Twelve leading investment consultancies in the UK have launched a working group to improve sustainable practices across the industry.
The move follows increasing concerns within the investment industry that more urgent and constructive action is needed to tackle systemic challenges, particularly climate change.
The Investment Consultants Sustainability Working Group has unveiled six key commitments:
• Engage across a broad range of stakeholders, including asset owners, asset managers and regulators
• Seek investment outcomes that are genuinely sustainable and not treat sustainability as a tick-box exercise
• Align with and support industry bodies and initiatives
• Support clients that are too small to engage with industry initiatives
• Create a guiding set of principles that indicate good practice with practical advice
• Be a body where regulators and other stakeholders can seek input when they need a view from investment consultants.
“It is critical that we use our collective voice now to not only influence how the investment industry approaches sustainability; but importantly to provide greater clarity on what is needed and more support on what actions can be taken to make a tangible difference,” said Willis Towers Watson global head of research Luba Nikulina.
The group also plans to explore six work-streams comprising reporting, asset owners, asset managers, stewardship, regulation and innovation.
In a statement, it said: “Where there is already work under way by industry bodies, the group believes that input from its members could be even more impactful.”
The group will also look to support current initiatives and provide additional input in key areas where there may be further work to do.
The group’s members are Aon, Barnett Waddingham, Cambridge Associates, Cardano, Hymans Robertson, ISIO, LCP, Mercer, MJ Hudson Allenbridge, Redington, SEI and Willis Towers Watson.