Investments can be classified for their contribution to SDGs in a credible and consistent manner. The SDI classifications are produced under a clear governance and audit trail and backed by global asset owners.
Asset allocation
The SDI standard can inform investment allocation decisions. Where intended it can help shift capital towards the SDGs.
Manager selection & monitoring
Investors can use the SDI standard in selecting and monitoring external managers.
SDI Reporting
Investors can use the SDI classification to show allignment of investment portfolio’s with the SDGs
efficiency through standardization:
Company engagement
Investors can engage with companies more effectively, either individually or collectively, as they better understand companies’ contribution to the SDGs. Companies benefit from harmonized disclosure requests. Investors benefit from better and more standardized disclosures.
Market engagement
Once widely adopted, the SDI standard allows investors to engage effectively and in a consistent manner with regulators, policymakers and other stakeholders to create an enabling environment for investing in the SDGs.
Cost reduction
By adopting a broadly used methodology, the costs of maintaining and developing the SDI standard are shared in a not-for-profit framework. Investors can use the SDI standard in selecting and monitoring external managers.
"Investors can engage with companies more effectively if they better understand companies’ contribution to the SDGs."
