Pretium’s Housing Insights, September 2022

INSIGHTS

Pretium’s Housing Insights, September 2022

September 21, 2022

Summary

In forecasting home prices, the last housing cycle is a poor guide for this one

The post-pandemic demand and supply backdrop has strong and stable underpinnings

As the US housing market transitions to its post-pandemic phase, it faces major headwinds including a historically rapid increase in mortgage rates. With negative headlines growing and memories of the Great Financial Crisis still fresh in investors’ minds, fears of a major home price correction have grown. In comparing this cycle to the last, Pretium believes that housing’s risk profile is dramatically different in 2022 than it was in 2006. The risk to home prices was underappreciated by many investors in 2006 because home prices hadn’t seen a significant national decline since the Great Depression; conversely, the current perceived risk to home prices may be overstated because home prices experienced a major correction just 10 years ago. Fundamentals matter, and the demand and supply backdrop for the post-pandemic period is solidly grounded especially relative to the mid-2000s housing boom. Looking ahead, the supply-demand imbalance that propelled housing during the pandemic is stil likely to remain an important dynamic in the post-pandemic housing market. While home prices may not emerge unscathed from adverse economic scenarios, Pretium expects downside risk to be limited compared to the last cycle. Overall, housing’s unresolved supply-demand imbalance underpins a favorable risk-reward profile for residential housing investment, particularly for single-family rental homes.

The strong demand backdrop for housing is most clearly illustrated by the increase in rents alongside home prices the past few years, as shown in Exhibit 1. Both single-family and multifamily rents grew at a double-digit pace and are up more than 20% in the two years ending June 2022.1 This compares to the roughly 7% increase that rents experienced during 2004-05 period. Easing mortgage lending standards amplified housing demand mostly in the purchase market during the mid-2000s whereas mortgage lending standards tightened during the pandemic. Rental markets don’t experience speculative excess as the home purchase market does, so the meaningful increase in rents during the pandemic argues that housing demand is well-grounded fundamentally. Pretium believes that the pandemic structurally increased housing demand as reflected in trends such as work-from-home, increased migration and greater consumer prioritization of space & wellbeing. Exhibit 2 illustrates the strong relationship between home prices and months supply of resale inventories. The historically low levels of resale inventories during the pandemic (more than two-thirds below pre-pandemic levels) anchored home price growth. For sustained home price pressure to emerge in the post-pandemic period, inventory levels would have to increase substantially from current levels as they did in 2006-07. This seems unlikely given low levels of mortgage distress, a reluctance by existing homeowners to give up their low fixed rate mortgages, aging-in-place and long-term underbuilding since the last cycle. These factors appear to have already begun to limit inventory growth even as the housing market transitions – in recent weeks, the volume of new resale listings has fallen 15-20% below pandemic levels and overall resale inventory levels have begun to flatten. 2

Exhibit 1

EXHIBIT 2

New and Existing Home Inventory Month's Supply

Source: CoreLogic Single-Family Rent, S&P Case-Shiller and Home Price Indices, all as of September 2022; RealPage Axiometrics Quarterly Market Performance Trend, as of September 2022; National Association of Realtors Existing-Home Sales retrieved via Bloomberg, as of September 2022.

This is not an offer, advertisement, or solicitation for interests in any Pretium managed vehicle and should not be construed or relied upon as investment advice or as predictive of future market or investment performance. Past performance is not indicative of future results.


1. CoreLogic Single-Family Rent Index, RealPage Axiometrics Quarterly Market Performance Trend, both as of September 2022.
2. Redfin Weekly Housing Market Data, as of September 4, 2022.

Related Content

2021 Single-Family Rental Factsheet

2021 U.S. Housing Outlook

Pretium Expands Global Business Development Capabilities and Commitment to Asia and Australia with New Managing Directors

PRESS RELEASE

Pretium Expands Global Business Development Capabilities and Commitment to Asia and Australia with New Managing Directors

August 29, 2022

Jayme Han and Craig Matthew Join as Managing Directors; Bringing Decades of Collective Leadership, Investment, and Investor Relations Experience Across Europe, Asia, and Australia

Strengthens On-the-Ground Connection with Clients and Partners in Key Geographies

NEW YORK – August 29, 2022 – Pretium Partners, a specialized investment firm with approximately $50 billion in assets under management, today announced an expansion of its business development capabilities and commitment to Asia and Australia with two senior hires. Jayme Han, based in Seoul, Korea, and Craig Matthew, based in Sydney, Australia, join Pretium as Managing Directors for Asia and the Australia & New Zealand region, respectively. With these hires, Pretium is establishing its first offices in Asia and Australia to further the goal of becoming a partner of choice for investors worldwide.

This expansion demonstrates the firm’s ongoing commitment to ensuring clients and partners can benefit from an established presence and local perspective that allows Pretium to provide more personalized, on-the-ground support in dynamic markets. Ms. Han and Mr. Matthew bring unique market perspectives and decades of leadership and client relationship experience across London, New York, Seoul, Singapore, and Sydney, and will work closely with existing clients and consultants, new clients, and institutional and wealth management entities in their respective regions.

“As Pretium continues to expand our client base globally and deploy growing capital across our real estate and credit strategies, Asia and Australia represent important strategic markets and opportunities for growth,” said Don Mullen, Founder and CEO of Pretium. “Jayme and Craig bring deep expertise and local connection within the Asian and Australian markets to support our investors where they are. Following our recent expansion into the Middle East, we are pleased to continue to grow our team with such talented and respected individuals to work with clients internationally.”

Ms. Han has held several prominent leadership roles over the last 20 years within the global private capital industry in London, Seoul, and Singapore, in which she has been responsible for, among other things, fund distribution and execution of investments across the region. She most recently served as an Executive Director, Corporate Finance for Jones Lang Lasalle. Prior, she was the Head of Alternatives at Tongyang Life Insurance, Korea’s fifth largest life insurer, and, earlier in her career, Ms. Han was hired as one of the founding members of the alternatives business – and its first dedicated real assets specialist – for the National Pension Service. Ms. Han holds a Bachelor of Science in Design from the University of California at Davis.

“Pretium has an incredible team, and I am excited to join at a time of growth as we seek to expand our footprint internationally and throughout Asia,” said Ms. Han. “Having supported GPs and led teams across all aspects of capital raising, deployment, and asset management, I look forward to working with Pretium’s clients throughout Asia and around the world.”

Mr. Matthew brings nearly three decades of business development and investor relations experience, supporting and expanding client offerings for limited partners including high-net worth individuals and sophisticated institutional investors such as endowments, sovereign wealth funds, superannuation funds, and family offices. He joins Pretium from Asia Principal Capital and Morpheus Ventures, where he served as Director in the private market investor relations group. Before joining Asia Principal Capital, he was a Director of Institutional Relationships at Capital Group Companies, where he played an active role in establishing its first office in Sydney, Australia. Prior to that, he served in a variety of business development roles of increasing responsibility in New York and Sydney at global asset manager Alliance Bernstein. Mr. Matthew is an accredited superannuation trustee director and has spent the past decade as an active organizer of the Association of Superannuation Funds of Australia’s Annual Conference. He holds a Bachelor of Science in Business Administration from Bucknell University.

“Joining an innovative, forward-thinking global investment platform like Pretium is an incredible opportunity,” said Mr. Matthew. “With an existing network of leading investors and partners in Australia and New Zealand and an unmatched investment track record, I am confident that we are positioned to continue growing the firm’s client base and presence throughout the region.”

About Pretium

Pretium is a specialized investment firm focused on U.S. residential real estate, residential credit, and corporate credit. Pretium was founded in 2012 to capitalize on secular investment and lending opportunities arising as a result of structural changes, disruptions, and inefficiencies within the economy. Pretium has built an integrated analytical and operational ecosystem within the U.S. housing, residential credit, and corporate credit markets, and believes that its insight and experience within these markets create a strategic advantage over other investment managers. Pretium’s platform has approximately $50 billion of assets and employs more than 4,000 people across 30 offices, including London and Dubai. Please visit www.pretium.com for additional information.

Contacts:

Jon Keehner / Lyle Weston  / Erik Carlson
Joele Frank, Wilkinson Brimmer Katcher
212-355-4449
Media-SFR@pretium.com

Pretium’s Housing Insights, August 2022

INSIGHTS

Pretium’s Housing Insights, August 2022

August 15, 2022

Summary

Housing’s slowdown is likely to be felt more acutely in the new home market vs. the resale market

Pandemic supply chain issues increase inventory risk in the new home market

The increase in mortgage rates by more than 200 bps during 2022 has begun to achieve the Federal Reserve’s desired goal of slowing home purchase demand. In recent weeks, pending sales of existing homes have fallen back to 2019 levels and sales volumes in the new home market as of June have fallen to pre-pandemic levels.1 While home price momentum has also slowed across both markets, it has been felt more acutely in the new home market than in the resale market. While data from mortgage rate locks indicates a still-above average pace of resale home price gains, builder surveys show there are already more builders cutting prices than raising them.2 While it is normal for the new home market to adjust more quickly than the resale market during periods of changing demand, Pretium believes the paths of the new home and resale markets could diverge to a greater extent this cycle due to differences in inventory risk.

At the start of the pandemic, factors such as cumulative underbuilding, aging-in-place3, and lengthening homeowner tenures contributed to historically low existing home listings, as shown in Exhibit 1. The pandemic housing demand surge further depleted existing home supply until it began to recover this year due to slowing demand. New home inventory sat at normal levels by historical standards in the beginning of 2020 before declining in the early months of the pandemic as demand grew. However, supply chain constraints limited builders’ ability to respond to this increasing demand. As construction cycles lengthened and labor/materials became more difficult to source, builder inventories of incomplete homes rose rapidly. The unusual divergence this cycle between inventory levels of existing homes and new home markets is best illustrated by looking at months’ supply, as shown in Exhibit 2, which highlights how the inventory paths of the resale and new home markets began to separate in 2015, and how the pandemic widened the gap meaningfully.

This divergence suggests that the risk to resale home prices should remain less than the risk to new home pricing. Pretium does not expect overall resale home price declines, even in a moderate recession scenario. In the new home market, completions are likely to increase over the next 6-12 months with increasing pressure on builders to sell into a slowing market. As a result, Pretium expects compelling opportunities to acquire in the build-to-rent sector.

Exhibit 1

New and Existing Home Inventories

EXHIBIT 2

New and Existing Home Inventory Month's Supply Source: National Association of Realtors, Existing Home Sales as of July 20th, 2022; US Census, New Residential Sales as of June 2022.

These materials do not constitute, or form part of, any offer to sell or issue interests in an investment vehicle or any other entity managed by Pretium Partners, LLC or its affiliates (collectively, “Pretium”). Any such offer or solicitation will be made solely by means of a definitive offering document, which will describe the actual terms of any securities offered and will contain material information regarding the securities. Certain information contained in this presentation has been obtained from published and non-published sources prepared by third parties, which, in certain cases, have not been updated through the date hereof. While such information is believed to be reliable, Pretium has not independently verified such information nor does it assume any responsibility for the accuracy or completeness of such information. Except as otherwise indicated herein, the information, opinions and estimates provided in this presentation are based on matters and information as they exist as of the date these materials have been prepared and not as of any future date, and will not be updated or otherwise revised to reflect information that is subsequently discovered or available, or for changes in circumstances occurring after the date hereof.


1. Redfin, Weekly Housing Data as of July 24th, 2022, US Census, New Residential Sales as of June 2022.
2. AEI Housing Center, Housing Finance Watch as of August 9th, 2022, John Burns Consulting, Home Builder Survey as of August 4th, 2022.
3. Pretium’s Housing Insights as of April 2022

Related Content

2021 Single-Family Rental Factsheet

2021 U.S. Housing Outlook

Lauren Cipicchio Joins Pretium to Lead Central Quantitative Strategies

PRESS RELEASE

Lauren Cipicchio Joins Pretium to Lead Central Quantitative Strategies

August 8, 2022

Hiring Enhances Pretium’s Investment and Asset Management Capabilities

Through Transformation of Investment Data and Analytics Models

NEW YORK – August [8], 2022 – Pretium, a specialized investment firm with approximately $50 billion in assets under management, today announced the addition of Lauren Cipicchio as Senior Managing Director and Head of Central Quantitative Strategies, effective immediately. In this role, Ms. Cipicchio will lead the teams focused on designing, developing, and enhancing the analytics and models used to make investment and operating decisions to advance Pretium’s investment strategies. She will be a member of the firm’s Executive Committee.

Ms. Cipicchio brings more than a decade of experience in portfolio construction and investment analytics, enabling and enhancing alpha-generating ideas and strategic asset investments. She joins Pretium from CPP Investments, where she most recently served on The Global Leadership Team as Managing Director, Head of Data and Advanced Analytics. Before that, Ms. Cipicchio spent 10 years at Bridgewater Associates, where she was most recently Head of Investment Engineering.

“Lauren has a proven track record of driving efficiency for investment funds through massive analytical ecosystem shifts, and I am confident that she will make significant contributions to Pretium and our asset investment strategy,” said Don Mullen, Founder and CEO of Pretium. “In this new era of technological innovation, the addition of unique and advanced modeling platforms will serve as a competitive differentiator for Pretium and drive value across our ecosystem.”

“Joining the Pretium team and adding to its unparalleled level of expertise at a time of tremendous growth is an incredible opportunity,” said Ms. Cipicchio. “I look forward to contributing to the efforts already underway to expand and enhance the firm’s investment offerings.”

Ms. Cipicchio co-founded Bridgewater’s Women’s Network and served as a founding member of the firm’s Diversity Council. Ms. Cipicchio holds a Master’s from the Gallatin School of Individualized Study at New York University and a Bachelor of Science in Mathematics with Computer Science from the Massachusetts Institute of Technology.

About Pretium

Pretium is a specialized investment firm focused on U.S. residential real estate, residential credit, and corporate credit. Pretium was founded in 2012 to capitalize on secular investment and lending opportunities arising as a result of structural changes, disruptions, and inefficiencies within the economy. Pretium has built an integrated analytical and operational ecosystem within the U.S. housing, residential credit, and corporate credit markets, and believes that its insight and experience within these markets create a strategic advantage over other investment managers. Pretium’s platform has approximately $50 billion of assets and employs more than 4,000 people across 30 offices, including London and Dubai. Please visit www.pretium.com for additional information.

Contacts:

Jon Keehner / Kate Thompson / Lyle Weston
Joele Frank, Wilkinson Brimmer Katcher
212-355-4449
Media-SFR@pretium.com

Onyx+East and Pretium Start Construction of Second Build-to-Rent Community

PRESS RELEASE

Onyx+East and Pretium Start Construction of Second Build-to-Rent Community

August 3, 2022

Marea Will be a 144-Home Community in Noblesville, Indiana

Extension of Joint Venture's $600 Million Commitment to Broadening Access to Single-Family Lifestyle

INDIANAPOLIS and NEW YORK, Aug. 3, 2022 /PRNewswire/ — Onyx+East, an award-winning homebuilder headquartered in Indianapolis and known for its modern and functional home designs, and Pretium, a specialized investment firm with approximately $50 billion in assets, today announced the start of construction of Marea, the second build-to-rent (“BTR”) community under development through their previously announced joint venture. As part of the joint venture, Onyx+East and Pretium are committed to investing approximately $600 million to develop, build, and operate new single-family, BTR communities across key Midwestern markets and along Florida’s West Coast.

Marea will be a 144-home community in Noblesville, Indiana, a growing and prosperous city located northeast of Indianapolis. The community will include a mix of 3- and 4-bedroom homes with attached 2-car garages to provide residents the space and convenience of single-family living. Residents will be within a 10-minute drive of a variety of local service and retail businesses, including more than 20 restaurants and eateries and Hamilton Town Center by Simon Malls, located 1.6 miles southeast of the project.

“We are thrilled to build on our partnership with Pretium and Marea will bring ease, convenience, and comfort to hundreds of residents,” said Kelli Lawrence, CEO of Onyx+East. “Noblesville is an exciting, growing community with ample access to high-quality schools and amenities and Marea homes will benefit from our signature open-concept floorplans. I am confident our experience in creating modern, livable homes combined with Pretium’s resources and operational expertise will ensure residents have the opportunity to experience the benefits of the single-family lifestyle.”

“Demand for high-quality single-family housing continues to grow across the country, and Pretium’s partnership with Onyx+East is at the center of increasing supply of modern, quality homes for our residents,” said Matt Johnston, Managing Director and Head of Build-to-Rent at Pretium. “Alongside Onyx+East, we are committed to building, renting and operating communities in great locations and with outstanding amenities just like Marea. As we continue to invest in communities throughout the United States, we continue to bring private capital to bear to increase housing choice while playing our part to solve our nation’s housing shortage.”

First homes for Marea are expected to be available to rent in Q3 2023.

About Onyx+East

Onyx+East is a full-service homebuilder executing development, construction, marketing, design, and sales with four offices in the Midwest and Florida. Founded in 2015 to deliver homes in the most desirable locations with an exceptional customer experience, Onyx+East creates places designed for modern living that are connected within growing cities and suburbs. Through creativity, innovation, and sustainability, Onyx+East creates communities that are changing the way people live, work and “do life.” For more information, visit onyxandeast.com/build-to-rent/.

About Pretium

Pretium is a specialized investment firm focused on U.S. residential real estate, residential credit, and corporate credit. Pretium was founded in 2012 to capitalize on secular investment and lending opportunities arising as a result of structural changes, disruptions, and inefficiencies within the economy. Pretium has built an integrated analytical and operational ecosystem within the U.S. housing, residential credit, and corporate credit markets, and believes that its insight and experience within these markets create a strategic advantage over other investment managers. Pretium’s platform has approximately $50 billion of assets and employs approximately 4,000 people across 30 offices, including London and Dubai. Please visit www.pretium.com for additional information.

Contacts

Onyx+East

Eva Gribler
317-409-6572
Media@onyxandeast.com

Pretium

Jon Keehner / Kate Thompson / Lyle Weston
Joele Frank, Wilkinson Brimmer Katcher
212-355-4449
Media-SFR@pretium.com

Pretium’s Jocelyn Moore Named Among Savoy Magazine’s 2022 Most Influential Black Executives in Corporate America

PRESS RELEASE

Pretium’s Jocelyn Moore Named Among Savoy Magazine’s 2022 Most Influential Black Executives in Corporate America

July 19, 2022

Moore is Recognized for Industry-Leading Corporate Affairs and Strategy Expertise

NEW YORK – July 19, 2022 – Jocelyn Moore, Pretium’s Senior Managing Director, Corporate Affairs, has been named as one of Savoy magazine’s 2022 Most Influential Black Executives in Corporate America. This defining listing honors top African American executives, influencers, and achievers making a positive impact in corporate America and demonstrating leadership and influence within the community.

Moore joined Pretium in February 2022 to lead corporate affairs for the $45 billion specialized investment firm that is an innovator in single-family rentals, residential credit, and corporate and structured credit. She is a member of the firm’s Executive Committee.

“Savoy’s recognition of Jocelyn is well-deserved. In a few short months, Jocelyn’s leadership is already driving significant positive impact across our ecosystem, to the benefit of our stakeholders, including the communities we serve,” said Don Mullen, Founder and CEO of Pretium.“ I look forward to continuing to work closely with Jocelyn, whose steady hand and unwavering commitment are helping to advance Pretium’s vision, mission, and strategy as we embark on our next phase of growth.”

“It is a source of great pride and honor to be named one of Savoy magazine’s 2022 Most Influential Black Executives in Corporate America alongside so many trailblazing and accomplished leaders who I look up to,” said Ms. Moore. “The opportunities afforded us today are because of the excellence and advocacy of the intrepid Black leaders in corporate America who have gone before us, many doing so without acknowledgement or accolade. I pay homage to them with this distinguished recognition.”

With more than 20 years of experience working across multiple disciplines, Moore is a trusted advisor to CEOs, executive teams, and boards of directors on strategic communications, crisis and risk management, corporate social responsibility, operations, regulatory affairs, organizational change, as well as diversity, equity, inclusion, and belonging. She currently serves as an independent director on the boards of two publicly traded technology companies, DraftKings (NASDAQ: DKNG) and OppFi (NYSE: OPFI), and one private technology company, Omaze, Inc. Moore is also a board member of Pallas Advisors, a strategic advisory firm specializing in national security, defense, and innovation.

About Pretium

Pretium is a specialized investment firm focused on U.S. residential real estate, residential credit, and corporate credit. Pretium was founded in 2012 to capitalize on secular investment and lending opportunities arising as a result of structural changes, disruptions, and inefficiencies within the economy. Pretium has built an integrated analytical and operational ecosystem within the U.S. housing, residential credit, and corporate credit markets, and believes that its insight and experience within these markets create a strategic advantage over other investment managers. Pretium’s platform has over $45 billion of assets and employs approximately 4,000 people across 30 offices, including London and Dubai. Please visit www.pretium.com for additional information.

About Savoy

Savoy magazine is a national publication covering the power, substance and style of African American lifestyle. From entertainment to sports, business to politics, design to style, Savoy is a cultural catalyst for the African American community that showcases and drives positive dialogue on and about Black culture. Savoy is published quarterly and distributed via subscriptions and newsstands worldwide.

Pretium Media Contact:

APCO Worldwide

Pretium Adds Ramki Ramaswamy as Chief Digital and Technology Officer

PRESS RELEASE

Pretium Adds Ramki Ramaswamy as Chief Digital and Technology Officer

July 18, 2022

Senior Executive Will Drive Innovation and Growth Through Firm's Unified Technology Platform

NEW YORK, July 18, 2022 /PRNewswire/ — Pretium, a specialized investment firm with over $45 billion in assets under management, today announced the appointment of Ramki Ramaswamy as Chief Digital and Technology Officer, effective immediately. In this role, Mr. Ramaswamy will leverage technology across Pretium’s operating and portfolio companies to maintain the firm’s industry-leading competitive advantage and to drive additional business value as Pretium scales. He will be a member of the firm’s Executive Committee.

Mr. Ramaswamy brings more than two decades of experience overseeing the development and implementation of information technology and broader digital strategies across complex, high-growth businesses. He joins Pretium from Boeing, where he most recently served as the Chief Information Officer of Boeing Commercial Airplanes. In this role, he was responsible for overseeing all digital strategy, developing innovative technological solutions and modernizing systems. Prior to Boeing, Mr. Ramaswamy was the Vice President of IT, Technology and Integrations for JetBlue, where he led the technological development across cloud, big data, artificial intelligence and agile solutions to build revenue and increase customer satisfaction.

“Pretium is entering a new era of technological innovation. As we continue to deploy a growing base of capital across Pretium’s complementary investment strategies, technology and the scalability of our platforms will play a critical role in our ongoing success, including our ability to consistently deliver value to our stakeholders,” said Don Mullen, Founder and CEO of Pretium. “Ramki has a proven track record of leading high-performing teams and delivering innovative digital solutions for multifaceted, high-growth businesses. I am thrilled to welcome him to the team to build Pretium’s technology roadmap for the future.”

“I am honored to join Pretium and work alongside a team so clearly focused on their mission,” said Mr. Ramaswamy. “Throughout my career, I have seen the importance of unified technologies, systems and operations as companies grow. I am looking forward to contributing across the Pretium ecosystem.”

Earlier in his career, Mr. Ramaswamy held various application development and software delivery roles at JD Power, Citigroup’s Global Wealth Management business and Standard & Poor’s Equity Research division. Mr. Ramaswamy holds a Bachelor of Technology from the Indian Institute of Technology.

About Pretium

Pretium is a specialized investment firm focused on U.S. residential real estate, residential credit, and corporate credit. Pretium was founded in 2012 to capitalize on secular investment and lending opportunities arising as a result of structural changes, disruptions, and inefficiencies within the economy. Pretium has built an integrated analytical and operational ecosystem within the U.S. housing, residential credit, and corporate credit markets, and believes that its insight and experience within these markets create a strategic advantage over other investment managers. Pretium’s platform has over $45 billion of assets and employs approximately 4,000 people across 30 offices, including London and Dubai. Please visit www.pretium.com for additional information.

Contacts:

Jon Keehner / Kate Thompson / Lyle Weston
Joele Frank, Wilkinson Brimmer Katcher
212-355-4449
Media-SFR@pretium.com

State of ESG

INSIGHTS

State of ESG

June 2022

Environmental, Social, and Governance (ESG) principles and practices have positive impact on our investments and stakeholders, from our investors to our employees, residents and the communities in which we operate. As we enter our second decade, we are focused on institutionalizing our founding ESG principles throughout our platform.

ESG Policy

INSIGHTS

ESG Policy

June 13, 2022

The Firm believes systematic integration of ESG considerations into investment and ownership is the next step and that this will help the Firm’s decision-making and ultimately enhance value for our investors. We believe developing ESG systems around our investments and adjacent strategies will be key to navigating existing and future risks and opportunities. We are excited about this future.

The following ESG principles will guide our approach to new investments and existing ownership across our investment strategies, ownership, and operations:

  • Regularly engaging stakeholders on ESG.
  • Defining stakeholders as investors, employees, regulators, consumers, and communities in which we operate.
  • Tasking our leaders to drive assessment of material ESG factors across our strategies.
  • Systematically incorporating ESG considerations and solutions in our investments, ownership, and business operations from top to bottom.
  • Avoiding strategies that cause significant harm environmentally and/or socially.
  • Developing methods to disclose, benchmark, review and improve on our ESG strategies year over year.
  • Embracing a leadership role in ESG within our relevant industries.

Our goal is to lead our investment strategies and operating companies into the next decades within this framework and with thoughtful leadership focused on promoting corporate responsibility and enhancing value for our investors. To that end, we will undertake the following ESG Commitments:

  • Maintaining ESG within Executive Committee agenda.
  • Integrating ESG into investment decisions through assessment of material factors from sourcing to due diligence, to investment committee reviews.
  • Integrating ESG into existing portfolio ownership and operations by identifying opportunities to mitigate the effects of our investments on the environment and to promote a consumer and community centric vision.

Based on these ESG Principles and Commitments, the Firm is prepared to sign on to United Nations Principles for Responsible Investing in 2023 when the new guidelines are issued.

DEI Statement

INSIGHTS

DEI Statement

June 13, 2022

Pretium strives to have a diverse workforce reflective of the communities in which we operate. We believe this driving principle will make us a better Firm, one more able to deliver value to our investors. We are committed to embracing and developing Diversity, Equity, and Inclusion (“DEI”) best practices across our platforms by:

  • Developing recruitment, retention, and promotion practices that focus on expanding our workforce to reflect the communities in which we operate.
  • Developing workforce policies that reflect awareness, inclusivity, respect, equitable opportunity, and a fulfilling work environment for employees of any race, ethnicity, religion, LGBTQ+, familial, and/or disability status.
  • Developing and promoting a network of diverse partners, consultants, suppliers, vendors, and third-party professionals.
  • Benchmarking, disclosing, reviewing, and improving on our DEI strategies year over year.
  • Educating ourselves regularly and engaging around unconscious bias, racial justice, and any other material DEI topics that impact our communities, our business, and/or our stakeholders.
  • Embracing a leadership role in DEI within our relevant industries.
 

June 2022

Pretium’s State of ESG Report

Read here to learn more.