In their recent article, “Responsible investment: Vice versus nice,” the Financial Times presents a strong case for active ownership as a part of financial stewardship. The article points out how asset owners are having “huge influence” over the asset management industry globally and reiterates the growth in the space. At CBIS, we have seen that many responsible investing strategies often start with screening, but fail to move on from there. “Screening is a critical aspect of any approach to responsible investing, but it’s only half of the story,” noted Dan Nielsen, Director of Catholic Responsible Investing℠ (CRI) for CBIS. “Carrying your convictions all the way to the board room through active ownership is essential to providing a 360° approach to investing, like CRI, that has a lasting impact.”
The article also mentions that the industry has generally moved away from using divestment as a responsible investment strategy “because it has been shown over time not to work.” Getting actively involved is the key. “CBIS has led coalitions of investors around the world to help achieve our goal of bringing companies more in line with Catholic beliefs,” stated Julie Tanner, Assistant Director of Catholic Responsible Investing℠ at CBIS. “Often forgotten in the investing world is the human angle – the impact of corporate actions on people. When you see first-hand the devastation that can occur, you realize how important active ownership is, that you have a responsibility to invest those assets for the common good,” she said.
We invite you to learn more about CBIS’ efforts throughout this site, as we show how we combine fiduciary duty and financial stewardship with Catholic beliefs.