Member Affiliates' News
January 2008
New Member Affiliates
Association of the Luxembourg Fund Industry (ALFI) joins Eurosif
ALFI (Association Luxembourgeoise des Fonds d’Investissement) is the official representative body for the Luxembourg investment fund industry and was set up in November 1988 to promote its development. ALFI plays a proactive role in leading industry efforts to turn Luxembourg into the most attractive international centre for domiciling and distributing investment and pension funds and the main gateway to the European and global fund markets.
Member Affiliate News
ABP systematically incorporates climate change risk & opportunity into research
Dutch pension fund ABP is reviewing its investments in energy. ABP has set up a large scale “cross-departmental research exercise” carried out by its research department, to try to understand the commercial opportunities and risks of climate change. The fund has already €500m invested in carbon funds and trade emission credits, €250m is invested in clean technology private equity, and around €100m has recently been invested in a new fund which will support renewable energy infrastructure.
CAAM continues its shareholder dialogue policy through the UN Global Compact Investors’ Initiative
On January 3rd, 2008 eighteen institutional investors wrote to the chief executive officers of 103 companies in over 30 different countries to recognise front-runners in the integration of environmental, social and governance issues, while encouraging others to produce adequate communications on the topic called “Communication on Progress” as proof of their engagement. This was done through the UN Principles for Responsible Investment (PRI) Engagement Platform.
Calvert and KLD are leading efforts to encourage increased ESG disclosure among companies in Emerging Markets
To encourage improved reporting, Calvert is working with others to put together a sign-on statement to ask companies in Emerging Markets to improve sustainability disclosure and use the Global Reporting Initiative. Calvert invites organisations to review the statement and endorse it, if possible, before February 13th, 2008.
Contact: Jade Huang, Investment Analyst, Calvert: jade.huang@calvert.com +1 (301) 657-7083.
Caisse des Dépôts and NYSE Euronext create new joint enterprise named BlueNext
NYSE Euronext and Caisse des Dépôts are delighted with the decision taken by Powernext shareholders at the December 2007 Extraordinary General Meeting to approve NYSE Euronext's acquisition of Powernext Carbon, the company's market operator specialising in CO2 emission permits. This transaction will be associated with the sale of NYSE Euronext's 34% interest in Powernext to HGRT (Holding de Gestionnaires de Réseaux de Transport).
As a consequence, NYSE Euronext and Caisse des Dépôts are setting up a new joint enterprise named BlueNext, which will be the operator for the organised international market in CO2 permits, taking responsibility for trading and related settlement and delivery.
www.caissedesdepots.fr/GB/index.php
Carbon Disclosure Project’s first Switzerland report on climate change: a challenge for Swiss companies
Within the framework of the Carbon Disclosure Project (CDP), the Ethos Foundation and Pictet Asset Management present the results of a survey (conducted by Centre Info, part of the SiRi Company Network) of the 50 largest Swiss listed companies' climate change strategy. An analysis of the results reveals that while most of the companies have started to integrate climate change issues, the initiatives they take are still limited to production and do not extend to the companies' entire value chain.
www.cdproject.net, www.ethosfund.ch, www.pictet.com, www.siricompany.com
Domini Social Investments Wins "Social Capitalist" Award from Fast Company Magazine and Monitor Group
Fast Company magazine and Monitor Group announced that Domini Social Investments, a leader in the field of socially responsible investing, has won one of the magazine's fifth annual Social Capitalist Awards. This year marked the first time that for-profit companies were eligible for this award. The awards recognize organizations and companies for using the tools of business to solve the world's most pressing social problems, and for demonstrating a consistent and unusually large impact on society.
EIRIS launches free Ethical Funds Directory
Global Sustainable Investment specialists EIRIS launched a new UK Ethical Funds Directory to help consumers and financial advisers find a green or ethical fund which matches their ethical interests and concerns. EIRIS’ free directory offers clear, comparable information on each of the UK ethical and green retail funds currently available. The directory includes detailed information on each fund’s ethical investment strategy, positive and negative screening criteria, voting and engagement policy and approach, research resources, fund manager contact details and links to further information.
Ethos Publishes the 2008 Edition of its Proxy Voting Guidelines
The Ethos Foundation publishes the new edition of its reference document with regard to corporate governance. For the first time, this document is divided into two parts. The first part features the Corporate Governance Principles that set Ethos' best practice standards, while the second one comprises the 2008 Proxy Voting Guidelines that steer Ethos' exercise of the shareholder voting rights.
F&C hires Standard & Poor’s MD as corporate governance director
F&C Investments, which manages over £100 billion of assets on behalf of more than 3 million people, has recruited George S. Dallas as Director, Corporate Governance. Mr. Dallas joins F&C from Standard & Poor’s (S&P) in London where he has been Managing Director with responsibilities in the areas of analytical policy and research. At F&C he will report to Karina Litvack, Head of Governance and Sustainable Investment. The senior appointment further cements F&C’s market leading position in corporate governance and shareholder engagement which has received further external validation in recent months.
FTSE Launches Environmental Technology Index
In response to unprecedented interest and demand, FTSE Group has launched the FTSE ET50 (Environmental Technology) Index in collaboration with the environmental technology specialist, Impax Asset Management.
Henderson Global Investors part of investor initiative examining climate change
Henderson Global Investors, Insight Asset Management, RAILPEN Investments, and the Universities Superannuation Scheme (USS) have launched an initiative to explore the investment consequences of unavoidable climate change. They have released a report, “Managing the Unavoidable: Understanding the investment implications of adapting to climate change”, which sets outs the framework and scope of the research initiative. They expect to produce four sector studies - electric utilities, oil & gas, real estate and water utilities - which will analyse the investment impact of climate change, and explore how investors can address these in their interaction with companies.
KLD Research and Analytics, Inc recognised as leaders
Three recent awards have recognised the leadership of KLD Research and Analytics, Inc. in bringing environmental, social, and governance factors into investment decision-making.
Investment and Pensions Europe (IPE) magazine and Triple Bottom Line Investing (TBLI) cited KLD Research & Analytics, Inc. for Outstanding Contribution to ESG at their inaugural ESG Leaders Awards ceremony in Paris, France at the Triple Bottom Line Investing Conference. KLD was also one of three finalists for the Best ESG Consultancy/Research House award.
Living Planet Fund continues to grow
The Living Planet Fund, managed by the Living Planet Fund Management Company continues its impressive growth rate. In 2007 it closed the calendar year with total assets of 32 million EUR, up 24% compared to the assets at the beginning of the year. For 2008, the company expects that assets will exceed 40 million EUR, and this is not counting the new fund-compartment, 'Renewable Energy' that will be launched during 2008. In terms of performance, the Fund's return in 2007 was 4.6% in Euro terms for class A retail units and 4.9% for class B institutional units.
Mercer adds 6 experts to responsible investment unit
Growing demand for Mercer’s responsible investment (RI) consulting services has led to the appointment of six new specialists in January 2008, following six appointments to the global RI team during 2007. Jane Ambachtsheer, global head of responsible investment for Mercer, said, “This growth reflects the extent to which responsible investment is evolving – from a niche area to one of our core lines of business. This is due to an increasing number of institutional investors around the world seeking advice on how to better incorporate environmental, social and governance factors into their investment processes.”
Insight Investment wins award
On the 29th November 2007, Insight won the Funds Europe 2007 Socially Responsible Investment Programme of the Year award, for its leadership in integration. The judges stated “It was Insight’s integration of socially responsible factors across all its equity and bond investments that swayed the judges in this closely run category.”
SAM launches its Sustainability Yearbook 2008 - a reference work that highlights the world's leading companies in terms of sustainability
SAM has introduced in collaboration with PricewaterhouseCoopers the Sustainability Yearbook 2008 at the WEF in Davos, Switzerland. The Sustainability Yearbook is the world's most comprehensive reference work for assessing exchange-listed companies according to their economic, ecological and societal success factors.
Standard Life Investments awarded SRI mandate by Unison’s Staff Pension Scheme
Standard Life Investments announced that it has been appointed by UNISON, one of the largest trade unions in Great Britain, to manage an active UK and Overseas Equity portfolio valued at over £140m. The mandate forms part of UNISON’s Staff Pension Scheme and includes a socially responsible investment and engagement overlay.
www.standardlifeinvestments.co.uk
Trucost examines shift in investments needed to reduce Asian carbon risks
The high carbon intensity of Asian listed companies, compared with their peers elsewhere, leaves investors in many Asian equity funds more exposed to carbon risks. The carbon intensity of Asian equity funds can be reduced by some 30 per cent without sacrificing performance. These are the main findings of the report commissioned by the International Finance Corporation and conducted by environmental research organisation Trucost. The study – Carbon Counts Asia 2007: Carbon Footprints of Asian Investment Funds – analyses the carbon intensity of the MSCI Asia ex-Japan index and 90 individual investment funds in Asia to provide the first comprehensive review of greenhouse gas emissions from Asian companies.
http://www.trucost.com//pressreleases/CarbonCountsAsia2007.html
Vigeo forms a strategic partnership with OWW to extend coverage to Asia-Pacific
Vigeo currently covers all the stocks of the DJSTOXX 600 Europe Index. Vigeo and OWW will work to extend the coverage: by the end of 2008 all the stocks of DJSTOXX 600 Asia – Pacific will be included into Vigeo’s research.
WestLB Extra-Financial Research publishes report on Demographics & Human Capital
Underestimated risk to competitiveness birth rates are falling and life expectancy is rising - a trend that can be observed particularly in the traditional Western industrialised countries. The consequences for society and the economy are undoubtedly dramatic. Public debate has so far focused primarily on the future of social security systems. However, the recent debate about the shortage of skilled labour in Germany has now pushed another, long-neglected aspect to the forefront: the repercussions of demographic change on companies' human capital, one of the driving competitive factors in a globalised, knowledge-based economy.
