Organizations are headed for greener pastures. A survey of 62 plan sponsors and 44 investment managers worldwide indicates that most of them are incorporating environmental, social and governance issues into their investment policies.
According to the survey by Principles for Responsible Investment(PRI), a United Nations group of institutional investors, 67% of plan sponsors and 83% of investment managers have adopted a formal policy on responsible investment. And 15% of plan sponsors and 5% of investment managers expect to develop this policy this year.
James Gifford, executive director of PRI, said these results indicate a “sea change” in global investing. More and more investors, he said, understand that environmental, social and governance issues can be important to long-term results and therefore must be considered in the investment process.
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