In the previous blog we indicated that the Heineken Pensioenfonds (HPF) takes its social responsibility into account when investing its assets (see the blog Socially Responsible Investment at the Heineken Pensioenfonds). In this blog we explain the instruments we use for this.

ESG Integration

The HPF takes enviroment, social justice and governance factors, also known as ESG factors in the abbreviation, into account throughout the investment process. This means that these factors are taken into account when selecting, monitoring and assessing asset managers and when determining which investment categories to invest in. We call this ESG integration. Inspired by the sustainability themes of HEINEKEN NV, the HPF emphasizes the sustainability themes Climate, Water and Human Rights. The HPF is currently working on a set of measuring instruments for this, so that we can also set clear goals in the future.

Engagement

We prefer to discuss their sustainability goals with companies in which we invest in order to improve their results in this area than to exclude companies or industries in advance. We call this engagement. When companies in the investment portfolio have a (potentially) negative impact, the HPF uses its influence to prevent, limit or enable recovery/accountability.

Exclusion

The HPF also excludes investments in countries and companies that do not meet basic sustainability requirements. This in any case concerns companies that are involved in controversial weapons and countries to which the United Nations or the EU have declared an arms embargo with 'asset freeze' applicable through sanctions, but it may also apply to companies where engagement has an insufficient effect.

Impact investing

You can also invest in something specifically to make a direct positive contribution to important social and sustainability issues in combination with achieving financial returns at an acceptable risk. The HPF is investigating the possibilities of impact investing on the theme of Water.

Would you like to know more about Socially Responsible Investment?

More information about Socially Responsible Investment (SRI) and our SRI policy can be found on our website.