Coinciding with the release of “Portfolios and Systemic Framework Integration: Towards a Theory and Practice”, we placed an op-ed with Responsible Investor’s ESG Magazine. In the op-ed, we argue that asset owners are making relatively little effort to relate their investment decisions to their impacts on global environmental, societal and financial systems that they operate within. To bridge the gap between portfolios and systems, asset owners will need to take three concrete steps: acknowledge the connection between investment decision-making and systems level risks and rewards;determine which systemic frameworks they can most appropriately and usefully focus on; and implement investment practices that allow them to contribute to the preservation and enhancement of these system while simultaneously achieving competitive financial returns for their portfolios.
To take the discussion further, we partnered with Responsible Investor on a “call and response” series during which we invited a group of field leaders to debate and examine how investment practices could contribute to the preservation and enhancement of ESF systems while simultaneously achieving competitive financial returns. Check out our original article as well as response pieces from Jean Rogers (SASB), Peter Ellsworth (Ceres), Michael Jantzi (Sustainalytics), Rob Lake, Carole Laible (Domini), Allen White (Tellus Institute), and Jim Hawley (TruValue Labs).