Providence believes our ability to deliver competitive performance for our investors in an uncertain world includes a proactive, disciplined approach to managing environmental, social and governance (ESG) risks and opportunities.
We have built a framework that seeks to incorporate consideration of relevant ESG factors throughout the investment lifecycle. These processes help allow us to act as stewards of investor capital and responsible corporate citizens.
Stewardship and Transparency
Since 2009, when Providence first adopted ESG guidelines, we have sought to create a process that incorporates a range of environmental, health, safety, labor, governance and social issues into our decision-making processes and ownership activities. These guidelines grew out of a dialogue between members of the American Investment Council and a group of major institutional investors, under the auspices of the United Nations-supported Principles for Responsible Investment. Our ESG policy, adopted in 2022, reflects and supersedes our prior ESG guidelines.
Our ESG efforts are led by a committee comprised of members from across the firm and each of our offices. We believe that broad ownership and involvement in our initiatives is fundamental to having ESG integration as part of our investment process.
Diversity and Inclusion
At Providence, we recognize that diversity takes many forms, including race, ethnicity, gender, sexual orientation, religion, age, and socioeconomic status, among others. We celebrate these differences and are committed to a culture that values diversity of thought, experience and opinion. We believe that fostering a diverse team strengthens our firm and the quality of our decision making.
Our Diversity and Inclusion (D&I) committee leads Providence’s efforts to build and preserve a diverse culture within our firm and assist with the diversity efforts of our portfolio companies. We are proud partners of the organizations and sponsors of the initiatives listed below to promote and support a diverse workforce and increase the opportunities available to underrepresented members of our communities:
Employee and Community Engagement
At Providence, we believe that fostering a healthy culture requires a commitment to the ongoing development of our team and giving back to the communities where we live and work. Providence has several employee-led affinity groups that bring together and empower our team members. One such group, the Providence Women’s Roundtable, offers educational engagement opportunities to encourage our female colleagues and others in the financial services industry to confidently advance their careers.
We are proud of our philanthropic efforts and the organizations we partner with and support who are agents of positive change in our communities. Providence has supported Year Up since 2005 and played a key role in the foundation of the official Rhode Island Chapter. Year Up is an organization whose mission is to close the opportunity divide for underrepresented and underprivileged young adults by providing them access to career opportunities in their communities and classroom learning to further develop soft and hard skills to be successful on the job. Throughout our partnership with Year Up, we have hosted over 50 Year Up interns in our Providence and New York offices.
Organizations supported by Providence include:
The information provided herein is not backward looking unless otherwise stated, and is subject to change. Providence makes no claim that the investment vehicles it manages (“Funds”) or other products are ESG-focused, promote environmental or social characteristics, have ESG-based investment objectives, or that its business, Funds, or portfolio companies are compliant with any third party ESG principles. Providence preferences investment returns and performance above any ESG or similar factors, however defined. While Providence may consider certain ESG principles as it has discussed herein, it makes no claim that it changes its investment decisions based on any ESG factor(s). Providence makes no claim that it is responsible, in whole or in part, for the ESG activities of its portfolio companies. Providence's definition of “ESG” is subject to change, and Providence may revise its ESG-related activities, including ceasing any practices described herein, in whole or in part, at any time. It should not be assumed that all prior investments exhibit characteristics with any ESG principles discussed herein or that all future investments will exhibit such characteristics. While Providence collects certain ESG-related information from its portfolio companies, there is no guarantee that it will act on such information or that such information will have any influence on its investment decisions or management of any portfolio company. Providence Public does not invest in accordance with the ESG processes discussed.