ESG Policy

Market One Capital GP SARL and Market One Capital II GP SARL (“we” “us” or “MOC”) as a management entities of (among others) Venture Capital Seed funds Market One Capital SCSp and Market One Capital II SCSp empowering network effects platforms across Europe, investing mainly in software companies in particular in marketplaces, are striving to make responsible investment decisions including social, governance and environmental (“ESG”) aspects. The implementation of ESG principles by MOC is in compliance with EU-Regulation on sustainability-related disclosures in the financial services sector 2019/2088 (“SFDR”).

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We have noticed the increasing awareness of ESG aspects on the markets we operate on, among the Founders as well as other VC funds or fund of funds. Although the software companies we invest in does not generate major ESG risks like increased carbon emission or loss of biodiversity, the awareness of ESG aspects and implementation of its principles by the Founders takes place on the fields like environmental sustainability, efficient use of resources or company governance and HR policies.

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While performing the due diligence on the companies we invest in, we are analyzing also environmental aspects related to each from the investments, as well as social and governance matters like HR policy which includes non-discrimination and diversity principles, health and safety regulations (in the extent appropriate to potential portfolio company’s activity) and appropriate corporate governance. We are constantly monitoring and reviewing ESG principles to apply the appropriate individualized approach to our decision-making process.

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While MOC acknowledges potential negative externalities of the investments, it does not formally consider adverse impacts of investment decisions on sustainability in relation to SFDR article 4.
This is due to two main reasons: a) the portfolio companies we invest in belong mostly to the digital sector where adverse impacts on sustainability factors are not dominant, and b) as we invest in the companies at the early stage of development the availability of information required to perform full ESG investigation is not yet sufficient and the relevant processes within the companies are often not yet developed due to for example low number of employees or other factors specific to the particular potential portfolio company.

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Moreover, we have implemented ESG principles into our internal day to day activities. We aim to be in compliance with environmental, social and governance principles by adopting flexible work from home policy, reducing the carbon footprint by limiting travels and organizing more online meetings or by choosing more ESG friendly means of transportation. We are also following HR policy which includes no-discrimination and diversity aspects. We acknowledge that our team members are valuable asset. Good human resources management and a sound worker-management relationship based on respect for employees’ rights are key ingredients to the sustainability of business activities. By treating each other fairly in MOC and providing safe and healthy working conditions, MOC creates tangible benefits, such as enhanced efficiency and productivity of our operations.

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