More pension money to be invested for people and the planet
We work with pension funds, pension consultants, asset managers, policymakers, lawyers, and industry experts to see how more of the funds that are being invested for people’s retirement can also be invested for social and environmental impact.
We advocate for clarification of fiduciary duties – the legal obligation of pension trustees to act in the best interest of pension scheme members – to include consideration of social and environmental impact as well as financial return.
This has included a legal research paper, co-written by five leading law firms, explaining how fiduciary duties and impact investing are compatible.
Impact Investing Principles for Pensions
We developed the Impact Investing Principles for Pensions – a step-by-step guide to how pension trustees and consultants can integrate social and environmental impact into their investment decision-making process. Designed and tested through industry consultation, the Principles are backed up by a range of case studies and our legal research on fiduciary duties.
Adopted by pension schemes including Smart Pensions, the Environment Agency Pension Fund, and AON, the Principles show how to
- identify impact objectives and implement them
- select pension consultants and managers and hold their impact activities to account
- measure and report on impact investing
By debunking the myth that impact investing means sacrificing financial return and by providing evidence and practical tools to demonstrate and harness its benefits, we aim to encourage many more pension funds to put impact at the heart of their investment thinking.
The work with industry leaders on adopting our Principles for Pensions are now managed by Pensions for Purpose as part of the Global Impact Forum.