| Overall Rating | Gold |
|---|---|
| Overall Score | 67.35 |
| Liaison | Juliana Goodlaw-Morris |
| Submission Date | Feb. 6, 2024 |
California State University, San Marcos
PA-10: Sustainable Investment
| Status | Score | Responsible Party |
|---|---|---|
|
0.50 / 3.00 |
Juliana
Goodlaw-Morris Sustainability Manager Safety, Risk and Sustainability |
"---"
indicates that no data was submitted for this field
Part 1. Positive sustainability investment
33,548,472
US/Canadian $
Value of holdings in each of the following categories:
| Value of holdings | |
| Sustainable industries (e.g., renewable energy or sustainable forestry) | 0 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) | 0 US/Canadian $ |
| Community development financial institutions (CDFIs) or the equivalent | 0 US/Canadian $ |
| Socially responsible mutual funds with positive screens (or the equivalent) | 0 US/Canadian $ |
| Green revolving funds funded from the endowment | 0 US/Canadian $ |
If any of the above is greater than zero, provide:
N/A
Percentage of the institution's investment pool in positive sustainability investments:
0
Part 2. Investor engagement
Sustainable investment policy
Yes
None
A copy of the sustainable investment policy:
---
None
The sustainable investment policy:
SOCIALLY RESPONSIBLE POLICY STATEMENT
The CSUSM Foundation’s mission is to inspire inclusive and transformational philanthropy in support of student success at California State University. Following, the Foundation’s priority is the prudent management of the endowment resources so that it may continue to provide perpetual annual support for student financial aid, faculty teaching and research, facility improvements and academic programs. The Foundation will consider all investment programs that further enhance the ability to provide this support.
It is recognized that there are exogenous considerations that may affect the investment outcomes of the endowment. Further, that positive benefits may accrue from enhancing social mobility, and improving diversity, equity, and inclusion metrics across the business landscape. The Foundation has and will continue to consider the use of Socially Responsible Investment screening and targeted-impact investment allocations if those efforts are deemed to enhance the endowment’s primary mission.
has context menu
In addition to CSUSM efforts, at the highest level of our system- the Master Investor Policy for the CSU, "the Board acknowledges the importance of understanding the potential; risks and value that environmental, social, and governance ("ESG") factors may have on CSU investments. Therefore, the Boards expects that the consideration for ESG factors shall be integrated into the investment decisions of the CSU."
The Board of Trustees of the California State University adopted a resolution urging auxiliary boards, which make corporate investments to issue statements of social responsibility and to follow those precepts in examining past and considering future investment policies. Socially responsible investing is an investment strategy that seeks to consider both financial return and how the environmental/social/governance practices of the company impact the good of society.
Furthermore, in 1978, the Board of Trustees of the California State University and Colleges urges auxiliary organization boards which make corporate investments to issue statements of social responsibility and to follow those precepts in examining past and considering future investment policies.
The CSUSM Foundation’s mission is to inspire inclusive and transformational philanthropy in support of student success at California State University. Following, the Foundation’s priority is the prudent management of the endowment resources so that it may continue to provide perpetual annual support for student financial aid, faculty teaching and research, facility improvements and academic programs. The Foundation will consider all investment programs that further enhance the ability to provide this support.
It is recognized that there are exogenous considerations that may affect the investment outcomes of the endowment. Further, that positive benefits may accrue from enhancing social mobility, and improving diversity, equity, and inclusion metrics across the business landscape. The Foundation has and will continue to consider the use of Socially Responsible Investment screening and targeted-impact investment allocations if those efforts are deemed to enhance the endowment’s primary mission.
has context menu
In addition to CSUSM efforts, at the highest level of our system- the Master Investor Policy for the CSU, "the Board acknowledges the importance of understanding the potential; risks and value that environmental, social, and governance ("ESG") factors may have on CSU investments. Therefore, the Boards expects that the consideration for ESG factors shall be integrated into the investment decisions of the CSU."
The Board of Trustees of the California State University adopted a resolution urging auxiliary boards, which make corporate investments to issue statements of social responsibility and to follow those precepts in examining past and considering future investment policies. Socially responsible investing is an investment strategy that seeks to consider both financial return and how the environmental/social/governance practices of the company impact the good of society.
Furthermore, in 1978, the Board of Trustees of the California State University and Colleges urges auxiliary organization boards which make corporate investments to issue statements of social responsibility and to follow those precepts in examining past and considering future investment policies.
None
Does the institution use its sustainable investment policy to select and guide investment managers?:
No
A brief description of how the sustainable investment policy is applied:
In May 2021, Chancellor Castro tasked the CSU's Investment Advisory Committee (IAC) to review the university's investments to ensure alignment between the university's fiduciary responsibility and its commitment to sustainability. At the conclusion of their meeting on October 6, the IAC shared its recommendations with the Chancellor, who agreed to adopt them and has tasked staff at the Chancellor's Office with implementation. The IAC's recommendations included:
-- Liquidating fossil fuel-related bonds held in SWIFT as soon as reasonable and restrict future fossil fuel investments for that same portfolio and the IDP.
Transition out of the TRP's direct energy mutual fund and into other non-fossil fuel mutual funds.
--Work as appropriate and feasible to further reduce fossil fuel exposures in the TRP, which due to legislative restrictions is limited to mutual funds.
--Allow CSU investment managers discretion to continue to invest in businesses that are successfully transitioning to sustainable green business models.
-- Liquidating fossil fuel-related bonds held in SWIFT as soon as reasonable and restrict future fossil fuel investments for that same portfolio and the IDP.
Transition out of the TRP's direct energy mutual fund and into other non-fossil fuel mutual funds.
--Work as appropriate and feasible to further reduce fossil fuel exposures in the TRP, which due to legislative restrictions is limited to mutual funds.
--Allow CSU investment managers discretion to continue to invest in businesses that are successfully transitioning to sustainable green business models.
Proxy voting
No
None
A copy of the proxy voting guidelines or proxy record:
---
None
A brief description of how managers are adhering to proxy voting guidelines:
N/A
Shareholder resolutions
No
Examples of how the institution has engaged with corporations in its portfolio about sustainability issues during the previous three years:
---
Divestment efforts and negative screens
No
A brief description of the divestment effort or negative screens and how they have been implemented:
CSU investments are centrally managed on behalf of the system and its campuses. California State University (CSU) previous Chancellor Joseph I. Castro announced that the university will not pursue any future investments in fossil fuels in the university's three investment portfolios: Systemwide Investment Fund Trust (SWIFT), Intermediate Duration Portfolio (IDP) and Total Return Portfolio (TRP).
In May 2021, Chancellor Castro tasked the CSU's Investment Advisory Committee (IAC) to review the university's investments to ensure alignment between the university's fiduciary responsibility and its commitment to sustainability. The IAC shared its recommendations with the Chancellor, who agreed to adopt them and has tasked staff at the Chancellor's Office with implementation. The IAC's recommendations included:
-- Liquidating fossil fuel-related bonds held in SWIFT as soon as reasonable and restrict future fossil fuel investments for that same portfolio and the IDP.
Transition out of the TRP's direct energy mutual fund and into other non-fossil fuel mutual funds.
--Work as appropriate and feasible to further reduce fossil fuel exposures in the TRP, which due to legislative restrictions is limited to mutual funds.
--Allow CSU investment managers discretion to continue to invest in businesses that are successfully transitioning to sustainable green business models.
For more information: https://www.calstate.edu/csu-system/news/Pages/California-State-University-Will-Not-Make-Future-Fossil-Fuel-Investments-in-University-Investment-Portfolios-and-Funds.aspx
In May 2021, Chancellor Castro tasked the CSU's Investment Advisory Committee (IAC) to review the university's investments to ensure alignment between the university's fiduciary responsibility and its commitment to sustainability. The IAC shared its recommendations with the Chancellor, who agreed to adopt them and has tasked staff at the Chancellor's Office with implementation. The IAC's recommendations included:
-- Liquidating fossil fuel-related bonds held in SWIFT as soon as reasonable and restrict future fossil fuel investments for that same portfolio and the IDP.
Transition out of the TRP's direct energy mutual fund and into other non-fossil fuel mutual funds.
--Work as appropriate and feasible to further reduce fossil fuel exposures in the TRP, which due to legislative restrictions is limited to mutual funds.
--Allow CSU investment managers discretion to continue to invest in businesses that are successfully transitioning to sustainable green business models.
For more information: https://www.calstate.edu/csu-system/news/Pages/California-State-University-Will-Not-Make-Future-Fossil-Fuel-Investments-in-University-Investment-Portfolios-and-Funds.aspx
Approximate percentage of endowment that the divestment effort and/or negative screens apply to:
---
Investor networks
Yes
None
A brief description of the investor networks and/or collaborations:
The California State University System is made up of 23 campuses across the state of California. The CSU educates 474,000 students every year and has one of the most diverse student bodies in the United States. The California State University Foundation and Board of Trustees manages $25 million of the CSU System’s $1.4 billion endowment. Each campus may have its own separate endowment management entity and specific investment policies.
The Board acknowledges the importance of understanding the potential risks and value that environmental, social, and governance (“ESG”) factors may have on CSU investments. Therefore, the Board expects that the consideration of ESG factors shall be integrated into the investment decision processes of the CSU. Several of its campuses’ investment policies are modeled based on these guidelines. Furthermore, the CSU System is a signatory to the Global Investor Statement on Climate Change, a statement that includes a broad range of commitments to address climate risks and opportunities.
https://www.intentionalendowments.org/the_california_state_university_system
The Board acknowledges the importance of understanding the potential risks and value that environmental, social, and governance (“ESG”) factors may have on CSU investments. Therefore, the Board expects that the consideration of ESG factors shall be integrated into the investment decision processes of the CSU. Several of its campuses’ investment policies are modeled based on these guidelines. Furthermore, the CSU System is a signatory to the Global Investor Statement on Climate Change, a statement that includes a broad range of commitments to address climate risks and opportunities.
https://www.intentionalendowments.org/the_california_state_university_system
Optional Fields
Additional documentation to support the submission:
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Data source(s) and notes about the submission:
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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.