The United Nations Principles for Responsible Investment (UN PRI), initiated under the leadership of former UN Secretary-General Kofi Annan, was launched in 2006 at the New York Stock Exchange. It is an international network of investors from around the globe—comprising asset owners, asset managers, and service providers—committed to fostering a more sustainable global financial system. The principles aim to provide a framework for integrating Environmental, Social, and Governance (ESG) factors into investment decisions and ownership practices.

The six key principles are:

• Integrate ESG considerations into investment analysis and decision-making processes.

• Become an active owner by integrating ESG issues into ownership policies and practices.

• Seeking reasonable disclosure of ESG-related issues by the investee entity.

• Promote the widespread adoption and effective implementation of responsible investment principles within the investment industry.

• Working together to enhance the effectiveness of implementing the Principles for Responsible Investment.

• Report on the implementation and progress of the Principles for Responsible Investment.

As Yuanhe Chencun officially signs the United Nations Principles for Responsible Investment (UN PRI), the firm proudly releases its 2022-2023 Annual Report on Progress in Responsible Investing.

The "Responsible Investment Progress Report" is Yuanhe Chencun’s first officially published report on responsible investment progress, aiming to share the firm’s perspectives on sustainable development and responsible investing with a wide range of stakeholders, while also showcasing Yuanhe Chencun’s relevant management approaches and practices.

As China's first market-oriented, professional fund-of-funds management team, Yuanhe Chencun has consistently adhered to long-termism and responsible investing since its establishment in 2006. We have always remained committed to and actively practiced the principles of responsible investment, while leveraging the leading role of our fund-of-funds strategy to promote ESG practices on a broader scale.

In 2021, Yuanhe Chencun began systematically organizing and standardizing its ESG investment framework, further shaping its sustainable investment philosophy, refining its existing investment strategies, and ultimately identifying and integrating high-quality projects with strong long-term investment potential—thereby fostering a more robust and sustainable ecosystem network. On one hand, the company remains committed to the core principles of ESG investing, continuously contributing to sustainable development through both responsible investment and responsible operations. On the other hand, it has integrated ESG governance into its corporate structure, establishing comprehensive ESG investment management methodologies and processes, and developing a detailed "ESG Investment Process Guide" to guide and standardize the investment team’s day-to-day practices.

ESG investment and development also complement each other in building Yuanhe Chencun's resource ecosystem. Yuanhe Chencun actively promotes sustainable development principles to its subsidiary fund managers and portfolio companies, fostering collaboration among GPs, industries, and enterprises within the ecosystem, coordinating resources, and jointly driving the green, sustainable transformation and high-quality growth of the real economy.

Looking ahead, as a leader in China's fund-of-funds investing, Yuanhe Chencun will continue to actively promote ESG investment principles and practices within the fund-of-funds ecosystem. We look forward to collaborating with more stakeholders to jointly embrace ESG investing and build a brighter future for all.

Simply search for the WeChat official account "Yuanhe Chencun" and send "Responsible Investment Progress Report" to access the full report.