“We feel the cert program is in place to be in a key role to verify and what doing responsible investment well looks like,” said Simon O’Connor, CEO of RIAA.
RIAA has certified over 175 products, and the new standards cover eight broad categories:
RI Strategies – formal, disclosed, consistent, auditable and fit for purpose
Product labels – clear, honest and not misleading
Avoids significant harm – as a minimum requirement
Accounts for Environmental, Social and Governance (ESG) issues
Mandatory disclosures – holdings, performance, benchmark, investable universe, sustainability outcomes and engagement and voting practices
Active stewards – stewardship practices, such as engagement and voting and the improved outcomes of these practices
Organisation has a demonstrated, formal commitment to RI
Organisation educates consumers, financial advisors and the general public on why RI is important
The focus on education on why RI is important was an essential component, said Cassandra Williams, certification and ratings manager at RIAA.
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