Overall Rating Gold - expired
Overall Score 70.52
Liaison Ruairi O'Mahony
Submission Date Aug. 10, 2016
Executive Letter Download

STARS v2.1

University of Massachusetts Lowell
PA-9: Sustainable Investment

Status Score Responsible Party
Complete 1.34 / 4.00 Christopher Youlden
Senior Financial Analyst
University of Massachusetts Foundation, Inc.
"---" indicates that no data was submitted for this field

Does the institution wish to pursue Option 1 (positive sustainability investment)?:

Total value of the investment pool:
770,000,000 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) 1,087,021 US/Canadian $
Green revolving loan funds that are funded from the endowment 0 US/Canadian $

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

The institutes’ social choice fund invests solely in the Neuberger Berman Socially Responsive Equity Fund (NBSLX). NBSLX is an equity mutual fund which incorporates ESG criteria into its investment selection and monitoring process to identify companies which are leaders in sustainable growth and profitability. ESG Criteria used by the fund managers include the following: Environmental Impact, Workplace Policies, Community Impact, Sustainable Supply Chains, Product Integrity and Governance & Disclosure.

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

Does the institution wish to pursue Option 2 (investor engagement)?:

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

A copy of the sustainable investment policy:

The sustainable investment policy:

The Foundation’s Investment Policy Statement has been amended to include ESG criteria as part of the Investment Committee’s investment selection and monitoring process. In addition, the endowment is prohibited from directly investing in fossil fuels.

Environmental, Social and Governance – As a long-term investor, the Foundation is concerned with environmental, social and governance (“ESG”) issues which may affect the performance of its investments and are inconsistent with the University’s mission and commitment to sustainability. As such, the Committee will consider ESG factors as part of its investment selection and monitoring process. The extent of this consideration will be determined by the Committee and may include evaluating external investment managers’ consideration of ESG factors as part of their investment process and encouraging investment managers to enhance their ESG assessment capabilities.

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

A brief description of how the policy is applied, including recent examples:

Yes, ESG considerations are part of the Investment Committee’s investment selection and monitoring process. (see above)

The Investment Committee recently selected a new equity manager, which was allocated a portion of the endowment portfolio. As part of the Committee’s selection process, it inquired with potential managers regarding any ESG criteria that they use as part of their investment process. The manager that was ultimately selected had integrated robust ESG factors into their investment and risk-management processes firm-wide, in addition to being a member of the UNPRI. While this was not the only criteria used by the Committee in their decision, it was one of several criteria used.

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 have a publicly available investment policy with negative screens?:

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

The endowment is prohibited from directly investing in fossil fuels. Existing direct investments in fossil fuel companies have been sold from the endowment portfolio and future purchases are prohibited as determined by the Foundation’s Board of Directors.

Approximate percentage of the endowment that the 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:

The UMass Foundation is a founding member of the Intentional Endowments Network and signatory to the Carbon Disclosure Project.

The Intentional Endowments Network supports colleges, universities, and other mission-driven tax-exempt organizations in aligning their endowment investment practices with their mission, values, and sustainability goals without sacrificing financial returns. In doing so, this broad-based, collaborative network will make a significant and critical contribution to creating a healthy, just, and sustainable society.


The Carbon Disclosure Project (CDP) provides a global system for organizations to measure, disclose, manage and share environmental information. CDP investor initiatives – backed in 2015 by more than 822 institutional investors representing an excess of US$95 trillion in assets – give investors access to a global source of year-on-year information that supports long-term objective analysis. This includes evidence and insight into companies’ greenhouse gas emissions, water usage and strategies for managing climate change, water and deforestation risks.


The website URL where information about the programs or initiatives is available:

Additional documentation to support 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 and complete the Data Inquiry Form.