Investment risk

3i's investment appraisal is undertaken in a rigorous manner. This includes approval by the relevant business line partnerships, and where appropriate, peer review by executives from other business lines, and our international network of industry and sector specialists. Investments over £5 million are presented to an Investment Committee chaired by one of our Group Partners and comprising some of our senior investment executives.

Having made our investment decision, a rigorous process is put in place for managing the relationship with the investee company for the period through to realisation. This can include board representation by a 3i investment executive and regular internal asset review processes.

3i invests across a range of economic sectors. The portfolio is subject to periodic reviews at both the business line and Group levels to ensure that there is no undue exposure to any one sector. The valuation of 3i's unquoted portfolio and opportunities for realisation depend to some extent on stock market conditions and the buoyancy of the wider mergers and acquisitions market.