What difference does it make?
At AustralianSuper, investing responsibly means being active on Environmental, Social and Governance issues today
So you can enjoy a better tomorrow.
Environmental Social Governance matters because
Companies with better ESG management perform better.
A study of companies who scored highest on ESG momentum significantly outperformed those who scored the lowest. MSCI: Foundations of ESG Investing: How ESG affects equity valuation, risk and performance, July 2019.
As investors, we need to think ahead about the risks and issues that can impact the growth prospects of the investments we make today to make sure that the assets we invest in can deliver strong returns in decades to come.
Environmental: Climate Change
As a large asset owner, we have an important role to play in driving the low-carbon transition across the global economy.
So we’re collaborating on a global scale with a group of investors who manage US $34 trillion in assets worldwide to make an even bigger impact by engaging with the world’s largest carbon emitters to take action on reducing emissions in line with the Paris Agreement.
Climate Action 100+
< 2 degrees
Social: Modern Slavery
In 2016, there were estimated to be more than 40 million victims of slavery globally with an estimated 15,000 living in Australia in 2018.
International Labour Organization (2017)
Global Slavery Index (2018)
The Australian Modern Slavery Act was passed in 2018.
We’re engaging with companies on modern slavery risks, domestic workforce issues and labour supply chain management.
And working to improve the disclosure of workforce and supply chain data across industries.
Governance: Gender diversity on company boards
In 2016, we engaged with 17 ASX200 companies who didn’t have women on their boards. Now only one of those companies doesn’t.
We’re advocating to increase female representation on ASX200 boards to at least two female directors.
And we’re doing a lot more.
Which is why our ESG program is globally recognised.
PRI Global 2019 rating for Overarching Approach to Responsible Investment
Investment returns are not guaranteed. Past performance is not a reliable indicator of future returns.
This information may be general financial advice which doesn’t take into account your personal objectives, situation or needs. Before deciding if AustralianSuper is right for you, read the Product Disclosure Statement at australiansuper.com
AustralianSuper Pty Ltd ABN 94 006 457 987, AFSL 233788, the Trustee of AustralianSuper ABN 65 714 394 898.
ESG Management is an integral part of our Active Owner Program
Our Active Owner Program is embedded across our investment decision-making framework at three levels:
ESG and stewardship policies
Australian Asset Owner Stewardship Code
AustralianSuper is a signatory to the Australian Asset Owner Stewardship Code (the Code). Download our Stewardship Statement to see how we promote long-term value creation in the listed equities we invest in through our stewardship activities.
ESG and stewardship policy
Download our policy to find out more about our approach to ESG and stewardship
Collaborating for bigger impact
Working with industry investors and groups gives us better insights and more influence on shared ESG issues.
Active Owner Program in practice
ESG issues are important as they can impact the future value and investment performance of assets, which is important for our members.
There are many important ESG issues facing asset owners today. Here’s an overview of some of the biggest issues we’re managing through our Active Owner Program.