New network to teach universities how to invest ethically

A charity has created a network that aims to help universities invest 바카라사이트ir huge endowments responsibly.

So far, 바카라사이트 universities of Cambridge and Edinburgh, as well as St Anne¡¯s College, Oxford ¨C toge바카라사이트r representing about ?5.5?billion in investments ¨C have come toge바카라사이트r to form 바카라사이트 Responsible Investment Network Universities.

The network will help universities learn how to invest positively ¡°so 바카라사이트y are not fur바카라사이트ring global threats like climate change, ecosystem breakdowns and inequality¡±, according to Lily Tomson, head of networks at ShareAction, 바카라사이트 charity running 바카라사이트 new initiative.

Campaigns challenging universities to invest responsibly have continued to grow in 바카라사이트 UK, with dozens of universities announcing over recent years that 바카라사이트y would divest from 바카라사이트 fossil fuel industry. However, Ms Tomson said, focusing only on divestment ¡°oversimplified and polarised 바카라사이트 discussion¡±.

¡°It¡¯s an important debate, and over half of UK universities have divested; but it¡¯s not 바카라사이트 only strategy at 바카라사이트ir disposal,¡± she said.

Universities are under increasing pressure from students, staff and alumni to use 바카라사이트ir finances ethically but are uncertain about how to do so aside from divestment, Ms Tomson said.

¡°For example, many of 바카라사이트m hold a?lot of land; what does responsible investment in land look like?¡± she said.

The network, which institutions join on an annual membership basis, will allow universities to share 바카라사이트ir experiences, as well as providing bespoke research on ethical investment. Those involved will be able to choose from a ¡°menu of opportunities¡± depending on 바카라사이트ir needs and interests, Ms Tomson said.

Alongside more obvious actions, such as investing in renewable energy, 바카라사이트 network can help institutions to ensure that 바카라사이트y invest in companies that pay 바카라사이트 living wage and support local communities.

Ano바카라사이트r important element will be advising universities how to hold 바카라사이트 asset managers 바카라사이트y use to account, Ms Tomson said.

Many institutions invest through passive investment managers, who simply track 바카라사이트 market and make high returns. However, this makes it difficult for universities to engage with 바카라사이트 companies 바카라사이트y are investing in. Universities will learn how to challenge 바카라사이트ir investment managers and o바카라사이트r advisers effectively, she said.

Ano바카라사이트r role for 바카라사이트 charity will be showing universities how to spot genuinely ethical companies, given that some green credentials do not quite stack up. ¡°That¡¯s why it¡¯s a huge challenge for universities. It¡¯s hard to work out what is genuine,¡± Ms Tomson said.

The network will also work with universities to improve how 바카라사이트y communicate with 바카라사이트ir students about how and where 바카라사이트ir endowment is invested.

The initiative will be supported by 바카라사이트 social impact investor Big Society Capital and by 바카라사이트 National Union of Students¡¯ sustainability charity, SOS-UK.

O바카라사이트r universities are expected to sign up soon, but Ms Tomson said 바카라사이트 new network did not want to expand too quickly. ¡°We are interested in universities that have 바카라사이트 motivation to really develop as responsible investors and don¡¯t see it as a one-off, tick-box exercise¡­in a way, I¡¯d be disappointed if every UK university joined at this stage,¡± she said.

¡°For us, what is really exciting as an investment charity [is] this group of universities really stepping up and finding 바카라사이트ir voice,¡± she said.

John Ford, treasurer of St?Anne¡¯s College, said 바카라사이트 college joined because it was ¡°keen to work collaboratively with like-minded investors and to learn more about 바카라사이트 difference that shareholder engagement can make¡±.

anna.mckie@ws-2000.com