We recognise the importance of developing sustainable and socially responsible practices and policies that benefit HESTA members and help reduce environmental impact.
Our commitment to sustainability is evident through our:
Sustainable investments
Our goal is to maximise HESTA members’ investment returns while minimising risk.
We believe that environmental, social and governance (ESG) considerations are key to unlocking an investment’s value. These factors help us to understand investment risks and opportunities.
We are is a signatory to the United Nations Principles for Responsible Investment (UNPRI). It’s the central framework we use to assess ESG and investments. The HESTA ESG Policy explains it in detail. Read more...
We helped to form ESG Research Australia (ESG RA). This body supports analysts and investment managers to research how ESG issues affect investments. Read more...
We also helped found the Investor Group on Climate Change (IGCC). This organisation works with Australian governments on climate change policy, and takes part in the Australian Carbon Disclosure Project. Further information on the IGCC can be found at igcc.org.au.
And we've created Eco Pool. This member investment option focuses on assets that show best-practice environmental and sustainability performance.
Corporate governance and active ownership
We believe that good corporate governance is critical to the value of HESTA's investments and in achieving our investment objective. We think of this in terms of ‘active ownership', meaning that we are active in supporting good corporate governance in companies and other assets, and seeking to achieve change where we think that governance is poor or less than ideal.
Such matters where we will be active include:
- the independence of the board, board committees, executive remuneration
- the voting rights of shareholders
- appointment of auditors
- conflicts of interest
- take-overs and acquisitions.
We perform our active ownership role on behalf of HESTA members in two main ways:
- share voting; and
- engagement with companies, regulators and governments.
Read more about our Share voting and company engagement.
Our approach to corporate governance and active ownership is contained in our Active Ownership Policy.
Business practices
Our passion for sustainability influences our internal operations.
The HESTA Sustainability Coordinator and Committee work to make HESTA as sustainable as possible:
- we offer all members the choice of electronic or printed statements and brochures
- the printers of our brochures use environmental management systems that are certified to ISO 14001 standard. They’re also Eco Warranty certified
- our waste management practices minimise the amount of waste we send to landfill. They also ensure we recycle as much as possible
- our Carbon Management Strategy aims to continually reduce HESTA's carbon footprint.
Corporate social responsibility program
All our employees:
- have access to, and are encouraged to take, corporate social responsibility leave to contribute to local community groups or a broader state based or national organisation
- have access to Blood Donors Leave
- are encouraged to be involved by either volunteering or participating in the annual Mother’s Day Classic
- are able to make pre-tax contributions on a regular basis to a charity of their choice.