This website is published by
Berlin Innovation Ventures GmbH
Berlin Innovation Ventures
Danziger Straße 75
Michael Halsband, Managing Director
Or Shemtov, Managing Director
Elad Verbin, Managing Director
Local Court of Charlottenburg HRB 190056 B
I. Art. 3 – Sustainability Risks
With regard to Berlin Innovation Ventures 1 GmbH & Co. KG (the “Fund”), Berlin Innovation Ventures GmbH (“BIV”, also referred to as “we”, “us” or “our”) focuses on pre-seed software startups, mostly in computer science innovation. Most investments are developer tools or B2B software. Due to this focus, sustainability risks (i.e. environmental, social or governance events or conditions, the occurrence of which could have an actual or potential material adverse effect on the value of the investment) are rarely (if ever) present in the investment candidates that intersect our focus. Thus, BIV uses an ad-hoc approach to sustainability risks: they are evaluated on an as-needed and non-binding basis. At all times, BIV’s approach to sustainability risks will respect the principle of proportionality taking due account of the strategic relevance of an investment as well as its transactional context.
II. Art. 4 – Principal Adverse Impacts Statement
BIV does not consider adverse impacts of investment decisions on sustainability factors (i.e. environmental, social and employee concerns, respect for human rights and the fight against corruption and bribery). No sustainability indicators are currently used. The administrative burden associated with considering adverse impacts on sustainability factors (particularly the use of sustainability indicators) in a scope and manners as would be required pursuant to Art. 4 SFDR is disproportionate in light of the very limited relevance such impacts could have in the context of the investment strategy BIV pursues for the Fund (i.e. pre-seed software startups, mostly in computer science innovation).
III. Art. 5 – Renumeration Policy
As a registered alternative investment fund manager within the meaning of section 2 (4) of the KAGB, the Fund Manager does not have, and does not need to have, a remuneration guideline or policy in accordance with the requirements of the KAGB. Sustainability risks are not considered with respect to the determination of the remuneration.
IV. Art. 10, 8 SFDR – Product Disclosures
BIVconsiders certain environmental and social characteristics as part of its investment decisions but does not seek to make sustainable investments as defined in the SFDR. The consideration of environmental and social characteristics is carried out both before and after the investments. For this purpose, information is regularly obtained from the portfolio companies by means of qualitative queries.BIVincorporates investment exclusions (negative screening) during its decision-making process.
BIV berücksichtigt bestimmte ökologische und soziale Merkmale im Rahmen seiner Investitionsentscheidungen, strebt aber keine nachhaltigen Investitionen im Sinne der SFDR an. Die Berücksichtigung von Umwelt- und Sozialmerkmalen erfolgt sowohl vor als auch nach den Investitionen. Zu diesem Zweck werden regelmäßig Informationen von den Portfoliounternehmen durch qualitative Abfragen eingeholt. BIV bezieht Investitionsausschlüsse (negatives Screening) in den Entscheidungsprozess ein.
No sustainable investment objective
This financial product promotes environmental or social characteristics, but does not have as its objective a sustainable investment.
Environmental or social characteristics of the financial product
This financial product promotes environmental and / or social characteristics by implementing certain investment exclusions. The Fund does not invest in portfolio companies whose business includes:
- the production of, and trade in, tobacco and distilled alcoholic beverages and related products;
- the financing of the production and/or the production of, and trade in, weapons and ammunition of any kind;
- casinos and equivalent enterprises;
- the research, development or technical applications relating to electronic data programs or solutions, which:
- aim specifically at: (A) supporting any activity referred to above; (B) internet gambling and online casinos; or (C) pornography; or
- are intended to enable to illegally (A) enter into electronic data networks; or (B)download electronic data.
The Fund invests with a technology driven focus. The Fund invests in pre-seed portfolio companies from all sectors (“vertically agnostic”) which are deep tech companies utilizing innovation in algorithms and other sciences. As such, investments are expected to be spread across a wide range of economic activities. The Fund may also conduct investments in Digital Tokens. The Fund’s ESG approach (i.e., its investment exclusions) comprises part of its investment strategy, which is consistently applied for every portfolio company investment.
Proportion of investments
The Fund will invest fully in line with its investment strategy and investment restrictions. The Fund will not invest a portion of its capital in any other asset class.
Monitoring of environmental or social characteristics
BIV has an increased awareness of the impact of sustainability risks on risk management and thus on the value potential of investments. BIV consults with the companies on an ad-hoc basis and will carry out further checks if there are indications of potential issues with the Fund’s exclusion criteria. External monitoring mechanisms are not provided.
Currently we apply qualitative assessments with regard to environmental or social characteristics. We conduct our initial assessment as an informal process in the course of our due diligence[AvT1].
Data sources and processing
Information is obtained from the respective portfolio companies. Moreover, BIV may supplement such data with publicly available information at its sole secretion. An external review or verification of the information obtained will only be carried out if misrepresentations are suspected.
Limitations to methodologies and data
The information collected via the due diligence for the Fund is externally verified only if and to the extent misrepresentations are suspected. Thus, it cannot be ruled out completely that false information may remain undetected in certain cases. As the Fund’s investment is made for several years, BIV considers it a priority to establish and maintain a trustful working relationship with the Fund’s portfolio companies in order to ensure compliance with the restrictions described in this section.
An initial assessment of how an investment relates to these requirements is carried out as part of the due diligence process. As a rule, purely qualitative statements of an ecological or social nature or relating to corporate governance are requested from the portfolio companies and then taken into account in the investment decision-making process.
BIV decides at its sole discretion whether or not to make an investment based on principal adverse impacts on sustainability factors, and may include risk mitigation measures where appropriate.