PRI seeking industry reps for DDQ guide

The UN's responsible investment unit is asking its private equity signatories for help writing an ESG-focused due diligence questionnaire for investors. 

The UN-supported Principles for Responsible Investment (PRI) is forming a working group of private equity signatories to develop a guide on due diligence questions that LPs can ask GPs pre-investment.

The group’s LP DDQ Guide wants “to encourage a consistent industry approach towards LP due diligence on environmental, social and governance (ESG), and provide GP and LP case studies on integrating ESG considerations into the LP pre-investment process.”

Already the PRI has put together a workbook that contains practical guidance for private fund advisers wanting to better integrate ESG considerations into their dealmaking process. The workbook offers readers a step-by-step action plan to build from that begins with appointing an in-house ESG expert and ends with engaging LPs to better understand their ESG-related expectations.

However, there is still no standardized approach for LPs and GPs to request and disclose ESG-related information, according to a statement from the PRI. While the workbook “provides high-level guidance,” the PRI argues that the industry would benefit from “having more detailed guidance on disclosing ESG-related information accompanied with examples of good practice.”

LPs and GPs that would like to be part of the working group should contact Natasha Buckley at with 100 to 200 words on how they can contribute. Deadline for submissions is February 13.