In 2006, the United Nations Secretary-General launched the Principles for Responsible Investment (PRI) – a set of aspirational standards designed to guide investors towards creating a sustainable global financial system that fosters good governance, transparency, integrity and accountability. Hedge funds are important investment vehicles for many signatories to the PRI initiative. To assist signatories in their hedge fund investments, PRI issued a white paper, seeking to encourage meaningful debate about responsible investment in hedge funds; identify the ESG risks and opportunities presented by different hedge fund strategies and techniques; and provide guidance to investors on how to integrate ESG factors into their fund investment practices. Fund managers that are able to understand the issues at stake and to participate meaningfully in the dialogue can seize upon opportunities to attract capital from ESG-focused investors, according to PRI. This article provides an overview of PRI’s paper, including its assessment of the advantages and risks of various hedge fund investment techniques and strategies for ESG investors, as well as a roadmap for responsible investment in and by hedge funds. See our two-part series on SBAI’s Responsible Investment Policy Framework: “Four Ways to Incorporate Into Investment Strategies” (Apr. 15, 2021); and “Three Key Considerations for Fund Managers” (Apr. 22, 2021).