Overall Rating Silver
Overall Score 63.01
Liaison Holli Fajack
Submission Date May 9, 2024

STARS v2.2

California State University, Long Beach
PA-10: Sustainable Investment

Status Score Responsible Party
Complete 1.28 / 3.00 Christopher Reese
Assoc Vice Pres, Advancement Operations/Gov Rel
University Relations & Development (URD)
"---" indicates that no data was submitted for this field

Total value of the investment pool:
153,784,720 US/Canadian $

Value of holdings in each of the following categories:
Value of holdings
Sustainable industries (e.g., renewable energy or sustainable forestry) 799,000 US/Canadian $
Businesses selected for exemplary sustainability performance (e.g., using criteria specified in a sustainable investment policy) 0 US/Canadian $
Sustainability investment funds (e.g., a renewable energy or impact investment fund) 10,000 US/Canadian $
Community development financial institutions (CDFIs) or the equivalent 0 US/Canadian $
Socially responsible mutual funds with positive screens (or the equivalent) 7,738,388 US/Canadian $
Green revolving funds funded from the endowment 0 US/Canadian $

A brief description of the companies, funds, and/or institutions referenced above:

Research Foundation Sustainable Equity Mutual Fund- Investment strategy invests principally in common stocks of large and medium capitalization U.S. companies. Pursues a “sustainable” investment strategy that takes into account environmental, social, and governance (“ESG”) considerations. The Fund's investment strategy seeks to tilt the portfolio toward companies that are expected to contribute to, and benefit from, a transition to a low carbon emission-producing economy and away from companies with the greatest exposure to potential negative impacts of such a transition. Fund highlights Pursue long-term capital growth while supporting companies that are making a positive impact on the environment and society. Combines security selection of active ‘sustainable-friendly’ managers with a rules-based quantitative ESG overlay. Seeks to invest in stocks of higher quality, low volatility companies with defensive positioning relative to the U.S. equity market. Additional contributing Businesses - Adobe, Cisco, Microsoft, Nvidia 49er Foundation Through an Outside Chief Investment Officer, the CSULB 49er Foundation manages an ESG/SRI endowment fund that utilizes the Morgan Stanley “Investing with Impact Framework” across public and private markets, differentiated by approach to shareholder engagement. The framework includes: • RESTRICTION SCREENING: Manage exposures by intentionally avoiding investments that generate revenue from objectionable activities, sectors, or geographies. • ENVIRONMENTAL, SOCIAL, AND GOVERNANCE (ESG) INTEGRATION: Proactively consider ESG criteria alongside financial analysis to identify opportunities and risks during the investment process. • THEMATIC EXPOSURE: Focus on themes and sectors dedicated to solving sustainability-related domestic and global challenges. • IMPACT INVESTING: Allocate to funds focused on private enterprises that are structured to deliver specific positive social and/or environmental impacts. Morgan Stanley classifies assets based on general characteristics such as income generation, underlying capital structure, or exposure to certain market sectors. As many assets contain characteristics of more than one asset class, allocations may be under or over-inclusive. These classifications do not constitute a recommendation and may differ from the classification of instruments for regulatory or tax purposes. In addition, the “Other” asset class contains securities that are not included in the various asset class classifications. This can include but is not limited to, non-traditional investments such as some Equity Unit Trusts, Index Options, and Structured Investments issued outside of Morgan Stanley. Additionally, investments for which we are unable to procure market data to properly classify them will appear in the “Other” category. Currently, the CSULB 49er Foundation ESG/SRI screened investments include: Intentionality: • Boston Partners LC Value ($9,389,786.32) • Columbia Dividend Income ($9,396,720.51) • Earnest Prnts Small/Mid Core ($5,238,789.06) • JP Morgan Large Cap Growth ($3,267,624.81) • Neuberger SC Intrinsic Value ($1,656,374.98) • T. Rowe Price Intl Eqty ADR ($10,019,829.65) • TOTAL: $38,969,125.33 Overlay Restriction Screening: • Boston Common International FD ($381,548.41) • Boston Common Large Cap Value ($579,743.29) • Breckinridge Int Sust Gov Cred ($310,725.65) • Brown Advisory LC Sustain Grth ($3,598,238.66) • CCM Community Impact Bond Fund ($201,222.09) • iShares ESG Aware MSCI EAFE ($380,752.23) • iShares ESG Aware MSCI EM ($280,504.22) • iShares KLD 400 Social ($584,476.48) • Martin Currie Emerging Markets ($222,291.78) • Neuberger Berman Sustain Eq ($537,489.11) • PIMCO Total Return III Fd ($225,150.22) • TIAA-CREF Core Impact Bd Fd ($435,246.09) • TOTAL: $7,738,388.23 Associated Students, Inc ESG (environmental, social, governance) performance screen. This screen was defined as “companies that have an ESG Risk Rating percentile rank of > 75% based on their subindustry. Each company is scored on a broad range of environmental, social, and governance indicators, some of which are assessed for the entire research universe and others that are industry-specific. The percentile rank evaluates each company’s ESG risk rating relative to their subindustry defined by Sustainalytics’ industry classification system. Percentiles are ranked from 0-100, with 100 being the worst. This screen removes the worst-performing 25% of companies in their subindustry from an ESG risk perspective. This system modifies internationally accepted industry classification standards to ensure meaningful comparability.” $2,275,000 of the Associated Students’ equity investments is in companies that rank low in the ESG risk perspective and thus show higher sustainability performance.

Percentage of the institution's investment pool in positive sustainability investments:

Does the institution have a publicly available sustainable investment policy?:

A copy of the sustainable investment policy:
The sustainable investment policy:

https://www.csulb.edu/sites/default/files/groups/49er-foundation/socially_responsible_investment_19.pdf https://asicsulb.org/corporate/documents/discover/policies/policy-on-investment.pdf

Does the institution use its sustainable investment policy to select and guide investment managers?:

A brief description of how the sustainable investment policy is applied:

49er Foundation The CSULB 49er Foundation utilized Morgan Stanley Graystone Consulting as an Outside Chief Investment Officer. The Sustainable Investment Portfolio is managed by MS Graystone according to the Socially Responsible Investment Policy. Research Foundation The sustainable investment policy is applied through the use of outsourced investment managers whose policy is to incorporate responsible investing in their investment manager evaluation process and portfolio management. ASI In line with its desire to invest in companies and institutions that “protect human health and the environment and promote sustainable development,” the ASI Board of Directors has adopted a resolution calling for the corporation to divest from fossil fuel companies, as defined in this policy (Section 7.1). Most recently, the corporation partnered with Parametric Portfolio Associates to ensure multiple levels of investment screening are utilized to promote our SEG objectives.

Has the institution engaged in proxy voting, either by its CIR or other committee or through the use of guidelines, to promote sustainability during the previous three years?:

A copy of the proxy voting guidelines or proxy record:

A brief description of how managers are adhering to proxy voting guidelines:


Has the institution filed or co-filed one or more shareholder resolutions that address sustainability or submitted one or more letters about social or environmental responsibility to a company in which it holds investments during the previous three years?:

Examples of how the institution has engaged with corporations in its portfolio about sustainability issues during the previous three years:


Does the institution participate in a public divestment effort and/or have a publicly available investment policy with negative screens?:

A brief description of the divestment effort or negative screens and how they have been implemented:

49er Foundation MS Graystone provides direction to the 49er Foundation Finance & Investment Committee on fund managers to be removed from a portfolio based on Morgan Stanley's negative screening. ASI ASI investment managers are hereby instructed to stop any new investments in fossil fuel companies. 2) That, for any ASI investments in commingled funds that are found to include fossil fuel companies, ASI investment managers will contact the fund managers and request that the fossil fuel companies be removed from the funds. 3) ASI investment managers will take appropriate steps to ensure that by January 1, 2019 none of ASI’s directly held or commingled assets include holdings in fossil fuel public equities and corporate bonds as determined by the Carbon Tracker list; and 4) ASI investment managers shall pursue investment opportunities that would mitigate or limit the effects of burning fossil fuels, such as renewable energy, clean technology, and sustainable communities, with an emphasis on investments that would support local projects and local jobs.

Approximate percentage of endowment that the divestment effort and/or negative screens apply to:

Does the institution engage in policy advocacy by participating in investor networks and/or engage in inter-organizational collaborations to share best practices?:

A brief description of the investor networks and/or collaborations:

49er Foundation Via our Outside Chief Investment Officer, MS Graystone, we are provided annual updates based on NACUBO best practices. We are also members of the Intentional Endowment Network. Research Foundation Use of outsourced investment managers and advisors as well as consultation by the CSU system.

Website URL where information about the institution’s sustainable investment efforts is available:
Additional documentation to support the submission:

Data source(s) and notes about the submission:

Reporting period: 2022-23 Data providers: Chris Reese, Associate, Advancement Operations and Government Relations Miles Nevin, Associate Vice President and Executive Director, ASI Idris Aydin, Finance Director, ASI

The total investment pool includes the university's endowment as well as other non-endowed funds from ASI and 49er Foundation. This is the reason that the numbers reported in this section are higher than the value of the endowment listed in PRE section. 

The information presented here is self-reported. While AASHE staff review portions of all STARS reports and institutions are welcome to seek additional forms of review, the data in STARS reports are not verified by AASHE. If you believe any of this information is erroneous or inconsistent with credit criteria, please review the process for inquiring about the information reported by an institution or simply email your inquiry to stars@aashe.org.