CFSGAM committed to responsible investing

Colonial First State Global Asset Management (CFSGAM) has become the latest domestic financial services organisation to sign up for the United Nations’ Principles for Responsible Investment (UNPRI), ensuring it will employ best practices regarding corporate governance, environmental and social issues.

CFSGAM chief executive Warwick Negus believes signing the UNPRI will reinforce some of the responsible investing initiatives his organisation already has in place, such as appointing dedicated sustainability managers to develop, implement and oversee sustainability programs throughout the business.

“By signing the UNPRI, Colonial First State Global Asset Management is further embedding the practices it already has in place. By encouraging investee companies to look at their own environmental, social and governance practices, we are encouraging higher levels of transparency and responsibility from the business community,” he said.

“We recognise we can play an important role in global efforts to improve environmental, social and corporate governance practices,” Negus added.

In agreeing to abide by the global principles, CFSGAM will voluntarily take into account environmental, social and governance (ESG) issues in its investment and decision-making process, do the same in terms of its ownership policies and practices, seek appropriate disclosure regarding ESG issues from firms in which it invests, promote the principles within the industry, work towards more effective ways of implementing the principles, and report on the progress of principle implementation.

The move by CFSGAM to sign the UNPRI follows that of BT Financial Group which joined the initiative back in January this year.

Other local investment managers which are already a part of the UNPRI include Australian Ethical Investment, Portfolio Partners, and Indian Ocean Rim Asset Management.