Reports

Table of responses with a qualitative review of the Top 25 UK Pension Funds to a request from the UK government Environmental Audit Committee detailing the funds’ approaches to climate change risk and whether it is – or is not – incorporated into their investment decision-making

This discussion paper explores the existing roles and responsibilities of auditors and audit committees in ensuring appropriate disclosure on climate-related risks, where material,in the annual financial filings. They undoubtedly have a crucial role to play in ensuring investors – both shareholders and bondholders – receive appropriate information on climate risk to enable informed investment decision-making.

The oil sands industry receives much international criticism because of its heavy social and environmental impact, which can in turn generate complex legal, regulatory and social risks to shareholder value. This paper examines the social and environmental impact of oil sands production, providing insights from Vigeo Eiris’ research and analysing different perspectives on future industry developments.

There is clear evidence that engagement by investors with companies on ESG issues can create shareholder value. But, despite the growth in engagement activity by investors, exactly how ESG engagement creates value is poorly understood. The Principles for Responsible Investment (PRI) therefore commissioned this research to explore the question.

This research report is the result of a partnership between the World Bank and Government Pension Investment Fund of Japan. The aim is for the World Bank, IFC and GPIF to collaborate on initiatives that promote strategies for including ESG criteria in investment decisions across asset classes. Ultimately, the goal is to direct more capital towards sustainable investments and leverage the private sector to achieve the scale of investment needed to meet the Sustainable Development Goals.

Where ESG integration is concerned, African PE has been ahead of the curve compared with other markets, thanks to its origins.

Natural capital in the Agro-Food sector and the Built Environment: what issues are relevant and what influence do companies and financial institutions have? How do pioneer companies address a decline in biodiversity?

The Inquiry into the Design of a Sustainable Financial System was initiated by the United Nations Environment Programme to advance options to align the financial system with sustainable development. ‘Making Waves: Aligning the Financial System with Sustainable Development’ is its final, global report. This report reviews the Inquiry’s core analysis, summarizes progress made in aligning the financial system with sustainable development between 2014 and 2017, reflects on the lessons that can be learned from the Inquiry’s approach, and highlights what still needs to be done and what success could look like. It finds real signs that a shift to a sustainable financial system is well under way.

The paper discusses how investors might analyse the climate change and carbon-related characteristics of their portfolios and of specific asset classes. It offers a series of practical suggestions to other asset owners, asset managers and other stakeholders on the role that carbon footprinting might play in modern portfolio management.