Commitment to Responsible Investment
Our Approach
Starlite Capital Inc (the "Firm") believes that the transformative power of technology and smart financial structures can create a more efficient economy, inclusive communities, and broader pathways to prosperity. As responsible stewards of capital, we recognize that maximizing value requires careful management of material business risks and opportunities. Accordingly, and consistent with our fiduciary and legal obligations, we integrate strategic Environmental, Social, and Governance (ESG) initiatives into our firm's operations and investments.
Our Responsible Investment Policy (the "Policy") underpins our investment risk management and opportunity focus, reflecting our commitment to creating long-term value for our stakeholders. Consistent with our goal of generating ordered returns for our investors, Starlite Capital is a signatory to voluntary, industry-led initiatives that help define and operationalize our ESG engagement efforts.
Scope and Limitations
The Policy is intended as a general framework guiding our approach to identifying and managing material ESG risks and capturing ESG opportunities across Starlite Capital's operations and investment strategies, including private equity, debt, and licensing transactions. In certain cases, distinctions are drawn between responsible investment approaches within various strategies.
Given our focus on technology-enabled companies, software platforms, and smart contract-based financial instruments, we have identified certain material ESG risks and opportunities that are important investment considerations. Our approach to incorporating these considerations is dependent on our influence over the management of each investment, which may vary depending on structure, contractual terms, and engagement opportunities.
Fund-specific application of the Policy is described in governing fund documents and regulatory disclosures. In the event of conflict between the Policy and fund documentation, governing documentation shall take precedence.
In cases where Starlite Capital determines limited ability to conduct ESG due diligence or influence ESG outcomes, only practicable elements of the Policy will be applied. Examples include minority investments, limited governance rights, joint management funds, or passive interests.
Roles and Responsibilities
- Executive & Operating Committees Promote and implement the Policy across the firm and investment strategies.
- Investment Committees Oversee ESG integration into investment decisions.
- Cross-Functional ESG Committee Meets quarterly to review ESG matters across the portfolio.
- ESG Team Conduct pre-investment ESG due diligence and support value creation initiatives.
- Investment Teams Incorporate ESG findings into analysis and decision-making.
- Legal & Compliance Team Ensure diligence, disclosure, and regulatory compliance.
- Portfolio Company Boards Receive ESG briefings to encourage prioritization of ESG topics.
- Investor Relations Engages with investors on ESG practices and reporting.
Responsible Business Practices
Our internal operations are governed by a Code of Ethics designed to mitigate conflicts, promote transparency, and measure and offset our GHG footprint. We maintain active DEI programs, community engagement initiatives, charitable giving, and volunteerism as core elements of our people strategy. We also leverage technology solutions to streamline ESG reporting and protect stakeholder information privacy across all business lines.
Incorporating ESG in the Investment Process
At the pre-investment stage, ESG assessments identify material risks and opportunities, with findings communicated directly to investment committees as part of the decision-making process. Post-investment, we monitor ESG performance across the portfolio, integrate ESG principles into operational planning, develop targeted programs, and support sustainability initiatives at the portfolio company level.
ESG Focus Areas
- Environmental Emissions management, climate risk mitigation, and eco-friendly product innovation.
- Social Diversity, equity & inclusion, philanthropy, employee well-being, and customer safety.
- Governance Reporting, transparency, cybersecurity, ethics, responsible supply chain, and technology bias assessment.