Principles for Responsible Investment Home Page

Title:

Resource Type:

web links

Producers or distributor

United Nations

Author / Producer Type:

Agency, regulator or other governmental or inter-governmental body

Web link for product information:

http://www.unpri.org/

EUGRIS Keyword(s):

Contaminated land-->Cost benefit analysis-->Cost benefit analysis overview
Contaminated land-->Cost benefit analysis-->Tools
Contaminated land-->Wider impacts / sustainability-->Assessment tools
Contaminated land-->Wider impacts / sustainability-->Economic
Contaminated land-->Wider impacts / sustainability-->Environmental
Contaminated land-->Wider impacts / sustainability-->Social
Contaminated land-->Wider impacts / sustainability-->Sustainable / green remediation

Short description:

There is a growing view among investment professionals that environmental, social and corporate governance (ESG) issues can affect the performance of investment portfolios. Investors fulfilling their fiduciary (or equivalent) duty therefore need to give appropriate consideration to these issues, but to date have lacked a framework for doing so. The Principles for Responsible Investment provide this framework. The Principles are voluntary and aspirational. They are not prescriptive, but instead provide a menu of possible actions for incorporating ESG issues into mainstream investment decision-making and ownership practices. Signing represents a very real commitment to the Principles, demonstrating support from the top-level leadership of the whole investment business. And applying the Principles should not only lead to better long-term financial returns but also a closer alignment between the objectives of institutional investors and those of society at large. Developing the Principles for Responsible Investment In early 2005 the United Nations Secretary-General invited a group of the world’s largest institutional investors to join a process to develop the Principles for Responsible Investment (PRI). Individuals representing 20 institutional investors from 12 countries agreed to participate in the Investor Group. The Group accepted ownership of the Principles, and had the freedom to develop them as they saw fit. The Group was supported by a 70-person multi-stakeholder group of experts from the investment industry, intergovernmental and governmental organizations, civil society and academia. The process, conducted between April 2005 and January 2006 involved a total of five days of face-to-face deliberations by the investors and four days by the experts, with hundreds of hours of follow-up activity. The Principles for Responsible Investment emerged as a result of these meetings. The process was coordinated by the United Nations Environment Programme Finance Initiative (UNEP FI) and the UN Global Compact. The PRI reflects the core values of the group of large investors whose investment horizon is generally long, and whose portfolios are often highly diversified. However, the Principles are open to all institutional investors, investment managers and professional service partners to support. Following the launch of the Principles, Phase 2 of the process will promote adoption of the Principles by additional investors, provide comprehensive resources to assist investors in implementing the Principles and actions, and facilitate collaboration among signatories.

Submitted By:

Professor Paul Bardos WhoDoesWhat? Last update: 29/09/2007