ESG Should Be More Than a Set of Specific Short-Term Goals
Corporations need to realize that sustainability must be core to their business strategy. The priority should be long-term system building instead of programs designed to meet one or two specific, short-term goals. Goals will change over time, but core systems will enable us to have long-term impacts on the overall corporation and the environment itself. Yet, it is easier said than done; putting a brand-new system in place requires significantly more money, resources and attention than drawing up a whiteboard of goals. Read more
BlackRock aims to raise $2.3bn+ for ESG fund that targets cat bonds
We’ve now learned just how big a fund strategy BlackRock’s ESG Capital Allocation Trust could be after its initial fund raising closes, as the investment giant is targeting the sale of at least enough shares in the fund to raise just over $2 billion, but if underwriters over-allotments are taken in full, the strategy will have roughly $2.34 billion of assets to deploy into ESG appropriate fixed-income securities Read more
Should regulators take the lead on ESG in pensions?
In a recent twitter poll, Pensions Expert asked its readers whether or not regulators should take the lead on ESG within asset management. The result reflected how divisive the issue is in the industry.
The poll revealed 53.6 per cent of respondents felt regulators should intervene to meet demand for standardisation across ESG, while 42.9 per cent were opposed, claiming regulatory presence limits investor freedoms. Just 3.6 per cent responded that regulators should intervene because it helps investors.
A key issue is the lack of standardisation in the industry, with ESG issues still being a relatively new concept for many pension funds to engage with. Lars Hagenbuch, consultant at RisCura, argues this is evidenced by the lack of a data standard for funds to follow. Read more
Mutuality, ESG & sustainable business – a new catalyst for Australian climate action
Co-operatives and mutuals are the original ESG businesses because they were established to do something different from investor-owned firms. For them, capital is a tool to be deployed, rather than an end in itself. Co-operative and mutual members are also their owners, which represents a huge difference with other types of corporation. It changes how they approach sustainability and business impact.Read more
