The following disclosures are made by Guatemala Water Infrastructure Company K/S (the “Fund”) pursuant to Regulation (EU) 2019/2088 of the European Parliament and of the Council of 27 November 2019 on sustainability-related disclosures in the financial services sector (the “Disclosure Regulation”).
A sustainability risk means an environmental, social or governance event or condition that, if it occurs, could cause an actual or potential material negative impact on the value of an investment. The Fund integrates sustainability risks in its investment decision-making process: sustainability risks are assessed as part of the due diligence performed prior to each investment and are monitored on an ongoing basis throughout the holding period. Given the nature of the Fund’s investments, sustainability considerations form an integral part of the investment analysis. The Fund does not currently maintain a separate sustainability risk policy; the approach described above is applied by the Fund’s management in all investment decisions.
The Fund does not consider adverse impacts of its investment decisions on sustainability factors.
The Fund does not consider such adverse impacts because, given its size and the nature and scale of its activities as a single-strategy fund focused on water infrastructure in Guatemala, it does not currently have access to the data that would be required to assess and report against the indicators listed in Table 1 of Annex I of Commission Delegated Regulation (EU) 2022/1288 in a proportionate and reliable manner. The Fund does not currently intend to consider such adverse impacts by reference to those indicators. This position is kept under review.
The AIFM does not currently maintain a separate remuneration policy as it has no employees. Sustainability risks are taken into account in the management of the fund and the remuneration arrangements of relevant decision-makers do not encourage excessive risk-taking with respect to sustainability risks.
The investments underlying this financial product do not take into account the EU criteria for environmentally sustainable economic activities.
Questions regarding these disclosures may be directed to Investor Relations at ir@guatemalawater.com.