GLOBAL - Corporate social responsibility increases shareholder value for pension funds, a new survey by Innovest Strategic Value Advisors shows.
The investment research firm’s latest Paper & Forest Products Sector Report analysed 29 global competitors in the sector, covering environmental performance, the ability to reduce environmental-related risk and capacity to develop new business opportunities through environmentally-oriented investments.
Lead author Juan Silva said: “Companies with above-average Innovest ratings, such as Holmen, Nexfor, Weyerhaeuser and Votorantim, outperformed companies with below-average ratings by approximately 43%.”
Silva added: “Among the eight companies analysed, outperformers... are characterised by having lower exposure to regulatory risk, higher capacity to manage complex shareholder relations, capacity to influence the sector through proactive business strategies and improved emerging markets standards.”
This week's edition of Professional Pensions is out now.
Nearly 60% of UK employers consider defined contribution (DC) master trusts to be the "most suitable" pension fund for their employees, according to research by Buck.
Companies which have tried to dodge their pension duties by changing their identities are being "hunted" by The Pensions Regulator (TPR) in a crackdown on non-compliance with auto-enrolment (AE).
Removing liquidity restrictions would enable DC funds to capitalise on the potentially higher and safer returns that DB schemes have benefitted from, says Patrick Marshall.