| Overall Rating | Gold |
|---|---|
| Overall Score | 70.79 |
| Liaison | Barbara Queen |
| Submission Date | June 20, 2022 |
California State University, Los Angeles
PA-10: Sustainable Investment
| Status | Score | Responsible Party |
|---|---|---|
|
1.91 / 3.00 |
Robert
Avalos Vice President University Advancement |
"---"
indicates that no data was submitted for this field
Part 1. Positive sustainability investment
55,222,040
US/Canadian $
Value of holdings in each of the following categories:
| Value of holdings | |
| Sustainable industries (e.g., renewable energy or sustainable forestry) | 786,876.76 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) | 521,923.32 US/Canadian $ |
| Community development financial institutions (CDFIs) or the equivalent | 0 US/Canadian $ |
| Socially responsible mutual funds with positive screens (or the equivalent) | 3,260,902.06 US/Canadian $ |
| Green revolving funds funded from the endowment | 0 US/Canadian $ |
If any of the above is greater than zero, provide:
Sustainable Industries: First Trust Global Water ETF, First Trust Global Wind Fund, and Ares Climate Solutions Clean Energy Private Equity Fund
Sustainability Investment Funds: Invesco Sustainable Future Fund, Pax Global Environmental Markets Fund and Grosvenor Diverse Managers Private Equity
Socially Responsible Funds with positive screens: Clearbridge Large Cap Growth ESG Manager.
Sustainability Investment Funds: Invesco Sustainable Future Fund, Pax Global Environmental Markets Fund and Grosvenor Diverse Managers Private Equity
Socially Responsible Funds with positive screens: Clearbridge Large Cap Growth ESG Manager.
Percentage of the institution's investment pool in positive sustainability investments:
8.28
Part 2. Investor engagement
Sustainable investment policy
Yes
None
A copy of the sustainable investment policy:
None
The sustainable investment policy:
SUSTAINABLE AND RESPONSIBLE INVESTING
The Investment and Finance Committee may consider investment managers who focus on ESG (Environmental, Social and Corporate Governance) during the investment process.
The Investment and Finance Committee may consider investment managers who focus on ESG (Environmental, Social and Corporate Governance) during the investment process.
None
Does the institution use its sustainable investment policy to select and guide investment managers?:
Yes
A brief description of how the sustainable investment policy is applied:
Reviewing entire portfolio to strategically include ESG, as appropriate with the Investment Policy Statement.
Proxy voting
Yes
None
A copy of the proxy voting guidelines or proxy record:
None
A brief description of how managers are adhering to proxy voting guidelines:
Several investment managers for the California State University of Los Angeles, participate specifically in sustainable proxy voting practices on behalf of the University.
Below is the Proxy Voting guidelines for PAX and Alliance Bernstein.
Pax Impax:
Proxy voting is a key component in the ongoing dialogue with companies in which Impax invests. We are committed to
ensuring consistent exercise of voting rights associated with shares held in investment mandates where proxy voting has
been delegated to us. Through implementation of our voting policy, we aim to enhance the long-term value of our
shareholdings and to foster corporate governance best practices.
Impax has developed a Governance Framework, as part of our ESG-analysis, which is informed by country-level
governance rules, codes and best practice and we analyse whether companies’ governance structures deviate from local
governance codes or best practise. Where companies deviate from codes and best practice, we engage with the
companies and can vote against a management resolution. We endeavour to notify a company prior to AGM, or at least
afterwards, if we have voted against or abstained on non-routine items.
Impax uses a 3rd party electronic voting platform and assesses information from service providers, including proxy
advisory service providers and ESG research providers, to inform our analysis of proxy issues. However, we ultimately
determine our voting based on our own Governance Framework and company ESG-analysis and engagement.
Source: https://impaxam.com/assets/pdfs/proxy-voting/proxy_voting_guidelines.pdf?pwm=5104
Below is the Proxy Voting Policy for Alliance Bernstein:
AB has a well-developed global in-house Proxy Policy and Process. As an investment adviser, we are shareholder advocates and have a fiduciary duty to make investment decisions that are in our clients' best interests by maximizing the value of their shares. Proxy voting is an integral part of this process, through which we support strong corporate governance structures, shareholder rights, and transparency.
We believe a company's environmental, social and governance ("ESG") practices may have a significant effect on the value of the company, and we take these factors into consideration when voting.Our proxy voting guidelines are both principles-based and rules-based. Our approach relies on a set of core beliefs and principles which is reflected throughout our policy, and, in some cases, is adapted to local market practices.
We approach our proxy voting responsibilities with the same commitment to rigorous research and engagement that we apply to all of our investment activities. Our policy is to vote all proxies in a timely manner, for the full number of shares, for all securities held in client accounts for which we have proxy voting authority, whenever it is administratively and logistically possible to do so.
Our Proxy Voting Policy is reviewed annually, and updated as necessary, by the Proxy Committee (which includes senior members from Investments, Legal & Compliance, and Operations) to ensure it captures our latest thinking and reflects new governance issues. The Committee generally meets three times per year and as necessary to address special situations. In 2014, we made a number of changes to our Proxy Voting Policy to bring it more in line with our beliefs as a signatory of the PRI. For example, generally we now vote in favor of proposals requesting increased disclosure of political contributions and lobbying expenses. In 2015 we continued this trend by adding some items relating to Environmental and Social proposals to reflect more current issues, such as proxy access proposals, proposals regarding human rights policies and reports, and climate change items.
Proxy Voting Records found at: https://www.alliancebernstein.com/abcom/Our_Firm/About_Us/Responsible-Investing.htm
https://www.clearbridge.com/content/dam/clearbridge/esg-education/pdf/esg-proxy-guidelines-2016.pdf
Below is the Proxy Voting guidelines for PAX and Alliance Bernstein.
Pax Impax:
Proxy voting is a key component in the ongoing dialogue with companies in which Impax invests. We are committed to
ensuring consistent exercise of voting rights associated with shares held in investment mandates where proxy voting has
been delegated to us. Through implementation of our voting policy, we aim to enhance the long-term value of our
shareholdings and to foster corporate governance best practices.
Impax has developed a Governance Framework, as part of our ESG-analysis, which is informed by country-level
governance rules, codes and best practice and we analyse whether companies’ governance structures deviate from local
governance codes or best practise. Where companies deviate from codes and best practice, we engage with the
companies and can vote against a management resolution. We endeavour to notify a company prior to AGM, or at least
afterwards, if we have voted against or abstained on non-routine items.
Impax uses a 3rd party electronic voting platform and assesses information from service providers, including proxy
advisory service providers and ESG research providers, to inform our analysis of proxy issues. However, we ultimately
determine our voting based on our own Governance Framework and company ESG-analysis and engagement.
Source: https://impaxam.com/assets/pdfs/proxy-voting/proxy_voting_guidelines.pdf?pwm=5104
Below is the Proxy Voting Policy for Alliance Bernstein:
AB has a well-developed global in-house Proxy Policy and Process. As an investment adviser, we are shareholder advocates and have a fiduciary duty to make investment decisions that are in our clients' best interests by maximizing the value of their shares. Proxy voting is an integral part of this process, through which we support strong corporate governance structures, shareholder rights, and transparency.
We believe a company's environmental, social and governance ("ESG") practices may have a significant effect on the value of the company, and we take these factors into consideration when voting.Our proxy voting guidelines are both principles-based and rules-based. Our approach relies on a set of core beliefs and principles which is reflected throughout our policy, and, in some cases, is adapted to local market practices.
We approach our proxy voting responsibilities with the same commitment to rigorous research and engagement that we apply to all of our investment activities. Our policy is to vote all proxies in a timely manner, for the full number of shares, for all securities held in client accounts for which we have proxy voting authority, whenever it is administratively and logistically possible to do so.
Our Proxy Voting Policy is reviewed annually, and updated as necessary, by the Proxy Committee (which includes senior members from Investments, Legal & Compliance, and Operations) to ensure it captures our latest thinking and reflects new governance issues. The Committee generally meets three times per year and as necessary to address special situations. In 2014, we made a number of changes to our Proxy Voting Policy to bring it more in line with our beliefs as a signatory of the PRI. For example, generally we now vote in favor of proposals requesting increased disclosure of political contributions and lobbying expenses. In 2015 we continued this trend by adding some items relating to Environmental and Social proposals to reflect more current issues, such as proxy access proposals, proposals regarding human rights policies and reports, and climate change items.
Proxy Voting Records found at: https://www.alliancebernstein.com/abcom/Our_Firm/About_Us/Responsible-Investing.htm
https://www.clearbridge.com/content/dam/clearbridge/esg-education/pdf/esg-proxy-guidelines-2016.pdf
Shareholder resolutions
Yes
Examples of how the institution has engaged with corporations in its portfolio about sustainability issues during the previous three years:
Investment Managers will file proxy votes and shareholder resolutions on behalf of Cal State LA. One example is the Mar 10 2022 Annual Meeting PAX Global Environmental Markets Fund made shareholder resolution proposal for a civil rights audit with Waste Management Inc. and will from time to time make shareholder resolutions for other sustainability issues within the portfolio holdings on behalf of the University.
Divestment efforts and negative screens
Yes
A brief description of the divestment effort or negative screens and how they have been implemented:
Board voted to divest from all Oil and Gas investments in January 2022
Approximate percentage of endowment that the divestment effort and/or negative screens apply to:
100
Investor networks
Yes
None
A brief description of the investor networks and/or collaborations:
The Investment Advisor for California State University of Los Angeles, Morgan Stanley, is actively involved in investor networks for responsible and sustainable investing. Morgan Stanley is an active member of the Global Impact Investing Network, CERES, BSR (Business for Social Responsibility) and the US SIF (The Forum for Sustainable & Responsible Investment). Morgan Stanley Investment Management is a signatory of the UN PRI (United Nations Principles of Responsible Investment).
Optional Fields
Additional documentation to support the submission:
---
Data source(s) and notes about the submission:
---
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.