This policy describes how Al-Qasim Green University (QGU) is incorporating social and environmental considerations into its investment portfolios, reflecting the university's ambitious sustainability strategy. It also sets the goals and constraints of QGU's investment portfolios.
The endowments and portfolios of the university are subject to the following investment policy. Given that this is a field that is always evolving, the Investment Committee will review the sustainable investment policy at least once a year.
In order to become carbon neutral by 2050, the university is dedicated to lowering its carbon impact. The University is dedicated to making sure that the Portfolios are invested in accordance with the highest environmental and social standards in order to meet this challenging goal. Our approach acknowledges that companies that adopt a sustainable approach to environmental and social challenges are better stewards of long-term capital and that a responsible approach to sustainability and financial returns are not mutually contradictory. The portfolios' investments will follow this plan using a three-tiered framework.
At the moment, there are no direct investments made in fossil fuel corporations. The University's goal to promote the energy transition will be reflected in any investments made by the Portfolios in the energy industry. We will look for alternative investments in pooled funds to do this, and over the course of the following four years, we will continuously assess our success, tracking and reporting on our progress along a wide range of indicators. Only when there is convincing proof that a company is spearheading the shift to clean technology will the Portfolios invest in what were once fossil fuel companies, demonstrating the University's support for that leadership. Any such investment will be closely watched to make sure these businesses are advancing the delivery of sustainable energy.
The University has less direct control over the precise exclusions when investing through pooled funds because choices are made at the fund level. As a result, the University periodically discusses fund exposures with its investment advisors and evaluates the underlying fund manager's comprehensive environmental and social approach when investing through pooled vehicles.
The University mandates that fund managers include ESG considerations in their investment analysis and decision-making procedures when making direct or pooled fund investments.
• Participate in social and environmental issues and monitor your progress by providing the Investment Committee with monthly stewardship reports.
Additionally, the University endorses the tenets of the UN Global Compact. These guidelines emphasize conducting business in a manner that satisfies basic obligations in the fields of labor, human rights, the environment, and anti-corruption. Through its investment screening and procedures, the University expects its managers and advisors to engage in a way that discourages bad behavior and encourages good behavior. The University will keep an eye on the available pooled funds and make investments in those that follow the aforementioned guidelines.
Approved by: Department of Quality Assurance
Date: 10-09-2024
