Our Environmental, Social and Governance Policy

ESG refers to three important criteria that we believe can have a material impact on long-term investment performance: environmental, social and governance. Having regard to ESG considerations is often referred to as 'sustainable' or 'responsible' investing. These are umbrella terms that encompass different investment approaches or strategies. For more information please refer to our ESG Policy.

The three criteria

E

Environmental

Environmental criteria look at how organisations affect the natural environment – for example, whether an organisation’s activities are polluting or protecting.

S

Social

Social criteria examine how an organisation manages relationships with its employees, suppliers, customers and the communities where it operates.

G

Governance

Governance deals with an organisation’s leadership, executive pay, audits and internal controls and shareholder rights. Basically, how the organisation is run and what values it operates by.

Good ESG makes for good investment performance

There is growing evidence that ESG factors, when integrated into investment analysis and portfolios, can offer potential long-term performance advantages. Which means that your super performs better over the long term when ESG factors are considered.

We exercise our shareholder vote. This gives us the opportunity to support businesses that we consider to be acting in alignment with our ESG Principles, and oppose actions such as the use of cheap labour in unsafe conditions or excessive pay for executives.

ESG and our investment beliefs

ESG considerations are included in our fund-wide investment beliefs, which guide the decisions we make about our investment portfolio on behalf of our members.

  1. We believe we have a responsibility to act on members’ concerns regarding ESG issues.
  2. We encourage an orderly transition to a low carbon economy.
  3. We believe a price should be set on carbon.
  4. We actively engage with our partners, organisations and community groups to advocate for positive action on ESG issues.

Vision Super has an ESG Policy that we use as a guide in our decision making, and to monitor the impact we have on communities and the environment.

Our major ESG alliances

UN Principles of Responsible Investment

We were an early signatory to the UN-backed Principles of Responsible Investment (PRI)

Australian Council of Superannuation Investors

We are a full member of the Australian Council of Superannuation Investors (ACSI)

Glass Lewis

Is our sole independent proxy voting research provider, who assists in voting proxies internationally.

Actioning our Investment Beliefs

Vision Super’s approach to active ownership and stewardship activities are actioned through our proxy voting, collaborative initiatives, company engagement and through policy advocacy work through our proxy research advisors and on occasions directly when required. ESG considerations are included in our fund-wide investment beliefs, which guide the decisions we make about our investment portfolio on behalf of our members. We believe that ESG considerations need to be integrated into investment oversight and decision-making, in order to fulfil our duties to act in the best interests of our members.

Stewardship Statement

Vision Super is a long-term investor and we aim to improve the long-term sustainable value of the companies we are invested in. We look to the Boards and Executive management of those companies to serve in the best interests of long-term shareholders and other stakeholders. We integrate ESG issues and risks as part of our investment governance framework and incorporate dialogue with our fund managers and the companies we are invested in more broadly.

Vision Super is a signatory to the Australian Asset Owner Stewardship Code (the Code), which essentially refers to the responsibility that asset owners must exercise their ownership rights to protect and enhance long-term investment value for their beneficiaries by promoting sustainable value creation in which they invest. The Code consists of six guiding principles, which range from publicly disclosing our voting, to reporting to beneficiaries about our stewardship activities. The principles are designed to improve the quality and transparency of all our stewardship activities.

The Code was coordinated by the Australian Council of Superannuation Investors (ACSI), of which we are a founding member. ACSI has developed this Code with and for Australian asset owners to promote good practice stewardship in their role as providers of capital. 

Frequently asked questions