On Monday, June 5, the opening of the SRI Week was held in Madrid in the auditorium of the Telefónica Building, which was filled. Jaime Silos, President of the Association, opened the conference referring to the announcement of Donald Trump regarding the exit of the United States from the Paris Agreement, and stressed that this fact will not derail sustainable investment.
Jaime declared that the US president’s ability to act is limited due to the check and balances system of the American democracy and due to the disagreement of the main states and business leaders, such as GE, Tesla and Walt Disney, with the decision of the president.
First presentation of the SRI Week
At the inauguration event, the Deputy Director of Insurance and Pension Funds, Mr. José Antonio de Paz, presented the latest results of the ESG reporting in Occupational Pension Plans.
A round-table discussion was then organized with representatives of different management entities who used the ESG data sheet for occupational pension plans (elaborated by Spainsif), a representative of the labor unions and a pension consultant.
SRI results in Pension Funds in 2016
The ESG data sheet has had a very positive impact on the five managers of occupational pension plans who have voluntarily used it to report their non-financial information statistics in 2016. These managers represent a 43.10% of the total assets invested in Occupational Pension Funds (more than € 35 billion). This is the second full year in which it has been possible to collect information on the ESG criteria of Occupational Pension Funds, since the entry into force of the Real Decreto 681/2014, de 1 de agosto, which amended the Regulation of pension plans and funds, including the obligation of Occupational Pension Funds to facilitate, among other things, this type of information.
It is worth remembering how the sheet works, which, as a checklist, allows managers to provide information about exclusion, integration or best-in-class processes, as well as the application of ethical, social, environmental and governance criteria in their investments.
Facing the future, the presenters spoke about the possibility of incorporating measurement indicators that included a weighting for each of the criteria, about expanding their participation in sustainable and responsible investment networks or about implementing measures to integrate the ESG analysis into the traditional financial analysis.