CCF when investing its Endowment will continue to depend on its professional investment managers to use responsible criteria when selecting stocks and engaging with the management of companies that they invest in, ensuring that they uphold suitable standards on our behalf as shareholders.
In selecting and reviewing investment managers, we ensure adherence to such principles as being a key criterion. In particular we require our managers to adhere to Net Zero 2050 climate change policies at all times. But in this context we believe that the long-term interests of CCF, its fund holders, and its beneficiaries are best served by engaging in the widest possible number of investment opportunities for its Endowment. As a rule, we take the view that constructive engagement is more likely to produce change than disinvestment.
We are encouraged that the UK professional investment management industry is pushing the boundaries out on E(Environmental) S (social) G (Governance) principles. The pressures to do this will continue and will consequently lead to widespread improvements in business practices across the corporate sector, both in the United Kingdom and overseas.
There are also alternative funds available which pursue more rigid ethical investment policies such as the exclusion of companies that are fossil fuel extractors. Should a fundholder wish to use such a vehicle, we would be happy to take them down this route.