United Nation’s Sustainable Development Goals and responsible investing

 

Cbus Super has become the first Australian super fund to support the development of a new Sustainable Development Investments framework (SDI framework), an ambitious approach to responsible investing aligned with the United Nation's Sustainable Development Goals (SDGs).

The 17 SDGs were adopted by more than 150 world leaders in 2015 and came into force in 2016, as a global action plan to end poverty, protect the planet and ensure prosperity for all. It’s an ambitious plan with each goal having specific targets to be achieved by 2030.

While governments signed up to the goals, achieving them requires shared responsibility from the business and finance sectors.  

Leading Netherlands based pension funds APG and PGGM, with a combined €650 billion ($956.2 billion) in assets under management, have developed the SDI framework. Cbus has been asked to contribute to the framework’s evolution. The SDI framework has identified 13 SDGs, out of the 17, where institutional investors can invest to make a difference.

At Cbus we know our ability to deliver the best long-term outcomes for members depends on a sustainable global financial system.  We have been actively considering how we can invest in a way that contributes to the SDGs – either through active ownership or the allocation of long term capital - and meet our financial risk and return requirements.

 

Specific SDGs where we believe Cbus can invest to make a difference are:

 

Investing in the development of quality, reliable, sustainable and resilient infrastructure and upgrading or retro-fitting existing infrastructure has been identified as contributing to the industry, innovation and infrastructure goal.

UN logo representing the 9th belief, regarding industry, innovation and infrastructre

 

Investing to ensure access for all to adequate, safe and affordable housing and transport has been identified as contributing to the sustainable cities and communities goal.

UN logo representing the 11th belief, regarding adequate, safe and affordable housing

 

Investing in a built environment that is resilient and adaptive to climate change and investing in the transition to a low carbon economy are also likely to contribute to SDG 13 which calls for climate action.

UN logo representing the 13th belief, regarding climate change

The SDGs represent a clear turning point in responsible investing and create an opportunity for superannuation funds, like Cbus, to do our part while ensuring we deliver great retirement outcomes for members.