Alexander Forbes Investments has been working with the World Wide Fund for Nature South Africa (WWF-SA) to drive an environmental sustainability agenda within the South African investment industry.
Our partnership led to the launch of an Environmental Sustainability Questionnaire, which was designed to highlight critical areas of focus from an environmental perspective, which aims to enhance the quality and content of environmental discussions between asset managers and the companies in which they invest. Critical areas covered in the questionnaire include: water consumption; supply chain management; waste management; fossil fuel, energy and emissions; and renewable forms of energy. The questionnaire aims to address the data deficit asset managers experienced by providing a pragmatic framework for the asset management industry, to assist their understanding of potential environmental risks.
Asset managers were encouraged to use the questionnaire to improve their engagements on environmental issues on their 10 largest equity holdings in their portfolios.
Following the receipt of the completed questionnaires, Alexander Forbes Investments and WWF-SA analysed all responses to highlight key environmental risks and inconsistent company data across responses for asset managers to engage further with company management on.
Combined assets under management of asset managers participating where in excess of R2.5 trilion.