Watch Novata CEO Alex Friedman explain the importance of comprehensive ESG data collection and reporting – and why it should be a priority for fund managers and private companies alike.

Hamilton Lane is proud to be a member of the consortium that formed the new public benefit corporation, which also includes the Ford Foundation, S&P Global, and Omidyar Network. Novata was created to enable the private markets to achieve a more sustainable and inclusive form of capitalism by providing a technology platform that helps private equity firms and private companies to navigate the complex ESG landscape.

Source: Hamilton Lane Data

*Study conducted on RFPs + DDQs received from 2019 through the first half of 2022.

% of RFPs Containing ESG Questions

With >=10 RFPs

In an effort to understand the LP community’s growing interest in ESG integration in the private markets, our teams analyzed 1000+ RFPs and DDQs* to determine which featured questions about ESG.

As announced in our 2022 Climate Policy Statement, Hamilton Lane has pledged to reach net-zero emissions by 2050 or sooner across all discretionary assets under management. Additionally, we have joined Initiative Climat International (iCI) as a founding member of the organization’s North American Chapter. Hamilton Lane will seek to invest strategically on behalf of our clients in the transition to a lower carbon future as we simultaneously seek to lower the impact that the private markets have on climate change. 

In 2021, Hamilton Lane sponsored more than 150 children in the ACHIEVEability Sponsor-a-Child Gift Giving Program, a program designed to permanently break the generational cycle of poverty for low-income, single-parent, and homeless families through higher education, affordable housing, supportive services, community and economic development and accountability.  

Source: Hamilton Lane Data

Source: Hamilton Lane Data

2020 Carbon Footprint Breakdown

2019 Carbon Footprint Breakdown

In 2021, we began working with Climate Impact Partners (f.k.a. ClimateCare) to offset our calculated emissions. We purchased verified offsets through Climate Impact Partners-supported projects that focused on cutting carbon and improving lives. Projects included renewable power development in India, and two world-leading clean cooking projects in Bangladesh and Ghana.

Source: Hamilton Lane Annual GP Survey (December 31, 2020 and December 31, 2021)

In 2021, we expanded the scope of our annual ESG and DE&I survey to include more than 430 managers. These GPs span the globe and represent the full spectrum of the private markets, from VC to mega-buyout, private credit and real assets. On the whole, we saw improvement in nearly all categories of ESG integration, though some key areas still prove challenging.

Hamilton Lane has 51% diverse representation across our 570+ Global Employees, with 45% diverse representation at the senior level. This progress indicates the success of The Hamilton Lane All Policy (“HL All”) which sets out a comprehensive framework to intentionally embed diversity, equity and inclusion into our company values, culture and practices.

As of September 30, 2022

“There is a critical need for better ESG reporting – LPs are asking for it, government regulation is beginning to demand it and trying to report with the fragmented and sporadic inputs of today is too hard. That has to change. The push for more responsible investing and for greater transparency in ESG measurement represents, I believe, one of the biggest opportunities in our industry today.”