Human Rights: The Next Frontier

15 April 2014 - MIT Sloan Management Review - Olivier Jaeggi

The Guiding Principles have already influenced many standards and guidelines relevant to businesses. The most important of these include the OECD Guidelines briefly discussed above, the Renewed EU Strategy 2011-14 for Corporate Social Responsibility, including the related action plans of the EU member states, and — primarily relevant in the context of public or private infrastructure construction projects — the latest release of the Equator Principles. Read More.

Impact investing grows as asset managers recognise value

12 February 2014 - Guardian Sustainable Business, Justina Alders-Sheya

Stakeholders increasingly expect to see evidence that their money is being invested responsibly - impact investing can provide that assurance. The Equator Principles are often used as a reporting standard to ensure investments are adding real value. With a growing focus on the environment, our social footprint and the principles of ethical corporate governance, the investment process, across all of these asset classes, is evolving. The term 'impact investing' is increasingly being used to describe when asset managers proactively integrate one or more of these three elements into their investment strategy. It represents a move towards a new way of investing, with social conscience at the forefront of every deal. Read More.

The Equator Principles: Ten Teenage Years of Implementation and a Search for Outcome

30 January 2014 - CIGI Series, Olaf Weber and Emmanuel Acheta

This paper correlates these 10 years of existence to the adolescent stage of the EPs, still seeking to establish relevance. Environmental and social assessment of projects is increasing in global adoption and scope and the EPs strive to redefine these assessment practices. Critics reason, however, that without implementation efforts and enforcement, the EPs are merely window dressing and will not contribute to any change to sustainable development. The authors point out gaps in how EPFIs address the implementation of guidelines in project finance decision making, how projects implement environmental and social assessment processes in practice and whether the implementation will have a positive effect on project sustainability. The paper concludes that these gaps need further research and analysis to better understand the role of the EPs in sustainable development. Read More.