(Re-)Interpreting Fiduciary Duty to Justify Socially Responsible Investment for Pension Funds?

2013 ◽  
Vol 21 (5) ◽  
pp. 436-446 ◽  
Author(s):  
Joakim Sandberg
Keyword(s):  
Pension Funds ◽  
Socially Responsible Investment ◽  
Fiduciary Duty ◽  
Socially Responsible ◽  
Responsible Investment

Environmentally friendly and socially responsible investment in and by occupational pension funds in the USA and in the EU

2021 ◽  
pp. 138826272110269
Author(s):  
Lauren Daniels ◽  
Yves Stevens ◽  
David Pratt
Keyword(s):  
Financial Performance ◽  
Investment Decision ◽  
Pension Funds ◽  
Socially Responsible Investment ◽  
Occupational Pension ◽  
Socially Responsible ◽  
Responsible Investment ◽  
Occupational Pensions ◽  
The Usa ◽  
The Eu

Worldwide pension funds, in their capacity as large institutional investors, are under increasing pressure to take social and environmental considerations into account in their investment decision-making process. The concepts Socially Responsible Investment (SRI) and Environmental Social Governance (ESG) are indeed ubiquitous in the current investment and pension community. This article aims to provide some insight into the conceptual relationship between SRI and ESG and its legal implications for the investment behaviour of private pension funds in the USA and the EU. Hence, the first part of the article gives some background to the distinct concepts of SRI and ESG. This leads to the finding that SRI goes one step further than ESG by prioritising moral or ethical considerations that may not be material to an investment’s financial performance, whereas ESG functions as a guideline to enhance financial performance. The second part analyses the legal possibilities and constraints for responsible investment in American occupational pensions and the third part does the same for European occupational pensions. The article concludes with a summary and comparative overview of the American and European lessons.

scholarly journals Efficiency of the Public Pensions Funds on the Socially Responsible Equities of Mexico

2018 ◽  
Vol 11 (1) ◽  
pp. 178
Author(s):  
Oscar De la Torre-Torres ◽  
Evaristo Galeana-Figueroa ◽  
José Álvarez-García
Keyword(s):  
Investment Strategy ◽  
Pension Funds ◽  
Socially Responsible Investment ◽  
Socially Responsible ◽  
Responsible Investment ◽  
Risk Indices ◽  
Investment Level ◽  
Significant Difference ◽  
Time Periods ◽  
Mean Variance

In the present work, we test the mean-variance efficiency that Mexican public pension funds would have shown had these invested their local equity portfolio component only in socially responsible stocks. With a daily simulation (from 1 January 2005 to 31 July 2018) of the Standard & Poors (S&P) Mexico target risk indices, we found that there was no significant difference between the more conservative pension funds that invested only in the Price Index and Quotations (IPC) sustainable index against the ones that invested in the conventional IPC. In the case of the more aggressive type of pension funds (those with a higher Mexican equity investment level), a lower mean-variance efficiency would have been observed had these invested in the IPC sustainable index. We also found, with a two-regime Markov-switching analysis, that socially responsible investment would have been better for most of these pension funds during distress time periods. Even if our results do not give strong short-term proof for the use of a socially responsible investment strategy in the most aggressive pension funds, we found that the benefits will be observed in the long-term, due to a better performance during distress time periods and the lag effect of mid and small-cap stocks in the performance.

Operationalizing socially responsible investment: a nonfinancial fiduciary duty problem

2014 ◽  
pp. 364-377 ◽  
Author(s):  
Ralf Barkemeyer ◽  
Frank Figge ◽  
Tobias Hahn ◽  
Andreas G. F. Hoepner ◽  
Andrea Liesen ◽  
...  
Keyword(s):  
Socially Responsible Investment ◽  
Fiduciary Duty ◽  
Socially Responsible ◽  
Responsible Investment

scholarly journals International Socially Responsible Investment Funds

10.3846/153 ◽  
2011 ◽  
Vol 1 (3) ◽  
pp. 56-60
Author(s):  
Modestas Plakys
Keyword(s):  
Alternative Energy ◽  
Pension Funds ◽  
Socially Responsible Investment ◽  
Public Pension ◽  
Socially Responsible ◽  
Investment Funds ◽  
Responsible Investment ◽  
Environment Changes ◽  
Socially Responsible Investments ◽  
Private And Public

The study deals with socially responsible investment funds as the type of investment funds universe. European and USA market for socially responsible investment funds is presented. The dynamics of assets under the management and number of these funds in the market are considered. The approaches for socially responsible investments are studied and reasons for increased interest in such investments are named. The main reasons why the global socially responsible funds become more and more popular are: an increase of interest of community in socially responsible companies, in problems regarding climate and environment changes, in government attitude towards alternative energy and investments of private and public pension funds.

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