GLOBAL LEADER IN SUSTAINABLE INVESTMENT

We believe companies that take ESG issues seriously are more likely to enjoy sustainable financial returns over time.

“As global leaders in responsible investing, our research and modelling has consistently supported our belief that responsible investing leads to investment returns over time which support better retirement outcomes for our members,”

- Ronan McCabe, Mercer New Zealand’s Chief Investment Officer

We exclude those companies or sectors that you have said you don’t want to invest in and avoid profiting from investments that cause substantial and irreparable harm to society.

The Mercer KiwiSaver scheme investment options have a higher proportion of sustainability-themed assets and also exclude companies involved in the most carbon intensive industries, gambling, adult entertainment, tobacco, controversial weapons and alcohol related activities*.

*The underlying funds apply criteria to exclude companies which generate a significant proportion of their revenue from these sectors.

Mercer is a “manager of managers”. To identify the best opportunities to invest your money, our global research team have rated thousands of managers on their ability to invest funds and consider ESG factors in the investment process. Frameworks such as the United Nations Sustainable Development Goals help inform Mercer’s sustainable investment approach and the companies we invest in.

The investment options available to our customers invest in companies involved in renewable and alternative energy, sustainable resource management, pollution control, energy efficiency and water infrastructure.

A robust rating system is implemented for actively monitoring managers’ ESG activities (such as measuring carbon footprint). Our investment managers positively influence the companies your money is invested in by engaging with them, particularly on sustainability topics such as environmental records and carbon disclosure.

We are proud that all of our KiwiSaver funds have been externally certified by Responsible Investment Association Australasia (RIAA)¹, an organisation that operates the world’s first certification programme for responsible investment products.

Our commitment to ESG integration was externally recognised by the Principles of Responsible Investment (PRI) in their 2020 assessment report, where Mercer received an A+ for Strategy & Governance and an A rating for all asset classes.

We signed the 2015 Paris Pledge for Action and the 2014/2015 Global Investor Statement on Climate Change, both initiatives signal the investment community’s support for strong climate policies.

Mercer aims to vote on all resolutions at company meetings across all our directly managed portfolios, as voting is an effective way to publicly express views on what a company is doing and where a company may need to change. This helps to protect and enhance the long-term value of the company, and therefore our investment portfolios.

View Mercer’s Proxy Voting results.

Mercer currently supports the following key initiatives globally and in New Zealand:

• Carbon Disclosure Project (CDP)
• Principles for Responsible Investment (PRI)
• Global Impact Investing Initiative (GIIN)
• Investor Group on Climate Change (IGCC) and 
• Responsible Investment Association of Australasia (RIAA).