United Nations
#OceanAction18768
Commitment from a group of Swedish Investors on Goal 14 and Goal 6
by AP7, SPP, Church of Sweden Asset Management, Alecta, Folksam, Handelsbanken Asset Management, East Capital (Private sector)
Water stress increases with, for example, pollution, water scarcity, climate change, diseases and conflicts. Some of these factors also contribute to unhealthy oceans and bleached coral reefs. There is an urgent need to address the water issues also from the investment perspective, looking at the alternatives for companies we are invested in. Companies in our portfolios need to address the fresh water challenges, as well as other SDGs. Problems with water availability, quality or disputes connected to water will risk having material operational impact also on the companies. When we investors address this risk, we can catalyze for positive change.

In our commitment, formed by individual investors but within the framework of Swedish Investors for Sustainable Development (initiated by Sida), we focus the activities around Goal 6. Following the principle of source to sea this, to some extent, also connects to Goal 14. We will study and address the fresh water risks in our portfolios and stimulate towards best practices.

We have taken a joint initiative in order to understand the barriers for investments in water infrastructure in Sweden, by commissioning a report that maps the issuers' knowledge and prerequisites to contribute to the solution. The objective of this report is: to raise political awareness around the issue, to demonstrate the need for increased technical project management capacity at a local level, and to show that there is available capital as well as a clear interest to invest in the solutions.

We are all committed to, in different ways, making best water practices part of the agenda for our dialogue and corporate governance.
In addition, AP7 has identified a list of companies that they and some of us will be addressing in a broad engagement process where the target is to find ways of best practices and improved water management.

Indicators that will be used to measure progress include level of means of responsibility for water issues at board level, water policy applied, targets for water consumption and pollution levels, local community impacts.
Our expectations and aspirations are to see progress for more effective water management. As investors we can catalyze for positive change and stimulate companies to improved performance and a more sustainable and resilient water use. It is our duty to address those urging issues. We and the industries owe it to our children and future generations. We owe it to the planet.

Progress reports
June 2017
Through a two year long engagement catalyze work for better water management and best practice in the industries of mining, garment and food & beverage globally, and a special focus on developing countries
June 2017
Stimulate for improved water performance, for company boards to take responsibility for the water issues and better water management, to stimulate for targets for water consumption, targets for pollution levels and with an impact on local communities.
September 2017
Report and study to understand the barriers for investments in water infrastructure in Sweden. To raise political awareness around the issue, to demonstrate the need for increased technical project management capacity, to show that there is available capital as well as a clear interest to invest in the solutions.
Other, please specify
Through corporate governance work for better water management in targeted listed companies within the industries of mining, garment, food and beverage
Other, please specify
To show there is interest to invest in water infrastructure in Sweden.
Basic information
Time-frame: June 2017 - June 2019
Partners
(Alternative contact - Karin Svensson, senior advisor Sida (Swedish international development cooperation agency) project manager Swedish Investors for Sustainable Development, karin.svensson@sida.se, +46706090011.) AP7 - lead entity (one of Sweden's state pension funds), SPP (Swedish private pension company), Church of Sweden Asset Management (asset manager fr the capital of Church of Sweden), Alecta (Swedish pension company), Folksam (Swedish pension company/insurance company), Handelsbanken Asset Management (Swedish private bank's, asset management subsidiary) East Capital (Swedish based asset manager with focus on emerging markets and frontier markets.)
Ocean Basins
  • Global
Beneficiary countries
Other beneficaries
Contact information
Johan Florn , Head of communications, johan.floren@ap7.se, +46705558050
Stockholm
Other SDGs
United Nations