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Industry Voice: Back to Reality Part I - Sustainable Investing


Industry Voice: Back to Reality Part I - Sustainable Investing
The Important Role of Active Management in Defined Contribution Schemes
Kim Crabtree @ MFS Investment Management
26 April 2021
In Brief
In the first of this 3-part series, we challenge common misconceptions that have led to the increased prevalence of passive investments in defined contribution (DC) schemes.
To help trustees and corporate advisors weigh the pros and cons of active management, we perform a reality check on each misconception, referencing fiduciary principles and market and member survey data.
This installment addresses the misconception that sustainability is incompatible with superior investment returns.
 
Misconception: Sustainability is incompatible with superior investment returns. ....

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U.K. trustees told to comply with climate-change rules or face enforcement action


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Trustees that fail to comply with required disclosures on climate change will face enforcement action, the Pensions Regulator has warned.
As part of its new climate-change strategy, published Wednesday, the regulator called on retirement plan trustees to act now to protect savings from climate risk.
In recent times we ve faced a crisis caused by a pandemic, CEO Charles Counsell said in an introduction to the strategy.
Likening climate change to the challenges posed by the coronavirus outbreak, Mr. Counsell said, Climate change could be no, it will be more catastrophic to our way of life than the pandemic if left unchecked. There is no vaccine, it is much more complex than that. It is equally urgent. ....

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