We take important steps to make sure ESG factors are considered across our investment decisions. Please refer to the Investment Guide for more details of the ESG factors we considered in the investment process. This includes both the assets we invest in and the investment managers we work with.
When we research, select, appoint and monitor investment managers, we look at how well they’ve embedded ESG considerations into their processes. We also consider how they manage existing and evolving ESG factors like climate change and workforce issues (eg carbon footprint, exposure to stranded assets, fair pay, and gender equality).
Funds we invest in
Our property investments in the GPT and QIC funds are great examples of ESG integration in action. Both funds have committed to achieving net zero carbon emissions.
The GPT Wholesale Office Fund which achieved carbon net zero for its operations at the end of 2020.
Rest is invested in the GPT Wholesale Office Fund (GWOF), which owns 18 buildings in Sydney, Melbourne and Brisbane. In December 2020, the GPT Wholesale Office Fund exceeded its carbon neutral commitment made as a signatory to the World Green Building Council Net Zero Carbon Buildings Commitment in September 2018.
Investing in building efficiency has long been a focus; since 2005, the GWOF has more than halved the energy intensity of its assets. All electricity is sourced from renewables through on-site generation and off-site procurement. The remaining emissions are controlled or eliminated through investment in carbon offset projects.
Rest is an investor in the QIC Shopping Centre Fund (QSCF), which includes investments in shopping centres across the Australian Capital Territory, New South Wales, Queensland, Victoria and Western Australia. In June 2020, QIC announced their commitment to achieving net zero carbon emissions for core Australian retail assets by 2028 (including the assets in QSCF).
This will be achieved by delivering a range of carbon-reducing initiatives, including one of Australia’s largest rooftop solar projects, the reduction of energy consumption and by making smart investments in current and emerging technologies.
A spotlight on climate change
We recognise that a company’s approach to climate change has the potential to influence long-term investment performance – and the value of your retirement savings.
Our responsible investment approach encourages investment managers and the companies we invest in to consider both the financial risks and opportunities related to climate change.