Evolutionary Awards 2025 – Paragon Impact, powered by Alexforbes: evolutions in advice

Category: Evolutions in advice

Describe your evolution:

Changing the way investors and businesses measure impact, ESG, and returns

Paragon Impact was founded with a clear mission: to close the gap between ESG compliance and real-world impact. We saw that while ESG reporting had become more common, it was rarely useful in guiding decision-making, allocating capital, or understanding performance in terms that mattered, especially in the world of retirement funds and employee benefit schemes.

From the outset, our ambition was not only to improve how sustainability performance was measured but to integrate it directly into the processes that shape financial outcomes and fiduciary oversight. We asked the harder questions: What is the real impact? Is it aligned with sustainable development? And how can trustees and asset managers use this information to balance returns and sustainability performance for members and beneficiaries?

Part of a bigger ecosystem

Now as part of the Alexforbes Group, Paragon Impact is uniquely positioned at the intersection of actuarial expertise, advisory services, and impact technology. Together, we are setting a new benchmark for how sustainability is measured and managed in the employee benefits and institutional investment space.

We combine 90 years of Alexforbes’ trusted advisory experience with our cutting-edge impact analytics to offer:

• Member-centric sustainability assessments that aim to ensure resilient returns over time guided by impact analytics alongside financial returns;
• ESG risk and SDG impact aligned governance and fiduciary support for boards and trustees;
• Investment-grade reporting for consultants and asset managers;
• And technology solutions that make impact measurable, actionable, and meaningful.

Where we’re going next

Our evolution is not slowing. Building on this foundation, we are now:

1. Expanding our advisory-enablement model by supporting asset consultants, investment advisors, and trustees to integrate our tools into how they perform their fiduciary duties;
2. Enhancing our portfolio measurement capabilities by offering detailed ESG and SDG-aligned analysis for listed and multi-asset investments, tailored for institutional needs;
3. Innovating rapid-assessment tools by allowing for scalable assessments even where data is light or companies are early in their sustainability journey.

We are also continuously updating our methodology to align with evolving standards and frameworks such as the ISSB, PRI and CRISA, ensuring that our clients stay ahead of regulation and stakeholder expectations.

Through this evolution, Paragon has:

• Helped one of the largest retirement funds in South Africa reframe its understanding of investment stewardship;
• Enabled trustees to measure what matters and act with confidence;
• Supported asset consultants in evidencing ESG integration; and
• Empowered members to see the broader value of their retirement savings.

Our approach has driven real behavioural change among asset managers, created new reporting standards within umbrella fund governance, and most importantly, has contributed to a more informed, sustainable allocation of capital on behalf of workers and their communities.

Describe the impact your evolution has had in response to its identified challenges and targeted outcomes.

ESG as part of fiduciary duty

Historically, ESG was viewed as a risk lens or compliance burden. Today, that view is shifting, and Paragon has been part of accelerating this change. We believe that sustainability and fiduciary duty are not in conflict. In fact, understanding ESG and impact is essential to acting in the long-term best interest of fund members.

Our approach equips trustees and institutional investors to:

• See how their portfolios contribute to real-world outcomes;
• Understand which asset managers are proactively integrating the fund’s ESG investment strategy into investment decisions; and
• Engage more confidently with the concept of double materiality, the understanding that sustainability issues can affect financial returns and that investment decisions can have real-world consequences.

We help funds shift from asking “Are we ESG compliant?” to “Are we delivering meaningful, balanced outcomes for our members, both financially and socially?”

Our SDG Grade is not a generic ESG score. It is a tailored, evidence-based grading that connects the dots between an investment strategy, the outcomes it seeks for its members, and the social and environmental impact of those investments.

As a result, trustees can gain unprecedented insight into:

• How well each asset manager aligns returns with the fund’s ESG investment strategy;
• Where ESG is genuinely embedded versus where it is superficial or passive;
• The diversity of their investment exposure, not just in terms of geography or asset class, but in terms of impact themes such as climate action, gender equity, and economic inclusion.

These insights empower trustees to assess the true balance between financial performance and sustainability outcomes, enhancing their ability to meet their fiduciary obligations in a changing world.

What sets Paragon apart is not only our methodology, but how we’ve scaled it through partnerships and technology. Our platform now supports both:

• In-depth assessments of portfolios and single entities, and
• High-level analysis of investment portfolios across multiple managers and assets.

This dual capability means that corporates, institutional investors, consultants, and fund administrators can use our tools to:

• Benchmark performance against sustainability goals;
• Identify gaps and outliers in their portfolio;
• Prioritise engagement with asset managers; and
• Provide transparent, member-facing reporting that demonstrates impact in a credible and accessible way.

Paragon Impact is not just measuring sustainability. We are reshaping how it is understood, managed, and delivered across every level of the institutional investment and business value chain.

See a sample report here > 

Supporting Documentation >