Brazilian investment bank BR Partners has made big strides when it comes to embedding ESG principles into its core operations, particularly in risk management, making it Euromoney’s best securities house for ESG in Brazil this year.
The bank has developed a comprehensive risk management structure that aligns with its strategic goals, ensuring responsible trading practices that maximize value for stakeholders. This structure is backed by robust processes and tools designed to address the complexity of the firm’s products and services.
A key component of BR Partners' ESG integration process has been the application of a socio-environmental questionnaire, which is mandatory for all counterparties. The document was updated recently to address specific socio-environmental concerns. The firm use this data, along with sustainability reports, to conduct detailed ESG risk analyses, which include generating an ESG rating, a matrix of socio-environmental risks and opportunities, and various ESG indicators. These insights are then incorporated into the firm’s credit rating analysis, directly influencing credit decisions.
To further enhance sustainable decision-making, BR Partners has established a database for tracking socio-environmental risks and opportunities.