Socially Responsible Investment

The Heineken Pension Fund (HPF) invests assets of more than four billion euros. We invest this in order to achieve the best possible return with a responsible risk. At the same time, we are aware of the social consequences of our investments; our investments take into account the environment, social aspects and good corporate governance. How we do this is described in our Social Responsible Investment (SRI) policy, which is an integral part of our investment policy. Besides SRI, the abbreviation ESG is also widely used, as an acronym for Environmental, Social and Governance. Both abbreviations are being used interchangeably as synonyms.

HPF endorses the OECD Guidelines for Multinational Enterprises and the UN Guiding Principles on Business and Human Rights. In its implementation HPF relies on the OECD Considerations on Responsible Business Conduct for Institutional Investors. The OECD Guidelines have been devised to aid multinational companies to implement their business operations in a sustainable way. In doing so, HPF aims to contribute to long-term value creation.

 

SRI Investment Belief

In this respect, it is HPF’s  Investment Belief that socially responsible investment can go hand in hand with the investment objective to match the risk/return profile of the investments with the ambition to maintain the purchasing power of pensions.

 

SRI Objective

The SRI objective of the Heineken Pension Fund is to make its socially responsible investments in a controlled and transparent way. The SRI Investment Belief that socially responsible investment can go hand in hand with the investment objective to match the risk/return profile of the investments with the ambition to maintain the purchasing power of pensions, will be monitored and adjusted in the event this ambition is jeopardised (i.e. ‘controlled’). Internal and external reports will be drawn up periodically on the pursued policy,its implementation and results, so that stakeholders are kept informed (i.e.  ‘transparent’).

 

Leading Principles

HPF has formulated five Leading Principles to provide a foundation for the implementation of its socially responsible investment policy. The aforementioned SRI Objective has been included as the first and foremost Leading Principle on this list.

  1. The SRI objective of the Heineken Pension Fund is to make its socially responsible investments in a controlled and transparent way.
    The SRI Investment Belief that socially responsible investment can go hand in hand with the investment objective to match the risk/return profile of the investments with the ambition to maintain the purchasing power of pensions, will be monitored and adjusted in the event this ambition is jeopardised (i.e. ‘controlled’). Internal and external reports will be drawn up periodically on the pursued policy,its implementation and results, so that stakeholders are kept informed (i.e. ‘transparent’).
  2. The socially responsible investment policy pursued by the Heineken Pension Fund is both relevant and viable, and will be developed by means of a phased assimilation as set out in the IMVB Covenant.
  3. Inspired by the sustainability themes of Heineken NV and the Sustainable Development Goals (SDGs) of the United Nations, the Heineken Pension Fund focuses on the following three themes:
    • Climate, in particular the reduction of CO2 emissions
    • Water, especially the reduction in H2O consumption
    • Human Rights, predominantly working conditions and child labour
  4. The Heineken Pension Fund considers socially responsible investment as an integral part of the investment process and deploys the appropriate instruments therein. The Heineken Pension Fund seeks to deploy all of the following four instruments to a varying degree of intensity:
  5. The Heineken Pension Fund gives preference to Engagement over Exlcusion.

More information of the SRI policy can be found in the annual report and in the newsletters of the HPF.

Read more about the SRI policy