Adam Black, the head of ESG and sustainability for Coller Capital, reflects on how environmental, social and governance issues were received in the industry when the concept was first introduced, and the importance of putting ESG issues into commercial terms.

ESG issues are coming to the fore in private equity, but the industry still struggles both with defining ESG and applying consistency in implementation and metrics. Adam explains why a focus on measurable outcomes, rather than a framework, is critical to ESG success and why a GP’s approach to ESG can be symptomatic of how well the firm is run.