ESG Approach

We evaluate and consider Environmental, Social, and Governance (“ESG”) issues before making an investment.

Our evaluation includes but is not limited to:

• Evaluating the impact the company we propose to invest in has on the environment and society as a whole. We examine the specific products or services a company provides, but also their business practices and how it interacts with society as a whole
• Analyzing ESG factors from a sector-wide perspective as well as at company level
• Encouraging companies, when applicable, to adopt a responsible ESG approach and promote transparency
• Ongoing diligence throughout the course of ownership

PennantPark believes sound ESG management can help manage business risks and enhance the value of our portfolio investments.