As a profit-for-members fund, we believe integrating environmental, social and governance (ESG) factors into our investment processes is consistent with better investment outcomes and contributes to a better future for our members.
To best protect and manage investments for the long-term, ESG impacts, risks and opportunities are considered in our investment decision-making process.
Our ESG approach
Our approach to sustainable investing is guided by our fiduciary duty to members, our core investment beliefs, and our Sustainable Investment policy. In terms of our fiduciary duty to members, we aim to maximise members' real, long-term investment returns without taking undue risk.
We use our influence to encourage companies we invest in to manage ESG issues, and we collaborate with organisations, like Principles for Responsible Investment, GRESB and Climate Action 100+, to improve transparency and ESG practices.
Our Sustainable Investment policy covers our overarching principles and practices, and our reports offer more detail on our approach.
Choose an option that’s right for you
Our Socially Conscious Balanced option is an ethical investment option that is built for the long-term.
While ESG factors are managed across all our investment options, we offer the Socially Conscious Balanced option for members who want to invest their superannuation according to a wider set of ethical criteria. This option incorporates negative screening, sustainability-orientated investments and a responsible approach to environmental, social and ethical considerations, labour standards and governance.
What are environmental, social and governance (ESG) issues?
To ensure the long-term sustainability of returns we consider environmental, social and governance factors in the research, analysis and selection of all our investments. There are many ESG factors to consider including;
| Environmental | Social | Governance | |
| Climate change and carbon emissions | Health and safety | Board independence, structure and diversity | |
| Waste and pollution | Human rights | Shareholder rights | |
| Energy efficiency | Modern slavery and child labour | Executive remuneration |
Climate change
Climate change represents one of the most significant challenges of our time, and as global investors we’re committed to doing our part towards investing in a low carbon economy and creating a more sustainable future for all Australians. We believe that a net-zero greenhouse gas emissions target by 2050 will increasingly be accepted by markets as the base case through which economies will operate. We believe aligning the Australian Retirement Trust portfolio to this pathway will help avoid unrewarded risks as businesses and economies transition to a low-carbon future, and result in better outcomes for our members.
Australian Retirement Trust’s Climate Change Policy outlines our approach to managing climate-related investment risks and opportunities in the investment portfolio. We will invest and manage the investment portfolio as per our Climate Action policy, which includes a target of net zero greenhouse gas emissions by 2050.
Frequently asked questions
What is sustainable investing?
Sustainable investing considers environmental, social and governance factors in the research, analysis and selection of our investments. We see sustainable investing as a part of our fiduciary duty to members, to better protect and manage investments for the long-term.
Read more about our approach to sustainable investing in our Sustainable Investment policy.
Prior to becoming Australian Retirement Trust, Sunsuper published Responsible Investment reports to update members on its sustainable investments and progress towards a net-zero greenhouse gas emission investment portfolio.
Does Australian Retirement Trust have an ethical investment option?
Yes. Our Socially Conscious Balanced investment option excludes companies that have a material exposure to live animal exports; the production or manufacture of alcohol; nuclear and controversial armaments; pornography; gambling, and fossil fuel exploration, mining and energy generation. A company deriving more than 5% of its total revenue from these industries constitutes material exposure. This option also incorporates sustainability-orientated investments.
How does Australian Retirement Trust investments perform?
Our investment team’s expertise and experience help us deliver solid and competitive investment returns over the long-term. View our superannuation performance for the Australian Retirement Trust Super Savings account and compare our investment options.