GLOBAL - More than 800 institutional investors from across 45 countries have now committed to the United Nations-backed Principles for Responsible Investment (PRI), with a record 268 joining in the last year.
The PRI Initiative said the 30% increase in joiners shows an increased recognition from institutional investors that environmental, social and governance (ESG) factors are crucial for developing sustainable financial markets.
A PRI assessment survey was completed by more than half of the signatories this year and revealed that signatories conducted more than 4,000 engagements with companies to encourage improvements in corporate ESG performance.
Around 90% of signatories collaborated with other investors on ESG issues, and 95% of asset owners and 87% of managers had overall investment policies that addressed ESG issues, the survey found.
PRI Initiative executive director James Gifford said the survey was the first time many investors had systematically collected data on responsible investments from within their organisations and from outsourced managers and service providers.
"The real highlight is that 40% of respondents opted to publish their responses in full online," he added. "This represents a real and significant increase in investor transparency on responsible investment activities.
"Every large, world class listed company is now monitoring and reporting on its ESG performance, and so too are an increasing number of investors."
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