We work in partnership with groups, networks and organisations that can help us develop and adopt best practice. This helps us fulfil our commitment to make a positive impact in society and deliver the best results for our stakeholders. Either directly or through LPPI, the LPFA works with the following organisations:
THE UNITED NATIONS’ PRINCIPLES FOR RESPONSIBLE INVESTMENT (UNPRI)
The LPFA was a signatory to the UN Principles for Responsible Investment (UNPRI) from 2007 until Summer 2018. At that point, signatory status transferred to LPPI to reflect the arrangements and activities encompassed by our wider partnership. UNPRI is a global investor organisation whose signatories work to understand the investment implications of environmental, social and governance (ESG) factors and to incorporate these factors into their investment and ownership decisions. Signatories report on their activities against six principles on an annual basis. Details of LPPI’s annual disclosures will be made publicly available through Transparency Reports accessed from the UNPRI website.
THE UK STEWARDSHIP CODE
The UK Stewardship Code sets clear standards for effective stewardship by asset owners as part of promoting the long-term success of companies for the benefit of investors and the wider economy. Our delegated fund manager, LPPI, are signatories to the UK Stewardship Code 2012 and ranked Tier 1 (highest) by the Financial Reporting Council (FRC) for arrangements ensuring the effective stewardship of our investment portfolio. LPPI’s Statement of Compliance explains how asset management practices are fulfilling the Stewardship Code’s best practice principles.
We participate in the C40 Cities organisation, a network of the world’s megacities committed to addressing climate change. C40 supports cities to collaborate effectively, share knowledge and drive meaningful, measurable and sustainable action on climate change. We have contributed shared experiences and learnings with the group for a number of years. Robert Branagh (LPFA CEO) frequently presents to C40 representatives about the progress the LPFA has made in tackling climate change. His 2020 presentation, ‘The practicalities of divesting’, can be found here.
INSTITUTIONAL INVESTORS GROUP ON CLIMATE CHANGE (IIGCC)
The LPFA is a member of the IIGCC, which provides investors with a collaborative platform to encourage public policies, investment practices and corporate behaviour that address the long-term risks and opportunities associated with climate change.
LOCAL AUTHORITY PENSION FUND FORUM (LAPFF)
The LPFA is a member of LAPFF, which exists to promote the specific investment interests of local authority pension funds as asset owners. LAPFF is both an engagement partner and a forum for member funds to share insights, best practice and to identify opportunities for fruitful collaboration. Further information is available from the LAPFF Forum’s website.
CDP (FORMERLY THE CARBON DISCLOSURE PROJECT)
CDP oversees a global disclosure system which encourages companies to report in detail on how they are managing environmental impacts. Members support CDP’s work through their subscriptions and also by encouraging companies to disclose to CDP in order to increase the scope and quality of information available to investors on the management of climate change risk by investee companies.
Corporate environmental transparency is vital to tracking progress toward a sustainable future. LPFA is part of the growing ranks of over 590 investors with more than US$110 trillion in assets demonstrating commitment to driving environmental transparency by signing CDP’s 2021 disclosure request across climate change, water and forests.
OPSC (OCCUPATIONAL PENSIONS STEWARDSHIP COUNCIL)
We are inaugural members of the Occupational Pensions Stewardship Council, which aims to promote and facilitate high standards of stewardship of pension assets.