Asking Mutual Funds To Consider Climate Change

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A group of United States-based NGO's and consumers is petitioning the three largest mutual fund companies in the US to consider the financial impacts of global warming. Fidelity, Vanguard, and American Funds recently received petitions and letters asking them to begin addressing the economic risks of climate change by supporting global warming shareholder resolutions filed with U.S. companies. "In 2005, none of the three mutual fund companies supported such resolutions, which typically request that firms disclose the financial risks and opportunities of global warming and describe their strategies for managing those challenges". The strategy is well conceived, because mutual fund companies themselves have no expertise for directly assessing the potential impact. The best they can do is ask the companies they include in their portfolios to provide some insights into how climate change might shape the long range performance of their stock. Just asking the question is step one. Step two is designing a fund based on the collective strength of its members to mitigate climate change. More about the organizing NGO's after the fold.Ceres is a national coalition of investors, environmental groups and other public interest organizations working with companies to address sustainability challenges such as global climate change.

Co-op America is a nonprofit membership organization founded in 1982 that harnesses economic power—the strength of consumers, investors, businesses, and the marketplace—to create a socially just and environmentally sustainable society. Co-op America's membership alliance includes more than 75,000 consumers, investors and business leaders.

http://www.ucsusa.orgThe Union of Concerned Scientists is an independent nonprofit alliance of more than 100,000 concerned citizens and scientists. UCS augments rigorous scientific analysis with innovative thinking and committed citizen advocacy to build a cleaner, healthier environment and a safer world.

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