By Scott C. Nuttall, Joseph Y. Bae Aug 14, 2018

Co-Presidents Scott C. Nuttall and Joseph Y. Bae discuss our progress and the path ahead as a part of the 2017 ESG and Citizenship Report. View the full report here.

During our 22 years with KKR, we have experienced tremendous change – both at the Firm and in the world. Our time as investors, and now as Firm leaders, has taught us how critical it is to understand clearly and respond swiftly to shifts in markets, performance, and perspectives.

We are living in a time of remarkable changes. Consumers are redefining their expectations of how business should operate in society. Citizens are concerned about topics like climate change and are demanding action. Digital users have evolving expectations about data privacy. Employees are vocalizing what they need and want from their employers in unprecedented ways.

In our business, we see and feel the effects of these and other developments. Our investment professionals and operations teams are always striving to learn about the changing world around us. We believe this enables us to invest smarter and perform better.

This desire to learn and perform is in KKR’s DNA and thus at the core of our approach to responsible investment. We know that our partners and communities expect more from us each year. Whether from CEOs of financial institutions, investors from major funds, or nonprofit activist groups, we have seen a substantial increase in public conversations focusing on the role of business and the power of investing. There is a growing realization that private capital has a role in solving some of the significant challenges facing our global society.

Companies are engaging with credible frameworks such as the United Nations Sustainable Development Goals to better define their impact. They are working together in coalitions to take a stance on everything from immigration to innovation. KKR, too, is thinking critically about where we invest and how we have an impact on the world through our investments, our teams, our relationships, our values, and our philanthropy.

As we look to the future, we expect things to change far more than they stay the same. We are building teams that better anticipate, predict, and drive changes where we can – and that better embrace and adapt to change where we must. What we know for sure is that change is inevitable, but for folks like us, it is also highly desirable. For at KKR, change has brought us opportunities, seizing those opportunities has created growth, and managing that growth has driven performance for us, our companies, our investors, and our communities.

So, bring on the change. We’re ready.

SCOTT C. NUTTALL and JOSEPH Y. BAE

Co-Presidents and Co-Chief Operating Officers