Risk & Economy » The importance of ESG in pension investment

Helen Dowsey, director of business development and account management at NEST, speaks to Financial Director about the importance of environmental, social and governance in the pension industry and how ESG factors are taken into account when making investment decisions.

NEST has built a climate-aware fund, aiming to provide the best outcomes for its members by taking ESG issues into account when making investment decisions. The fund involves dialling down on investments in large companies that are the biggest emitters with no plans to change their strategy and dialling up on companies that are more climate aware or have plans to change. The fund is driven by economic and social change, looking at what will provide the best long-term investment rather than ethical decisions.