Asset Pools : Institutional investment
- Align the design of pension and other investment systems with sustainability. Clarify fiduciary law and guidance and requirements for the skills and capabilities of fiduciaries. Build consumer literacy and require that funds report on sustainable performance and policies.
- Resetting market and public incentive structures would help stimulate demand for sustainable investment products. Market codes can encourage asset owners to align incentives down the chain, notably for investment consultants, asset managers and investment analysts. Policymakers could review the effective use of fiscal incentives for saving to drive long-term finance for the real economy.
Inquiry Publications
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The Financial System We Need: From Momentum to Transformation
Date: 29-Sep-2016Download the policy summary: [AR] [CH] [EN] [ES] [FR] [PT] [RU] Download the individual chapters: Chapter 1: Mapping the momentum | Chapter 2: Harnessing financial technology for sustainable development | Chapter 3: Measuring performance | Chapter 4: Steps towards transformation Our follow-up annual report reveals a doubling in policy actions over the past five years to align the global financial system with sustainable
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Making Waves
Date: 17-Apr-2018The Inquiry into the Design of a Sustainable Financial System was initiated by the United Nations Environment Programme to advance options to align the financial system with sustainable development. ‘Making Waves: Aligning the Financial System with Sustainable Development’ is its final, global report. This report reviews the Inquiry’s core analysis, summarizes progress made in aligning
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A Review of International Financial Standards as They Relate to Sustainable Development
Date: 22-Feb-2017The report, a companion to the second edition of “The Financial System We Need”, examines how the international financial standards currently relate to the goals of sustainable development and explores opportunities for better alignment as a way to promote greater stability, resilience and fairness to the financial system. The key messages are: Financial standards have
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The Experience of Governance Innovations in South Africa
Date: 17-Jun-2016This paper explores whether the extent to which Regulation 28, CRISA and JSE Integrated Reporting Standards (referred to as governance policy innovations) have influenced the level of investment that integrates Environmental, Social and Governance (ESG) in its decision making process. It finds that while governance innovations have increased actors’ awareness about interrelationship between ESG factors and financial performance it
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Input from the Netherlands to the UNEP Inquiry
Date: 20-Oct-2015This note summarizes the input provided to the Inquiry at a meeting with representatives from the Dutch financial sector ranging from public policymakers and regulators to the largest banks, asset managers, insurance companies and sustainable frontrunners. The policy recommendations include best practices, financial market policy and regulatory innovations to help bring about the green economy
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France Country Report
Date: 23-Nov-2015This report highlights experience from France in improving the integration of sustainability issues into financial decision-making. A key area of focus has been on improving information and market analysis. Environmental, social and governance (ESG) reporting requirements were first introduced in the New Economics Regulation law of 2001, and strengthened by the 2010 ‘Grenelle II’ law and 2015 the
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Lenders and Investors Environmental Liability
Date: 19-Apr-2016This working paper presents an overview of Lender Environmental Liability (LEL) and Investor Environmental Liability (IEL) regimes and issues. Environmental harm and degradation is often irreparable. Therefore, our assumption is that precaution is the main objective of any international and domestic environmental legal regime. The paper explores the conditions under which LEL/IEL can be effective
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The Role of Policy-Driven Institutions
Date: 24-Aug-2015A variety of interventions can be used to develop national financial systems and provide local access to affordable, long-term finance. This paper considers four key categories of actions: voluntary action; priority sector lending; regulatory or financial incentives as well as direct lending by policy-driven financial institutions. It particularly focuses on the role of policy-driven institutions such
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Sustainable Infrastructure and Finance
Date: 13-Jun-2016Infrastructure is often referred to as the backbone of the global economy and plays a fundamental role in societies by enhancing the quality of life and increasing productivity. In addition to its effects on society and the economy, infrastructure can have significant impacts on the environment, depending on the choice of infrastructure. Approximately 75% of
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Indonesia Country Report
Date: 30-Apr-2015Placing Indonesia’s economy onto a green and sustainable development pathway, as envisaged in the National Long Term Development Plan, will require a large mobilization of investment. Estimates of the annual investment needed are in the order of US$300‐530 billion, with a large portion of this investment needed in critical infrastructure, as well as environmentally sensitive
Further Readings
- Mapping Channels To Mobilise Institutional Investment In Sustainable Energy
OECD (2014). Paris. 9th February 2015.
- The Role Of Institutional Investors in Financing Clean Energy
Kaminker, C., Stewart, F. (2012). OECD Working Papers of Finance, Insurance and Private Pensions No 23. Paris: OECD Publishing.
- Institutional Investors and Green Infrastructure Investments: Selected Case Studies
Kaminker, C., Kawanishi, O., Stewart, S., Caldecott, B. and Howarth, N. (2013). Paris: OECD Publishing.
- Global Investor Survey on Climate Change. Annual Report on Actions and Progress 2011
Institutional Investors Group on Climate Change/ Investor Network on Climate Risk/ Investor Group on Climate Change (2011).
- 2012 Global Sustainable Investment Review
Global Sustainable Investment Alliance (2013).
- High-Level Principles of Long-Term Investment Financing by Institutional Investors
G20/OECD (2013). Paris: OECD Publishing.
- Policy Note on Pension Fund Financing for Green Infrastructure and Initiatives
G20/OECD (2012).
- Connecting the Dots Between Climate Change Goals, Portfolio Allocation and Financial Regulation
Dupré, S. and Chenet, H. (2012). Paris: 2 Degrees Investing.
- Promoting Long-Term Investment by Institutional Investors: Selected Issues and Policies
Della croce, R., Stewart, F. and Yermo, J. (2011). OECD Journal, Financial Market Trends Volume 2011 – Issue 1. Paris: OECD Publishing.
- Focusing Capital on the Long Term
Barton, D. and M. Wiseman (2013). London: McKinsey.