​IORP II remuneration policy ‘impossible’, PensionsEurope warns

first_imgIt will prove impossible to force asset managers to comply with a pension fund’s remuneration policy, as proposed by the revised IORP Directive, PensionsEurope has warned.In its position paper on the Directive, based on the initial IORP II draft published in March, the European association argued in favour of several significant tweaks to the proposed risk-evaluation for pensions (REP), including a relaxation of sponsor assessment requirements and risks stemming from climate change.The paper said matters of remuneration should be the concern of member states, rather subject to delegated acts by the European Commission.Concerns were raised about the draft’s proposal that an IORP’s remuneration policy should apply to all “outsourced and subsequently re-outsourced key functions”, which would include investment mandates. “It will in many cases be impossible for them to ensure service providers publish their remuneration policy,” the paper said.It also pointed to an article within the revised Directive that required those in charge of the fund to ensure that no risks arose from any outsourcing practices, reducing the need to impose remuneration policies on third parties.The association also proposed several changes to the REP, recently revised by the Italian presidency to run four pages rather than the initial one, and stressed the need to ensure that the risk-evaluation rules would not be used as a means of imposing the Holistic Balance Sheet (HBS) on the sector.PensionsEurope said the proposed assessment of climate, resource and environmental risk, one of the issues covered by the initial REP, should be reconsidered due to the difficulty of assessing such new risks.“More important, a detailed analysis of risks relating to climate change, the use of resources and the environment should only be done by IORPs facing these risks,” the paper added.The provision has been removed in the latest draft of the Directive.It also suggested there should be an allowance for multi-employer schemes to conduct an “aggregate” assessment of sponsor solvency, rather than individual assessments for each participating company.“In addition to the employer, any pension protection scheme needs to be taken into account when evaluating the protection of members and beneficiaries,” it said.PensionsEurope also questioned whether the Commission’s assurance that the delegated act, meant to provide further details of the REP, would not “impose additional funding requirements”, as the European Insurance and Occupational Pensions Authority (EIOPA) was still working on HBS proposals.The assurance, alongside proposals for details of the REP to be introduced through a delegated act, has also been removed in the latest IORP draft.,WebsitesWe are not responsible for the content of external sitesPensionsEurope position paper on IORP IIlast_img read more

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APG, PGGM to launch sustainable investing platform for asset owners

first_imgDutch asset managers APG and PGGM are developing an artificial intelligence (AI) based asset owner platform to assess potential “sustainable development investments” (SDIs).They said that the vehicle – to be launched in the first quarter next year – would offer insight into how investable companies contribute to the UN’s Sustainable Development Goals (SDGs).The asset managers said their goal was to achieve a critical mass of asset owners investing in companies contributing positively to the SDGs.The platform is to use “tailor-made cutting-edge technology”, developed by APG, which combines detailed SDI taxonomy with AI to enable investors to assess approximately 10,000 listed investments for their contribution to the SDGs, they said. Since APG and PGGM published an SDG taxonomy in 2017 , they have translated it into an SDI classification for individual listed companies, supported by additional in-depth research. It will work with Entis, a technology subsidiary of APG, to analyse data and identify SDIs aimed, for example, at solving water scarcity, providing decent healthcare, ending poverty and protecting the environment.APG and PGGM – which manage more than €700bn of pension fund assets between them – said the SDI Asset Owner Platform would enable asset owners to use a common definition, taxonomy and data source for making sustainable investments.APG – the asset manager of the civil service scheme ABP – started developing the AI-based approach in 2016, in order to serve its clients’ ambitions on sustainable investing. ABP aims to allocate €58bn to sustainable investments by next year.“We would like our peers to join us on this platform,” said Claudia Kruse, managing director and head of APG’s team for global responsible investment and governance.center_img The two companies said the platform would also improve engagement with companies and stakeholders “as asset owners will speak with companies with one voice, and can provide stakeholders with comparable reports on how they invest in and contribute to the SDGs”.Hans op ‘t Veld, PGGM’s head of responsible investment, said the platform would provide further standardisation and efficiency for PGGM’s sustainable investment as well as for companies to report on their contribution to the SDGs.David Russell, head of responsible investment at the UK’s Universities Superannuation Scheme (USS), said that the pension fund was looking forward to working with the SDI Asset Owner Platform in assessing its exposure to and support for the SDGs.Cbus, Australia’s leading scheme for the construction sector, said it “encouraged initiatives that contributed to translating the SDGs into investable opportunities”.Further readingPRI in Person: Danone CFO calls for new investor mindset about value Investors’ approach to value creation could be a drag on efforts to achieve global sustainable development goals, says Cécile CabanisAPG, PGGM set out investment routes to UN development goals Two of Europe’s largest investment managers identified investment opportunities linked to 13 of the UN’s 17 SDGs, in work published in 2017last_img read more

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Income tax increase considered to fund Decatur County Jail project

first_imgGreensburg, In. — Decatur County Council members will be voting on an ordinance that would institute a special use income tax by as much as .65 percent to fund a future jail-related project. A .65 percent increase would cost a person earning $50,000 per year about $300. The tax would go into to effect on January 1, 2018.Once the jail is complete the tax could be repealed or held in place for operating expenses.Commissioners agreed to move forward with a new jail in June and requested funding options from county council. Sheriff Greg Allen, prosecutor Nathan Harter and other officials have also endorsed the need to replace the overcrowded 40-year-old facility.Commissioners have listened to opinions of many local residents along the way.The jail has capacity of about 65 inmates but routinely holds more than 100. A feasibility study conducted earlier this year determined Decatur County would need a 230 bed facility to meet the needs over the next 20 years.Estimates say a new jail could cost as much as $25 million and take up to 2 ½ years to complete.The next Decatur County council meeting will be Tuesday, August 22 at 9 a.m.last_img read more

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New signing Salisu fits our profile – Southampton manager

first_imgSouthampton manager, Ralph Hasenhüttl has praised new signing, Mohammed Salisu, on his arrival at the club.The Ghanaian has joined the Saints on a four year deal, for £10.9 million from Spanish La Liga side, Real Valladolid.Ralph Hasenhüttl, believes the 21 year old will be an important piece in the Southampton side ahead of the coming season.“This is an important signing for us. Mohammed is a player who fits our profile well. ”He is young and has a great amount of potential, but he is also someone who has the qualities to come in and help the team as soon as he is up to speed with our way of playing.“I like what I have seen of him so far in his games with Valladolid. He is strong defensively, he is calm with the ball – something that is important in our team – and he has good speed too.“I think he will fit in well with us and that this will be a good place for him to develop his game further. We have some good centre-backs here and this will be another strong option for us.”Salisu, made 31 appearances for Real Valladolid last season, helping them finish with the La Liga’s 7th best defense.last_img read more

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