UK - Pension fund members in the London Borough of Lewisham Superannuation Fund have been given a voice on ethical issues.
The fund said the decision to survey all of its members made it one of the first to give them such a direct influence on a responsible investment policy.
It also means the portfolio will join the Local Authority Pension Fund Forum (LAPFF), a group that uses its collective influence to promote corporate social responsibility and high standards of corporate governance.
Alex van der Velden, executive director of FairPensions which assisted the borough in its discussions, welcomed the news.
He said: “More and more pension funds are recognising that the social, environmental and ethical behaviour of the companies they invest in needs to be managed in order to avoid long term financial risks.”
Nigel Mascarenhas, group manager of capital and treasury at Lewisham Council, said the precise format of the survey was yet to be decided but would involve input from the pension fund representatives.
Mascarenhas said: “The fund has ruled out segregation and screening out of stock after considering legal advice.”
Only five out of the UK's 20 largest occupational pension schemes disclosed policies on engaging with companies on environmental and social responsibility, research by FairPensions revealed last November.
The registration deadline for the Workplace Savings & Benefits Awards 2019 is today.
This week's top stories were the DWP giving the green light to CDC and TPR granting extensions for 11 master trust authorisation applications.
Susan Martin says building strong foundations for business are the only way forward as the pensions industry is radically shaken up
The Pensions Regulator (TPR) has granted Now Pensions a six-week extension for its master trust authorisation application after the 31 March deadline, PP can reveal.