The UK’s Financial Conduct Authority last month said it saw a “clear rationale” for regulatory oversight of certain ESG data and rating providers. “We stress that market participants and consumers must be able to trust green and other ESG-labelled financial instruments and products,” said the FCA. Jo Cumbo FT
In other words – what we read should be the uncorrupted truth. We should be able to draw our own conclusions on how our investment are working to prevent climate catastrophe and we should be able to trust the organs that amplify the efforts of others to make this happen.
We can trust the FT to get its correspondents to overseas conferences in the most carbon neutral way
On my way from London to Paris for the 12th annual #World #Pensions & Investments Forum. The focus this year is on #ESG and private markets. Will be live tweeting sessions from 0900 tomorrow, July 6th. pic.twitter.com/03HSO3AlQf
— Josephine Cumbo (@JosephineCumbo) July 5, 2022
Perhaps Jo should have stuck to trains this weekend!
EasyJet flight was delayed on the runway at Luton and the captain allowed passengers to come on deck. Couldn’t resist attempt to unleash the inner pilot. pic.twitter.com/m9VXWWbUun
— Josephine Cumbo (@JosephineCumbo) July 10, 2022
Let’s hope our globe-trotting pensions correspondent sticks to more carbon-friendly means of transport in future!
Nor is a passive acceptance of poor market practice – good enough.
Let’s hope too that the lessons we learn from Australian investors are not about passively relying on the profits from the extraction of fossil fuels, but that positive change can be achieved through stewardship.
Australian #pension funds will keep relying on miners for returns, says ex-minister https://t.co/jfNVt3kNFk
— Josephine Cumbo (@JosephineCumbo) July 10, 2022
The FCA are ahead of the game here. The information fund managers get from the companies they invest in has to be corruption free. Managers need to know what is happening and as importantly – what is changing.
Nick Sherry took a robust stance on investing in mining stocks last week.
“Mining companies export gas and coal to countries that are still growing their use of these natural resources,” said Sherry, chair of TWU Super — a superannuation fund for the transport sector with A$6.4bn (US$4.4bn) of assets.
“Those countries will continue to rely on those exports for some time to come.
“So [Australian mining companies] are still seen as an appropriate place [by super funds] to invest, subject to an ESG oversight on how the businesses intend to adjust to a net carbon world.”
Meanwhile Bangladesh, a country with one of the lowest carbon-footprints in the world has suffered dire flooding over the past two months as reported by Unicef
In Pakistan, soaring suicide rates are attributed to the impact of an agrarian economy switching to a coal-dependent industrial society.
Fan as I am of Jo , Nick and the Australian pension system, I urge them to watch their carbon footstep! The Karma Police are watching !
