believe sustainability considerations are critical to the long-term ability of our businesses to grow, and also to the sustainability of their underlying profit pools.
Joshua Ross, Head of Public Equity