Investing with SDG outcomes: A five-part framework

Expectations from beneficiaries, clients, governments and regulators over how investors should respond to environmental and social issues have changed – driven by increased visibility and urgency around many of the Sustainable Development Goals.

To meet the SDGs, investors must understand how they can increase the positive outcomes and decrease the negative outcomes arising from their actions.

As part of our work to help investors do this, and to enable real-world impact aligned with the SDGs, we published a major report, Investing with SDG outcomes: A five-part framework.

1. Identify outcomes
2. Set policies and targets
3. Investors shape outcomes
4. Financial system shapes collective outcomes
5. Global stakeholders collaborate to achieve outcomes in line with the SDGs

The framework has been refined through an extensive consultation process with internal and external parties, including with signatories at PRI in Person in Paris, the PRI Board, the SDG Advisory Committee and key partners.

This report follows our previous work on the SDG investment case – which laid out why the SDGs are relevant to investors, why there is an expectation that investors will contribute and why investors should want to.

Going forward, we will assist signatories seeking to shape outcomes in line with the SDGs, for each part of the framework.

Following consultation with signatories on revising the PRI Reporting Framework, we will also include an initial set of outcomes questions in the pilot year of the new Reporting Framework in 2021.

To read more about our SDGs work, click here.