Overall Rating Gold
Overall Score 80.87
Liaison Megan Butler
Submission Date Jan. 26, 2024

STARS v2.2

Macalester College
PA-10: Sustainable Investment

Status Score Responsible Party
Complete 1.84 / 4.00 Molly Papetti
Manager of Investment Operations and Reporting
Investment Office
"---" indicates that no data was submitted for this field

Part 1. Positive sustainability investment

Total value of the investment pool:
841,500,000 US/Canadian $

Value of holdings in each of the following categories:
Value of holdings
Sustainable industries (e.g., renewable energy or sustainable forestry) 16,324,356 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) 5,990,831 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:

A brief description of the companies, funds, and/or institutions referenced above:
Macalester is invested in several sustainable industries, most notably sustainable timber, agriculture, and energy. Macalester's timber investment is in sustainable forestry.The school also invests in clean technology specifically renewable energy, a component which has grown significantly over the past three years.

Percentage of the institution's investment pool in positive sustainability investments:
2.65

Part 2. Investor engagement

Sustainable investment policy 

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

None
A copy of the sustainable investment policy:
Endowment_ESG_Policy_2020-10-01_IC_Meeting.pdf

None
The sustainable investment policy:
Responsible investing integrates environmental, social and corporate
governance (ESG) factors into each phase of the investment process, including sourcing, due diligence, negotiation of terms and conditions, monitoring of manager and fund compliance and remedial action, if and when required. The members of Macalester College’s Investment Committee are adopting this policy because they believe that consideration of ESG factors are relevant in the following three primary contexts: whether ESG issues might add (or reduce) risk to an investment; whether ESG issues might pose significant reputational risks to the College; whether ESG issues make a potential investment incompatible with Macalester’s values and mission.

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:
Environmental, Social, and Governance (ESG) issues are one of many factors that are considered in investment manager selection and retention. The mission of this policy is executed through due diligence assessments, seeking ESG disclosure, participation in Ceres Investor Network and Climate Action 100+, and ESG-related risk analysis. A copy of the due diligence assessment can be found in the attached "ESG Policy" pdf.

Proxy voting 

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?:
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:
The institution has engaged indirectly in proxy voting through various investment managers and investment vehicles.

Shareholder resolutions 

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?:
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

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

A brief description of the divestment effort or negative screens and how they have been implemented:
In 2021, Macalester made a two-part divestment commitment. This decision included immediate divestment from all dedicated, publicly traded oil and gas investments, as well as the implementation of a policy which prohibits new investments which are solely composed of gas and oil assets.

Approximate percentage of endowment that the divestment effort and/or negative screens apply to:
6

Investor networks 

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

None
A brief description of the investor networks and/or collaborations:
Macalester College is a member of the following investor networks: Ceres, Climate Action 100+, and the Institutional Limited Partners Association (ILPA).

Optional Fields 

Website URL where information about the institution’s sustainable investment efforts is available:
https://www.macalester.edu/investmentoffice/wp-content/uploads/sites/138/Guidelines-for-Investor-Responsibility-Board-Approved-December-2018.pdf

Additional documentation to support the submission:
---

Data source(s) and notes about the submission:
The attached "ESG Policy" document details how Macalester engages in sustainable investment and pays attention to sustainability policy when considering investment manager selection and retention.

The total value and categorical values of the Macalester investment pool are from May 31st, 2023. Variations between this period and our submission date are possible.

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.