As the private sector increasingly acknowledges that the world will not achieve the United Nations (UN) Paris Agreement of capping global warming at 1.5°C if it waits for governments to act, the urgency of adopting responsible investment strategies is mounting. The potential impact of investor action on achieving the greenhouse gas (GHG) emission reduction targets by 2050 via responsible investments will be discussed during an open online event hosted by the University of Cape Town (UCT) on Wednesday, 19 August.
Encouraging investors to drive positive change in companies and their broader investments by focusing on the long-term impact that they have on the environment and society, responsible investment is a strategy that integrates environmental, social and governance (ESG) factors into investment analysis and decisions.
The strategy, said chief executive of The Principles for Responsible Investment (PRI), Fiona Reynolds, is an opportunity to “harness the power of the finance sector to really incorporate environmental, social and government factors”. The PRI, an international investor partnership with the UN Environment Programme Finance Initiative and UN Global Compact, encourages investors to use responsible investment to enhance returns and better manage risks.
Environmental factors that have a bearing on responsible investment strategies include the impact that organisations have on climate change through GHG emissions, waste management and energy efficiency, among others. Read more…
