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Source: Governance & Accountability Institute

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March 31, 2015

SERVICES  |  RESEARCH  |  EVENTS  |  WEBINARS  |  BLOG  |  ARCHIVE

So If The US Equities Market Cools Off -- What Happens With ESG Investing Strategies?

Michael Shagrin writing in Fundfire (a Financial Times service) poses the rhetorical question:  Will ESG investing strategies be set up for a fall "if the U.S. equity markets cool off"?  He examines the results of a recent survey by Commonfund that suggests that institutional investors may grow "suspicious" of ESG strategies in a downturn.

Just below half of survey respondents said they didn't expect that SRI criteria (such as ESG strategies) would be an important part of their investment policy over the next three years -- and 25 percent said that ESG would play a greater role in portfolio management at their firm. 

Why the "suspicion" or lack of interest? Could be a misperception that ESG strategies are "confining," and reduce a manager's ability to produce "top flight returns?"  On the other hand, ESG strategy proponents expect to sleep more soundly and have better returns than the "un-convinced," Shagrin reports.

Could be lack of understanding of ESG strategies that is back holding greater institutional investor acceptance of the approach?  Commonfund's president, Keith Luke, thinks that is part of the thinking behind responses to the survey.

G&A EVP and partner Louis Coppola adds his perspective: "In our experience, during market downturns (note: like 2008-2009), money flow to safety and we have seen evidence of faster recovery of companies with sustainability integrated into their strategies..."   Read the Top Story for an informative look (in the survey results and perspectives offered) at "ESG's Future..."

Top Story of the Week

Investor Confusion Clouds ESG's Future
(Thursday - March 26, 2015)
Source: Michael Shagrin, Fund Fire - Environmental, social and governance (ESG) strategies were hit hard by outflows in 2013 and 2014, and new data suggests that may just be the tip of the iceberg...

Sustainability in Focus

9 Reasons Your Sustainability Communications Fail
(Friday - March 27, 2015)
Source: Environmental Leader - Sustainability leaders have to talk – a lot. Sometimes they speak at conferences, other times they speak to clients, or they might even write a guest article for a website. Regardless of the audience or platform, if you’re in...

Testifying about Sustainability and the American Diet
(Friday - March 27, 2015)
Source: Union of Concerned Scientists - The day before yesterday, together with my UCS colleagues Lindsey Haynes-Maslow and Deborah Bailin, I went to the National Institutes of Health to testify on the Scientific Report of the 2015 Dietary Guidelines Advisory...

Eliana Herman: Expanding the definition of sustainability
(Friday - March 27, 2015)
Source: The Michigan Daily - The surprising thing about words is that they can be completely ineffective. Coming from a person who clearly adores words — at least enough to have her own column — this is a strange declaration. But it’s exactly because I think...

Is “Sustainability” Sustainable?
(Thursday - March 26, 2015)
Source: Power Line - I recall taking in a British comedy sketch on TV over in London many years ago that featured the familiar device of an “interview” with a historical figure—in this case, the Lord Jesus Christ himself. The deadpan interviewer...

'Sustainability': Is it a dirty word?
(Thursday - March 26, 2015)
Source: The Guardian - Whether it’s through overuse or green washing, terms like “eco” and “green” often seem to elicit eye-rolling and sighing from a wide swath of the sustainability community. Distaste for those terms may be about the only thing on...

Saints Beat Sinners Again for Best Stock Picks
(Thursday - March 26, 2015)
Source: The Guardian - New Morgan Stanley research shows that whatever sustainability is, it seems to be working ...

How can you measure a city's sustainability? Here are three options
(Wednesday - March 25, 2015)
Source: City Metric - More than half of the world’s population lives in cities and that percentage continues to rise. That means cities are critical when it comes to preserving our natural resources. How green is your city? How does it match up to...

Corporate Sustainability: First Evidence on Materiality
(Wednesday - March 25, 2015)
Source: Working Knowledge, Harvard Business School - The relatively new class of corporate investments known as sustainability investments has attracted the attention of firms, institutional investors, academics, and societal advocacy groups. This paper examines in depth how such...

Spotlight on Women Leaders in Sustainability - Kym Fawcett, Enerplus
(Wednesday - March 25, 2015) Associated Profiles : CSRwire
Source: CSR Wire - Hi Kym. Thanks for taking the time to share your experiences with the CSRwire community. We'll get straight into the questions to discover the highlights of your professional and particular Enerplus...

Unsustainable America
(Tuesday - March 24, 2015)
Source: US News - Consumer preference is shaping up as a powerful force to promote environmental sustainability. Many consumers have shown themselves willing to choose sustainably produced and environmentally friendly products, particularly when...

Cornell Study Finds Hotel Guests Participate in and Support Environmental Sustainability Efforts
(Tuesday - March 24, 2015)
Source: Hospitality.net - Certain sustainability practices are nearly universal in the lodging industry, says a Cornell University study published by the Center for Hospitality Research (CHR). Water-conserving fixtures and linen-reuse programs, for...

Exxon Mobil to disclose sustainability metrics in setting executive pay
(Tuesday - March 24, 2015) Associated Profiles : Zevin Asset Management
Source: Pensions & Investments - Representatives of Wespath and the other co-filers, Needmor Fund and Zevin Asset Management, and Exxon Mobil, met in February to discuss the integration of sustainability metrics,...

Why This Big-Name Investor Is Betting on Sustainable Food
(Monday - March 23, 2015) Associated Profiles : Michael Pollan
Source: Yahoo Finance - The responsibility of caring for his children, coupled with reading îMichael Pollan's The Omnivore's Dilemma led to him examining American food systems and finding them lacking. Partovi believes that...

Corporate Sustainability – The Board’s Role in Oversight: Protecting a company’s social license to operate
(Monday - March 23, 2015)
Source: The Metropolitan Corporate Counsel - MCC: People often think of corporate sustainability activities in terms of environmental, energy or corporate philanthropy-related issues. How does NACD define sustainability?

ESG Issues & Players

The Four Filters of ESG Performance
(Thursday - March 26, 2015)
Source: Forbes - Michael Muyot, president and founder of CRD Analytics, a leading provider of independent sustainability investment analytics, is an acknowledged leader in sustainable investing. He has developed a unique set of tools that are...

The moral maze: How poor company ethics can cost investors
(Thursday - March 26, 2015)
Source: Business Reporter - FTSE100 companies are failing to provide investors with clear measures of how they maintain robust ethical standards, according to a study by the Chartered Institute of Internal Auditors...

The World’s Water Supply Could Dip Sharply in 15 Years
(Monday - March 23, 2015)
Source: Time - Global water resources may soon meet only 60% of the world’s water demands, the United Nations warned in a dire new report. The World Water Development Report, issued ahead of World Water Day on Sunday, says demand for water...

U.S. sets first major fracking rules on federal lands
(Tuesday - March 24, 2015)
Source: Reuters - The Obama administration’s new rules governing fracking on federal lands drew swift criticism from all sides on Friday, with green groups calling the measures “toothless” and the energy industry slamming “unnecessary” regulation...

Asset Managers, US Pension Funds, Sovereign Wealth Funds

The SEC is Changing the Rules for Startup Investing
(Thursday - March 26, 2015)
Source: Bostoninno - The Securities and Exchange Commission has voted on new rules on crowd funding that will make it possible for startups to sell up to $50 million worth of stock online to anyone who wants to buy it. It's what equity crowd funding...

Norwegian fund dumps Australian coal investments
(Monday - March 23, 2015) Associated Profiles : Norwegian Government Pension Fund – Global (Statens pensjonsfond – Utland) , Norwegian Government Pension Fund - Norway
Source: Opalesque Hedge Fund News - Norges Bank, manager of the $US850 billion Norwegian Government Pension Fund, has outlined the divestment of its interests in 14 coal miners around the world in 2014. Five Australian..

7 Ways Private Equity Is Gaming Your Pension
(Tuesday - March 24, 2015)
Source: Bloomberg - Kentucky high school history teacher Randy Wieck is on a lonely mission to discover the whereabouts of the 12 percent of each paycheck he and 74,800 other educators are putting into a state pension fund. He’s especially keen to...

Watching the Watchers

BeCitizen

Headquarters: Paris, France
Established: 2000

ESG/Sustainability Focus: Yes: Firm consults on environmental issues and advises asset managers on ESG/Sustainability issues.

KEY PARTNERS
French National Sustainable Development Council,
and AssociationOrée are among listed Institutional Partners. Ongoing collaborations with La Compagnie Benjamin de Rothschild, which is BeCitizen’s majority shareholder.

OVERVIEW/MISSION
BeCitizen
describes itself as “…a strategic and environmental finance consulting firm which create [sic] new opportunities for growth by restoring the environment.” The company states on its Vision page that “In a fast-changing global environment, the companies that last are those that can adapt to emerging market forces and turn risk into opportunity.”

BACKGROUND
BeCitizen was established in 2000; it has registered the term “Positive Economy™” as a trademark. BeCitizen lists some of its clients online. They include such firms as eBay, WWF France, Credit Agricole (banking and finance), and Carlson Wagon Lit (travel).

News Sweeps
U.S Top Executives, Edmond De Rothschild, Gtbank to Showcase Nigeria's Economy in Switzerland
(Tuesday - March 24, 2015) Associated Profiles : BeCitizen
- 4 Traders - Nigeria's economic potentials will come under focus in Geneva Switzerland a day before the commencement of World Economic Forum in Davos, Switzerland. Scheduled to offer positive rhythm towards sound economic growth,...

Maximilien Rouer
(Wednesday - March 18, 2015) Associated Profiles : BeCitizen
- Bloomberg - Mr. Maximilien Rouer serves as Founding Partner and President of BeCitizen SAS. Mr. Rouer is the inventor and a promoter of the Positive Economy¢ concept. Since 2000, Mr. Rouer has advised...
 
EDMOND DE ROTHSCHILD GROUP BECOMES THE FIRST WEALTH MANAGEMENT PARTNER OF ROYAL HONG KONG YACHT CLUB
(Wednesday - March 18, 2015) Associated Profiles : BeCitizen
- 4 Traders - Edmond de Rothschild Group is pleased to announce that it has become the first official wealth management partner of the Royal Hong Kong Yacht Club, one of the premier yacht clubs in Asia. As part of the partnership,...

Check It Out...


G&A Institute Sustainability Update
Informative, insightful, thought provoking
The Governance & Accountability Instituteblog focusing on the sustainable world evolving daily before our eyes.  Read it, absorb it, question it and challenge.

G&A's Sustainability Update
Insights & perspectives for your sustainable journey...
Recent Posts

Capitalizing on Capital Markets Through ESG – A Commentary This Week on Forbes’ Blog by Chris Skroupa…

Communicating About Corporate Sustainability – The Challenges

It’s Morning, Again, In America…Or Is It?

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G&A Institute is the Global Reporting
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Featured Events


 
How Business Can Tackle Deforestation
Innovation Forum
14-15 April 2015 | Washington, DC
G&A Discount Code: GA15

*SAVE THE DATE*
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Baruch College | NYC | April 21st

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Corporate ESG Performance Factors & SustainabilityHQ

Corporate ESG Performance Factors are important to financial analysts, asset owners and managers, and many stakeholders.  The ESG framework or approach considers environmental issues and impacts, the company’s positioning and actions on social/societal issues, and important aspects of corporate governance.

ESG key performance indicators are considered by investors as proxies for effective governance and management. Increasing numbers of of independent research and financial analysis firms monitor and measure these and advisie investors.  The Sustainability HQ™ platform is an important profiling and monitoring resource for the G&A team, and for our clients and subscribers.

ESG market players and corporate reputation influencers are profiled and monitored by G&A Institute. In these Highlights we provide some results of our continuous global scanning for ESG, sustainability and corporate responsibility news. The Associated Profiles indicated are in our Sustainability HQ™  platforms.  For more information, please email us at info@sustainabilityhq.com
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For more on:
ESG & Sustainability Players
- Shaping Perceptions, Valuations & Decision-Making

Sovereign Wealth Funds (SWFs)
- State-Owned Global Investors

US Public Sector Investors 
- State and Municipal Retirement Funds

Asset Managers
- Investors adopting ESG guidelines / policies & shaping market trends

Navigating the way to sustainability...
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SustainabilityHQ Highlights is prepared by the Governance & Accountability Institute, Inc. based on continuous monitoring of trends and developments in Sustainability and ESG. Click here for more information on the Governance & Accountability Institute’s SustainabilityHQ resources. The SustainabilityHQ platform is available by subscription.

Governance & Accountability Instiute is the “Sustainability Headquarters™” for clients in the corporate, investment, public and social sectors. Based in New York, G&A is a for-profit consulting organization providing a range of value-added strategies, services and resources related to ESG & sustainability to clients in the corporate and capital markets communities.The G&A services portfolio includes:
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