Responsible Investment News

Posts in Sustainable Investment Categories

Millennials take up ethical investing (and it's rubbing off on their parents)

Millennials are increasingly interested in sustainable investing and in many cases are instilling their social and environmental values in their parents.


Mass starvation is humanity’s fate if we keep flogging the land to death

While directly not concerning responsible investment, this issue clearly has implications for what we invest in (Jonathan Neal).

Brexit; the crushing of democracy by billionaires; the next financial crash; a rogue US president: none of them keeps me awake at night. This is not because I don’t care – I care very much. It’s only because I have a bigger question on my mind. Where is all the food going to come from?

By the middle of this century there will be two or three billion more people on Earth. Any one of the issues I am about to list could help precipitate mass starvation. And this is before you consider how they might interact.

NZ Super Fund's fossil fuel sell-down 'just one opinion'

The oil and gas business has a strong future despite substantial divestment by the New Zealand Super Fund, the lead industry body says.

The $35 billion fund has substantially or completely withdrawn from 300 companies, including some of the world's biggest oil companies such as Exxon Mobil, Shell, BP and Statoil, calling them risky investments.

The move, affecting the fund's $14bn passive equity portfolio, involved about $950 million in shares.

It said it feared its value might be at risk if too much money was tied up in oil and gas.

The fund's chief investment officer, Matt Whineray, said there was a significant risk, which had not been factored into the market. The worry was that climate change jitters would dry up economic returns from oil and gas companies and cause their share prices to shrink over time.

The Petroleum Production and Exploration Association said that was just one opinion, however, and other investors thought oil and gas still had bright prospects.

Climate change risk prompts Super Fund to sell shares in oil, gas firms

The New Zealand Superannuation Fund has sold shares in some of the world's biggest companies to reduce exposure to firms emitting greenhouse gases.

The fund is quitting or reducing holdings in 300 firms as part of its "carbon transition". They include Exxon Mobil, Shell, BP and Statoil and local firms New Zealand Oil & Gas and Genesis Energy.

The firms are part of the Super Fund's huge passive investment portfolio - making up two thirds of the fund's total investments - and similar principles will be applied now to active investments.

Looking behind the screens of ESG investing

Interest in environmental, social and governance principles (ESG) has been growing among investors in recent years. However, in pursuing these preferences, they can severely risk compromising their investment goals. As the popularity of investing sustainably gains momentum globally, how do fiduciaries ensure sound investment outcomes are not compromised in pursuing ESG goals?

Just 100 companies responsible for 71% of global emissions, study says

A relatively small number of fossil fuel producers and their investors could hold the key to tackling climate change.

Just 100 companies have been the source of more than 70% of the world’s greenhouse gas emissions since 1988, according to a new report.

The Economist - The Earth Circle: making environmentalism pay its way (Video - 14 mins)

A hopeful video about the promise and challenges of the circular economy.

The end of the cult of car ownership?

RNZ - Nine to Noon. 5 May 2017
If responsible investment includes investing in our means of transport (and I suggest that it does), then you will want to hear this interview.

Kathryn Ryan talks with Stanford University lecturer Tony Seba who has co-authored a report predicting the impact of driver-less cars. He says within 10 years of regulatory approval, 95% of passenger miles traveled in the United States will be in autonomous electric vehicles.

Antibiotics the next ethical investment battleground

(Australian) Financial Review - Adele Ferguson
Weeks after declaring war on tobacco by confirming it would sell $600 million worth of tobacco-related stocks and biological weapon investments, AMP Capital has released a landmark report flagging the regulatory and earnings dangers of businesses using antibiotics in the food chain.


Impact investing in the age of President Trump

Investment News - 5 Mar - By John Waggoner
If implemented, the president's policies could have a profound effect on issues that resonate with a growing number of investors: the environment, social issues and corporate governance.

It's too soon to tell what effect the election of Donald J. Trump to the presidency will have on impact investing. But if implemented, Mr. Trump's policies could have a profound effect on issues near and dear to a growing number of investors: the environment, social issues and corporate governance.

A copy of Jonathan Neal's Primary Disclosure Statement is available here.