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NBIM Divestments Driven by Social, Governance Risks

Chris Hall

More than half of divestments by Norges Bank Investment Management (NBIM) last year were the result of unacceptable social and governance-related risks. This can escalate action to voting, and, when necessary, resort to risk-based divestment. trillion in assets under management (AUM). trillion in assets under management (AUM).

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AkademikerPension Holds Tech Firms to Account

Chris Hall

AkademikerPension recently divested from all fossil fuel companies in its portfolio. trillion in market capitalisation.

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Take Five: Breaking Point

Chris Hall

But when the largest players’ strategies are so wholly focused on dirty revenue maximisation – campaign Follow This called Chevron’s purchase of Hess a bet that Paris would fail – is there any justification for engagement over divestment? At the very least, investors should pursue a policy of engagement with consequences.

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Asset Owners and Managers to Target Renewable and Social Infrastructure

Chris Hall

The investors that were more exposed to power and gas benefited more than the peer groups that had mostly divested from conventional power generation. Operational value creation is paramount, said the report’s authors, with many investors saying the focus will shift towards more “hands-on value creation”.

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Can Venture Capital Be Optimized for Happiness?

Stanford Social Innovation

More recently it has become more widespread across the institutional investor community , as they increasingly recognize we cannot continue to focus solely on financial value creation at the expense of people and the planet. The assessment also informs portfolio decisions (i.e.

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A Missed Opportunity

Chris Hall

We pursue a strategy of engagement rather than divestment. Q – You have recently increased your exposure to several oil and gas companies. How does that align with your climate policy? A – Stewardship. Q – We observe that you’ve also voted against shareholder resolutions supporting Paris-aligned climate transition plans.

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Focus on Outcomes

Chris Hall

But Byrns sees divestment as unlikely outcome because American Century does a lot of work up front in finding companies that have well-defined improvement pathways relating to its KPIs, has consistent dialogues with the companies and has a long track record with its other strategies.