ESG.

We do not invest in a vacuum, without regard to the future of our planet and humanity. MiddleGame Ventures strongly believes in promoting a financial services ecosystem that sustains and supports Environmental, Social, & Governance (ESG) standards. We do this by investing and supporting entrepreneurs that seek to promote these values in their business and for their customers. We view this as not just the right thing to do, but also optimizing outcomes for our portfolio companies and investors.

As we partner with entrepreneurs to re-architect the financial services landscape, we are mindful of the need to do so in a more sustainable, diverse and ethical manner.

We are proud UNPRI signatories and have incorporated ESG adherence internally across the MGV team and externally through our investment process.

The PRI (Principles for Responsible Investment) is a United Nations supported international network of investors committed to incorporating ESG factors into the investment decision making processes.

Portfolio Company Due Diligence

Companies within our pipeline complete the Invest Europe Portfolio Company Due Diligence questionnaire. Risks are considered and evaluated throughout the investment process and elevated at the Investment Committee level.

On-going Support & Monitoring

MGV offers a wide range of portfolio services to our start-ups, including specific guidance on ESG matters. For example, from a monitoring standpoint, we collect diversity data on an annual basis and report to LPs. More broadly, as active investors with board seats, we partner directly with management and other investors to promote and advance ESG adoption relevant to a portfolio company’s business.

Outlining our unique FinTech ESG Investment Thesis   

See our Blog post on “Embedded ESG” – outlining our unique investment thesis regarding ESG in the FinTech sector.

Sustainable Finance Disclosure Regulation – Art. 3

Middlegame Ventures partners with the next generation of financial services innovators to help solve inclusion and technological gaps. Middlegame Ventures formally integrates an assessment of sustainability risks in its due diligence decision-making approach and restricts itself from investing in certain sectors bearing compliance or sustainability risks.

Sustainable Finance Disclosure Regulation – Art. 4

In general, sustainability risks could adversely impact Middlegame Ventures distributed funds and related investments. Currently, alignment with Article 4 of the SFDR regulation is difficult due to the overall interpretation of the set principal adverse impact rules, maturity level of ESG available data and KPI and diverse ESG source of information. Therefore, Middlegame Ventures does not consider the adverse impacts of investment decisions on sustainability factors in the manner prescribed by Article 4 of the SFDR Regulation. Middlegame Ventures frequently collects relevant ESG related information (on a best effort basis) and shares it with its Limited Partners. The Company will pursue this approach until clarification of the regulation landscape in the Finance industry.

Sustainable Finance Disclosure Regulation – Art. 5

Middlegame Ventures risk management framework supports the investment decision-making process and ensures that excessive risk is not encouraged. Middlegame Ventures remuneration policy incentivises managers to promote sustainable growth within investments. Our management fee model is based on capital commitments and is capped (as laid out in the Limited Partnership Agreement).