The Taxonomy we have developed goes beyond just financial metrics; it deeply integrates Human Rights and governance considerations at its core. This approach ensures that investments made under the Peace Bond or Peace Equity instruments are not only profitable but also ethically and socially responsible.
International Standards as Our Foundation
Our current framework is built on internationally recognized instruments, including:
These instruments form the "minimum environmental and social safeguards" that guide our investment decisions.
Adapting to Emerging Global Standards
Looking ahead, we're ready to integrate new standards as they emerge:
The AAAQ Framework: A Tool for Responsible Provision of Goods and Services
We also embrace the AAAQ (Availability, Accessibility, Acceptability, and Quality) concept from the International Covenant on Economic, Social and Cultural Rights:
Applying AAAQ in Our Investments
The AAAQ concept is not just a guideline; it is a practical tool for measuring impacts, screening for 'Do No Harm' (DNH) principles, and establishing minimum social safeguards. In our Taxonomy, investments that inherently benefit peace and meet these AAAQ criteria are considered eligible.
Investing with a Conscience
By integrating these safeguards and the AAAQ framework, we ensure that our investments contribute positively to society and the environment, aligning with our commitment to responsible investing.
Understanding Peace Contributions in Investments
When we talk about investments contributing to peace, it's essential to understand how these contributions are made and their alignment with broader peace objectives. Here's a simple breakdown
Holistic Contribution: Every activity should contribute to one or more peace objectives. But it is not just about adding to peace; it is equally important to ensure these activities Do Not Harm any other peace objectives or overlook minimal social and environmental safeguards. This approach aligns with the Principle of Dual Materiality, emphasizing both positive impact and harm prevention.
Indirect Positive Contributions: These happen through the processes and outputs of a business. While they might not be the primary goal of a business activity, they play a crucial role in reducing factors that drive conflict or in enhancing factors that promote peace.
Direct Positive Contributions: This is when the main outputs of your investment directly address and mitigate key factors driving conflict or strengthen factors that foster peace. These contributions are intentional and directly linked to the core business activities.
Making a Meaningful Impact
In summary, whether your investment's contribution to peace is direct or indirect, the key is to ensure that it aligns with peace objectives and upholds the highest standards of social and environmental responsibility. By understanding and applying these principles, investors and businesses can make a significant and positive impact on peace and stability.
Full guidance on the use of the Taxonomy can be found here [link to the full guidance document]