SRI/RI Abbreviation for Socially Responsible Investments/Responsible Investments. SRI/RI is another term for Sustainable Investments.
ESG Abbreviation for "Environmental, Social and Corporate Governance"
CSR/CR Abbreviation for Corporate Social Responsibility/Corporate Responsibility
Sustainable Development Development that meets the needs of the present without compromising the ability of future generations to meet their own needs.
Sustainable Investment Strategies
Engagement Refers to a strategy by sustainable investors to influence companies to improve their performance on environment and social factors. Engagement may be practised through dialogue, investor cooperation and through voting at annual general meetings.
Exclusion/Negative Screening This strategy means to avoid investing in companies regarded as unsustainable. Companies may be excluded from investments for a number of reasons, most commonly environmental damage, corruption, abuse of human rights or the production of Cluster Munitions, Landmines or Tobacco. The actual process of analysing companies is called "Negative Screening".
Positive screening/ "Best in Class" Positive screening identifies companies that are industry leaders on a range of environmental, social and governance (ESG) factors. These companies are described as"Best in Class".
International sustainable investment initiatives
UN-PRI UN Principles for Responsible Investments Global principles for responsible investment developed by the United Nations http://www.unpri.org
Global Compact A voluntary United Nations initiative to encourage businesses worldwide to adopt sustainable and Socially responsible policies, and to report on their implementation. The 10 principles of Global Compact are based on UN conventions regarding human rights, labour rights, the environment and corruption. Companies who are members of Global Compact are committed to integrating the 10 principles in their organisation.http://www.unglobalcompact.org
GRI - Global Reporting Initative A reporting standard for companies to report on the financial, environmental and social aspects of their business. The aim of the standard is to aid the comparison of companies across national borders. http://www.globalreporting.org
