Industry superannuation fund REST has appointed Parametric and Calvert Research and Management to manage the equities allocation for its newly launched REST Sustainable Growth Option fund.
Calvert would manage the equities portion (72.5%) and would be supported by implementation specialist manager Parametric. The portfolio was tiled towards firms who were demonstrated leaders in environmental sustainability and resource efficiency, or who were socially equitable and respect human rights, or could demonstrate accountable governance and transparency.
Firms would be excluded from the fund if they were involved in in labour and human rights abuses, unethical supply chains, fossil fuels, animal cruelty, gender discrimination, tobacco, gambling, palm oil, controversial weaponry, or have a recent track record of environmental damage, or excessive executive remuneration.
The fund’s Australian and overseas share allocation would also aim to have lower carbon intensity compared to their relative benchmarks.
REST chief investment officer, Andrew Lill, said: “The introduction of this option has also allowed us to respond to the wants and needs of a number of our members, who have expressed that ethical investing is an important consideration for them when making decisions about how to best invest their super”.