Certain affiliates of Fortress Investment Group LLC (“Fortress”), including, but not limited to, FIG LLC (such affiliates, “Fortress Affiliates”), are financial market participants, as defined under the Regulation (EU) 2019/2088 of the European Parliament and of the Council of 27 November 2019 on sustainability-related disclosures in the financial services sector (the “SFDR”) by virtue of serving as the alternative investment fund manager (“AIFM”) of certain alternative investment funds offered or to be offered within the European Union (collectively, the “AIFs”).
Pursuant to the SFDR, financial market participants are required to publish on their website certain disclosures. The disclosures which apply to Fortress and Fortress Affiliates serving as AIFMs are set out below.
1. Integration of sustainability risks
This disclosure is made for the purposes of Article 3(1) of the SFDR, which requires all financial market participants to publish on their websites information about their policies on the integration of sustainability risks in their investment decision-making process.
“Sustainability risk” is defined in the SFDR as “an environmental, social or governance event or condition that, if it occurs, could cause an actual or a potential material negative impact on the value of the investment.”
Fortress recognizes that environmental, social and governance (“ESG”) issues may present regulatory, market, reputational and operational risks and opportunities and can affect the performance of its sponsored AIFs (to varying degrees across companies, sectors, regions, asset classes and through time). We further believe that an investment’s long-term value may be enhanced if we assess relevant material ESG issues and, where applicable and appropriate, help our investee companies identify appropriate areas for improving sustainability risks. Accordingly, Fortress seeks to regularly assess such material ESG issues as part of its investment process in a manner consistent with Fortress’s fiduciary obligations to its investors.
Fortress has adopted a Responsible Investing Policy (“Policy”) that is informed by principles that are principally consistent with those set forth in the U.N. Principles for Responsible Investment. This Policy sets forth the expectation that in evaluating an existing or prospective investment, Fortress investment professionals are expected to seek to, as applicable, (a) identify material ESG issues that may affect the investment, (b) analyze the relative importance of, and risk posed by, any such identified material ESG issue, (c) consider the costs and benefits of potential remedial measures, and (d) assess Fortress’s ability to influence change in the context of overall investment performance. Fortress has integrated the use of the SASB Materiality Map into this ESG due diligence process to help the Fortress investment team streamline this process and focus on financially material ESG issues. Based on the foregoing analysis, Fortress may seek to engage on material ESG issues in some circumstances or to forego investments in others.
However, Fortress is a global investment manager. Fortress and Fortress Affiliates invest on behalf of clients in a wide range of asset classes, including distressed debt, asset‐backed securities, orphaned assets, corporate debt, convertible securities, real estate and listed equities. Therefore our ability to assess and influence the ESG issues in practice will vary significantly by strategy and investment. Strategies where Fortress has access to full due diligence and where Fortress obtains majority equity ownership or control may allow us to better detect and address the ESG issues identified, as compared to strategies where Fortress may be limited to publicly available information or have a non‐controlling investment. In addition, because Fortress’ primary investment focus is the generation of superior risk‐ adjusted returns, Fortress and Fortress Affiliates may recommend, make or maintain investments even in the face of existing ESG issues as it deems appropriate for its investors.
More details on Fortress specific pre-investment and post-investment ESG guidelines are outlined in the Policy here.
2. No consideration of adverse impacts of investment decisions on sustainability factors
This disclosure is made for the purposes of Article 4(1)(b) of the SFDR.
“Sustainability factors” are defined by SFDR as environmental, social and employee matters, respect for human rights, anti-corruption and anti-bribery matters.
Fortress and Fortress Affiliates do not consider the adverse impacts of investment decisions on sustainability factors at the present time in respect of the AIFs which it sponsors or markets into the European Union.
Because Fortress is a global investment manager, it invests on behalf of clients in a wide range of asset classes, including distressed debt, asset-backed securities, orphaned assets, corporate debt, convertible securities, real estate and listed equities. Consideration of principal adverse impacts of its investment decisions would require Fortress and Fortress Affiliates to aggregate data across a number of different assets, funds and other financial products. There is currently no certainty that Fortress and Fortress Affiliates could collect or review the data in a manner that would enable it to consider principal adverse impacts of investment decisions in accordance with Article 4(1)(a) of SFDR. This is in part because underlying investments are not widely obliged to provide reporting by reference to the same data. This data gap is not expected to change in the foreseeable future. Even if Fortress and Fortress Affiliates were to be able to gather such data, there is no certainty that it could do so systematically, consistently and at a reasonable cost to investors across its AIFs.
If, in the future, Fortress continues to be required to consider the principal adverse impacts of its investment activities at a firm level, and determines that sufficient information and data is available to make an adequate assessment at a reasonable cost, Fortress may update its approach and policies accordingly, at which time, further information shall be made available via this website.
3. Transparency of remuneration policies in relation to the integration of sustainability risks
This disclosure is made for the purposes of Article 5(1) of the SFDR.
The remuneration schemes in place for investment professionals and executives contain a discretionary element, which takes into account a range of considerations. This may include sustainability risks, where appropriate.
Fortress’ remuneration policies are reviewed on a periodic basis.
This page was last updated on 22 July 2026.