1. Review Investment Beliefs
Review, and where necessary, update your investment beliefs to establish a shared understanding of the investment risks and opportunities associated with climate change.
The beliefs should set out your view on the risks associated with climate change and the energy transition, especially those posed by fossil fuel extraction companies, and the opportunities offered by climate solutions. They could articulate how DivestInvest enables the portfolio to address these risks and opportunities.
All organizations have a fiduciary duty to assess and report on the financial risks of climate change. Legal experts now argue that charitable organizations must align their investments with their mission, and DivestInvest.
Questions to consider:
- What values and beliefs are important to our organization?
- What values and beliefs are important to our beneficiaries and other close stakeholders?
- What do we know, believe and agree on about the investment risks and opportunities associated with climate change?
- If you are a charity, to what extent do investments in fossil fuels conflict with our charitable objectives?