Six Capitals Advisory seeks to empower African institutional investors by providing relevant ESG information, tools and resources to support them in effectively making a positive impact.
The six capitals are stocks of value that are affected or transformed by the activities and outputs of an organisation as it seeks to create value over time.
The six capitals framework of the International Integrated Reporting Council ('the IIRC') include the following six capitals:
The primary purpose of an integrated report is to explain to financial capital providers how an organisation creates value over time. The best way to do so is through a combination of quantitative and qualitative information, which is where the six capitals come in. The capitals are stocks of value that are affected or transformed by the activities and outputs of an organisation. An organisation’s business model draws on various capital inputs and shows how its activities transform them into outputs.
Similarly, investors as providers of financial capital, should seek to understand how the six capitals or stocks of value are affected or transformed by the activities and outputs of an investee company and/or investment portfolio.
Six Capitals Advisory partners with investors such as retirement funds, fund managers and investment consultants to create and sustain value for their clients, beneficiaries and broader society. We believe that through these efforts, investors can help to shape companies that will lead to a more prosperous and equitable society.
Six Capitals Advisory is a division of Alternative Prosperity Advisory and Products(Pty) Ltd. Alternative Prosperity is a Level 2 B-BBEE Contributor. Learn more about the Alternative Prosperity Group.