Australian Council of Superannuation Investors

Register today before holidays for ACSI’s 2025 Conference. Join Australia’s leading superannuation funds, global asset owners, industry experts, and thought leaders in exploring the major challenges facing investors and companies in managing sustainability issues such as climate risk, AI, workplace safety and corporate governance. Benefits of attending: · Gain insights from industry experts on the latest trends, challenges, and opportunities in sustainability and ESG. · Hear from Australia’s top ASX company directors in panel focused on the challenges facing companies. · Connect with responsible investment professionals, investors, policymakers, and thought leaders, expanding your network and building valuable partnerships. REGISTER TODAY #ACSI #ACSIConf #ESG https://lnkd.in/gKDA7dHZ

2024 has seen steady progress on important financially material sustainability issues. The legislation of mandatory climate disclosures will provide investors with a much clearer picture of the way climate risks are being managed across the economy. As Australia’s first national Anti-Slavery Commissioner, Chris Evans will help shape future reforms in the fight against modern slavery. And, after many years of advocacy and engagement, gender balance is finally in sight in Australia’s top 200 boardrooms, with around 30 appointments of women needed to reach our 40:40:20 target. All these developments will help to manage financially material risks and in turn support investment outcomes for superfund members! https://lnkd.in/gnycMFRZ

Join us for the 2025 ACSI Conference, where Australia’s leading superannuation funds, global asset owners, industry experts, and thought leaders come together to focus on Environmental, Social, and Governance (ESG) issues. This leading conference offers a unique opportunity to explore the major challenges facing investors and companies in managing sustainability issues such as climate risk, AI, modern slavery and corporate governance. Whether you're looking to advance your ESG strategy, navigate regulatory landscapes, or advance your organisation’s sustainability goals, the 2025 ACSI Conference is an invaluable experience for professionals across sectors. • Gain insights from industry experts on the latest trends, challenges, and opportunities in sustainability and ESG. • Hear from Australia’s top ASX company directors in panel focussed on the challenges facing companies. • Connect with responsible investment professionals, investors, policymakers, and thought leaders, expanding your network and building valuable partnerships. SECURE YOUR SPOT TODAY - REGISTRATION NOW OPEN https://bit.ly/49t2EXk #ACSI #ACSIConf #ESG

“Few things are more critical than safety in the workplace, and that fundamental right for people to go to work and come home safely.” ACSI CEO Louise Davidson AM spoke to the Australian Institute of Company Directors about why safety is also an investment risk which ACSI urges companies to consider holistically, including by linking safety metrics to executive pay. “It’s always challenging to speak about safety as a financial matter, because obviously you can’t put a dollar value on a human life. But having a meaningful safety component in short-term incentives sends a clear message about what’s valued," she said.

We welcome the Federal Government’s response to the Modern Slavery Act Review, and its acceptance of most of the Review’s findings. The Act is a vital tool in helping to fight modern slavery, both in Australia and abroad. Modern slavery represents a material investment risk due to its potential to undermine shareholder value, and ACSI supports a regulatory environment that enables identification and remediation of modern slavery. We note the Government accepts the importance of due diligence requirements and financial penalties for non-compliance, and ACSI will make a submission to the Attorney-General’s consultation on these matters. ACSI called for a due diligence requirement and the introduction of penalties to strengthen the Modern Slavery Act in its submission to the Review, arguing that the Act should extend beyond reporting requirements and require concrete action that is likely to improve outcomes.

ACSI CEO Louise Davidson AM joined ASIC’s Jane Eccleston and Xero Limited Chair David Thodey at the ASIC Annual Forum recently to discuss the evolving challenges and risks faced by Australia’s listed company boards. While the environmental and social aspects of ESG are often in focus, Louise told attendees that governance is equally important. And there’s a clear role for shareholders to protect and enhance their investments through their stewardship activities, which include questioning the board and management and voting at AGMs. Good governance supports performance but also helps tackle challenges like cyber, AI, and climate risks.

Corporate governance structures and practices should protect and enhance the board’s accountability to shareholders. Companies should not take any actions which disenfranchise shareholders or inhibit shareholder participation in company meetings.    ACSI supports a ‘one share, one vote’ capital structure. 

Ahead of the Mineral Resources AGM, ACSI's Executive Manager of Stewardship Ed John said: “The Northern Gateway deal is yet another concerning revelation. Investors want to know who signed off on that transaction. The board must respond on this issue before the AGM.”  

Alongside the terrible toll it takes on people subject to it, modern slavery issues also have financial and reputational risks for listed companies. ACSI is proud to be a part of Investors Against Slavery and Trafficking Asia Pacific (IAST APAC) working to end the scourge of modern slavery. #modernslavery

Louise Davidson AM notes that Australian Council of Superannuation Investors members are long-term investors, and their members are long-term investors. Australia has a strong system of governance and ACSI has advocated for a governance environment that fosters strong relationships, ultimately delivering great results for investors and their beneficiaries. Louise says the 'two strikes' rule acts as a deterrent, because the majority of companies don't want a second strike and will amend their practices. "Times have changed" says Louise and today it's widely recognised that more diverse perspectives lead to better outcomes and companies are more likely to be successful when they're open to wider perspectives. "ACSI identified the lack of gender diversity on boards as far back as 2001" but efforts on this were painfully slow. Yet today, ASX companies are "only a few appointments away" from achieving gender balance. ACSI encouraged companies to start recording climate risks and have advocated to government for mandatory reporting, which will be introduced next year. Louise notes the international nature of Australian funds' investments, which makes global collaboration important - like the collaboration between ACSI and ICGN. She says Melbourne's put on its best weather for this event! Louise is now welcoming the panel to join her on stage for Plenary 1, 'Corporate Social License to Operate and the Role of the Board of Directors'. #governance #corpgov #stewardship #ICGN2024 #investors #assetowners #assetmanagers