Criterion
MEDIA, JOBS & RESOURCES for the COMMON GOOD
NEWS  | 

Future for SRI Reporting – New Survey


Thursday, 26th May 2005 at 1:05 pm
Staff Reporter
Most investment managers worldwide see Socially Responsible Investing (SRI) practices becoming mainstream. But there is some disagreement on precisely how this will work, according to a new survey.

Thursday, 26th May 2005
at 1:05 pm
Staff Reporter


0 Comments


FREE SOCIAL
SECTOR NEWS

 Print
Future for SRI Reporting – New Survey
Thursday, 26th May 2005 at 1:05 pm

Most investment managers worldwide see Socially Responsible Investing (SRI) practices becoming mainstream. But there is some disagreement on precisely how this will work, according to a new survey.

The majority of investment managers worldwide expect that (SRI) practices will become a common component of mainstream investment processes within 10 years, according to a survey by Mercer Investment Consulting (Mercer IC).

More than 190 regional investment management organisations responded to Mercer’s 2005 global Fearless Forecast survey. The surveyed organisations cover a wide spectrum of professional investment management firms, from small regional boutique equity specialists to larger national firms.

As part of that survey, managers were asked for their views on whether certain SRI practices would become a common component of mainstream investment processes in the near and long terms. In total, 195 managers responded to the SRI questions; these respondents manage in excess of US$30.5 trillion in assets.

Managers in Asia, Australia, Canada, Pan-Europe, and the US were asked for their predictions on whether the following SRI practices would become common components of mainstream investment processes: active ownership (shareholder engagement/activism, proxy voting); positive or negative screening for social and/or environmental factors; and the integration of social and/or environmental corporate performance indicators.

Findings show that, on average, investment managers are becoming more convinced that the adoption of SRI practices and strategies will become commonplace. Some 89% predict that active ownership will be a mainstream practice within 10 years; 73% predict that the incorporation of social or environmental corporate performance indicators will become mainstream within 10 years; and 65% predict that positive or negative screening will be mainstream within 10 years.

Tim Gardener, global leader of Mercer IC says that in the past, it was just a small group of organisations that were interested in SRI, but there are a growing number of mainstream investors who believe these issues can have an impact on long-term investment performance.

On a regional level, the managers’ responses varied widely. US managers were the most skeptical, with more than 60% saying they believe that screening and the integration of social and/or environmental factors will never become a mainstream investment practice.

Among Asian and Australian managers, on the other hand, more than 8 in 10 (85%) predict that all three SRI-related practices will become mainstream within 10 years.

However more specifically, Australian investors do not see any momentum for change for another 3-5 years.

European managers predict the most short-term activity will be seen in relation to the integration of social and/or environmental criteria, and positive and negative screening.

Full survey findings are available on Mercer’s website at www.mercerIC.com.




Got a story to share?

Got a news tip or article idea for Pro Bono News? Or perhaps you would like to write an article and join a growing community of sector leaders sharing their thoughts and analysis with Pro Bono News readers?

Get in touch at news@probonoaustralia.com.au

Tags : Survey,

 Print

Get more stories like this

FREE SOCIAL
SECTOR NEWS

Write a Reply or Comment

Your email address will not be published. Required fields are marked *



YOU MAY ALSO LIKE

Volunteering Australia Calls for Survey Responses

Paul Carter

Thursday, 19th July 2018 at 1:27 pm

More Than One-Third of Australians Experiencing Food Insecurity

Luke Michael

Monday, 9th July 2018 at 5:12 pm

Impact Investing Survey Underway

Contributor

Tuesday, 10th October 2017 at 8:43 am

Civil Voices Survey Takes the Temperature of Not for Profit Advocacy

Wendy Williams

Thursday, 17th August 2017 at 8:37 am

POPULAR

Family Faces ‘Devastating’ Loss of Support for Son with Disability

Luke Michael

Tuesday, 11th September 2018 at 8:37 am

$50 million Up For Grabs to Help NFPs Drive Change

Maggie Coggan

Monday, 17th September 2018 at 4:21 pm

Social Economy is the Workforce of the Future

Luke Michael

Thursday, 6th September 2018 at 8:21 am

Australia’s Most Innovative NFPs Highlighted

Luke Michael

Thursday, 13th September 2018 at 8:41 am

Criterion
pba inverse logo
Subscribe Twitter Facebook

Get the social sector's most essential news coverage. Delivered free to your inbox every Tuesday and Thursday morning.

You have Successfully Subscribed!