The nature of Pension Fund investments requiring input from various stakeholders (i.e. government, schemes, asset managers and platform providers) means there are a huge number of, often conflicting, opinions and data to provide a consensus on how to achieve a more sustainable investment approach in the pensions market. This is exacerbated by what is a saturated regulatory market with varying metrics to follow.
However, this will hopefully be helped by the launch of the new UK Centre for Greening Finance and Investment (CGFI), which will begin operating in April. The CGFI aims to provide financial institutions with the research and data to help shift or improve existing ESG related investment activity. Asset owners such as pension funds have been particularly supportive of the development of this new institution. The UK government has invested £10m into the centre and there will be physical research hubs in both London and Leeds.