By Stephanie Baxter
“The government has published guidance for the Local Government Pension Scheme (LGPS) on producing and maintaining an investment strategy statement (ISS).
These regulations which are still yet to be finalised will require administering authorities to publish the ISS by 1 April 2017 in accordance with the guidance and revise it from time to time and at least every three years…
The UK Sustainable Investment and Finance Association’s (UKSIF) chief executive Simon Howard welcomed the requirement for funds to have a policy on ESG and stewardship. However, he is concerned this could be affected by the requirement for policies to be in line with UK foreign policy.
He also has reservations about the extent of the secretary of state’s powers to intervene.
“Once again we call on the secretary of state to clarify this power will only ever be used where an authority has breached its fiduciary duty.”"