GIC doesn't insist on the most up-to-date ESG data before investing in a target, as long as it has the potential to improve how it measures its risks in the area.
Measuring the environmental impact of investments is difficult, and measuring the social impact is harder still. However, this hasn’t stopped asset owners and managers from searching for better measurement techniques.
The social impact of buildings remains elusive, particularly in Asia, as investors attempt to make the assessment of 'S' in ESG more systemic.
The Singapore state fund recently bought into impact investing specialist LeapFrog, and is eyeing more investments that combine strong financial returns with a positive social effect.