Abstract
Up from Wall Street: The Responsible Investment Alternative (Croft, 2009) and a companion report made the case that there are strategic and responsible investment paths that have the capacity to rebuild our economy and infrastructure, reinvigorate our cities, and create green jobs of the future. These two works documented the fact that the assets in retirement accounts and mutual funds, insurance companies, university, hospital and foundation endowments, college savings funds, and others trusts—in effect, our money—can begin to help turn our economies around. Responsible investment of workers’ savings and assets can be invested in the private economy to generate specific social, environmental, and governance (ESG) benefits, along with the necessary financial returns. The chapter concludes by looking to the future and to the “third wave” of responsible investment, which combines responsible real estate, private equity and project finance (and other ETI strategies) to connect practical and prudent investments in enterprises and housing with co-investments in human capital, renewable energy and efficient transportation. Capital stewards can re-create and renew parts of urban cities, redevelop poor rural areas, and invest in sustainable developments, and demand, with their investments, aggressive actions toward climate solutions. Many of these ideas could embody the next generation of targeted investing.
This is a preview of subscription content, log in via an institution to check access.
Access this chapter
Tax calculation will be finalised at checkout
Purchases are for personal use only
Notes
- 1.
Stephen Coyle, President, AFL-CIO Housing Investment Trust, personal communication with the author.
- 2.
Leo Gerard, International President, United Steelworkers, in Croft T., Hebb T. (2003) “Collaboration between labor, academics and community activists to advance labor/Capital strategies: The origins of heartland network”, In Carmichael, I., Quarter, J. (eds.). Money on the line: Workers’ capital in Canada. Ottawa: Canadian Centre for Policy Alternatives.
References
ABP. (2007). ABP, PGGM and Evelop launch the Ampcre Fund. Retrieved October 8, from http://www.evelop.com/index.php?option=com_content&task=view&id=155&Itemid=39
Bonorchis, R., & Bridge, S. (2004). PIC buys 15% stake in Telkom. Business Report, Johannesburg, South Africa, November 17.
Calebrese, M. (2001). Building on success: Labor-friendly investment vehicles and the power of private equity. In A. Fung, T. Hebb, & J. Rogers (Eds.), Working capital: The power of labor’s pensions (pp. 93–127). Ithaca, NY: Cornell University Press.
Carmichael, I. (2005). Pension power: Unions, pension funds and social investment in Canada. Toronto, ON: University of Toronto Press.
Carmichael, I., & Quarter, J. (Eds.). (2003). Money on the line: Workers’ capital in Canada. Ottawa: Canadian Centre for Policy Alternatives.
Committee on Workers’ Capital. (2010). International confederation of free trade unions, Retrieved January 29, 2011, from http://www.icftu.org/default.asp?Language=EN
Croft, T. (2009). Helping workers’ capital work harder: A research report on global Economically Targeted Investments (ETIS). A research report prepared for the Committee on Workers’ Capital. Working Paper, Steel Valley Authority, Pittsburgh, PA, USA. http://www.workerscapital.org/images/uploads/Helping%20Workers%20Cap%20Work%20Harder.pdf
Croft, T. (2010). Up from wall street: The responsible investment. New York: Cosimo, Inc.
Falconer, K. (1999). Prudence, patience and jobs: Pension investment in a changing Canadian economy. Ottawa, ON: Canadian Labour Market and Productivity Centre.
Hebb, T. (2008). No small change: Pension funds and corporate engagement. Ithaca, NY: Cornell University Press.
Kusnet, D. (2002). The challenge and promise of cross-boarder capital stewardship. Washington, DC: Centre for Working Capital.
Mirror, M. (2005, November 7). Shopping changes forever. A piece prepared for the future growth fund.
Organization for Economic Cooperation and Development (OECD). (2002). Small business, job creation and growth: Facts, obstacles and best practices. A paper prepared by the OECD. Retrieved September 30, 2011 from http://www.oecd.org/dataoecd/10/59/2090740.pdf
Torrance, M. I. (2007). The power of governance in financial relationships: Governing tensions in exotic infrastructure territory. Journal Growth & Change, 38(4), 671–695. Kentucky: Gatton College of Business and Economics, University of Kentucky.
UNEP FI. (2007). Responsible investment in focus: How leading public pension funds are meeting the challenge. Report, United Nations Environment Program Finance Initiative (UNEP FI) Asset Management Working Group (AMWG) and the United Kingdom Social Investment Forum (UKSIF) Sustainable Pensions Project, London and Geneva.
Zanglein, J. (2001). Overcoming institutional barriers on the economically-targeted investment highway. In A. Fung, T. Hebb, & J. Rogers (Eds.), Working capital: The power of labor’s pensions. Ithaca, NY: Cornell University Press.
International Confederation of Free Trade Unions (ICFTU), International Trade Secretariats (ITS), and Trade Union Advisory Committee to the OECD (TUAC). (2001). The role of the international financial institutions in a globalized economy. A Statement to the 2001 Annual Meetings of the IMF and World Bank.
DOL. (1992). Advisory council on pension welfare and benefit plans. Report of Department of Labor, US Government.
DOL. (1994). Interpretive Bulletin 94–1. US Federal Register, June 23.
DOL. (2010). Interpretive Bulletin 08–1, 29 C. F.R. § 2509.08–1. Report of Department of Labor, US Government.
Hebb, T., & Beeferman, L. (2009). US pension funds’ labour-friendly investments. Journal of Comparative Social Welfare, 25/2, 109–117.
Croft, T., & Hebb, T. (2003). Collaboration between labor, academics and community activists to advance labor/Capital strategies: The origins of heartland network. In I. Carmichael & J. Quarter (Eds.), Money on the line: Workers’ capital in Canada (pp. 193–218). Ottawa, ON: Canadian Centre for Policy Alternatives.
Acknowledgements
The author borrowed heavily from Up from Wall Street, and a report written for the Global Unions Committee for Workers’ Capital (CWC) for this the opportunity to write this report. The book was commissioned by the Heinz Endowments, and published by Cosimo. The author wishes to thank Heinz, Cosimo and the CWC for the opportunity to share his work. In addition, he is extremely thankful to innumerable advisors and contributors to both projects. The book, and therefore this chapter, received valuable input from collaborating consultant Dr. Teresa Ghilarducci, the Irene and Bernard L. Schwartz Professor of Economic Policy Analysis and Director of the Schwartz Center for Economic Policy Analysis at the New School for Social Research in New York City. The author wants to express again his deepest appreciation to Teresa.
Author information
Authors and Affiliations
Corresponding author
Editor information
Editors and Affiliations
Additional information
Disclaimer The purpose of this report is not to provide advice on investing in any particular investment product. The report may not be construed as being the primary basis for an investment decision or as reflecting recommendations for individuals or institutions. The author disclaims any liability for actions you may take as a result of reading this report. Please talk to your lawyers, consultants and fund managers, etc., before making any investment decision.
Rights and permissions
Copyright information
© 2012 Springer Science+Business Media B.V.
About this chapter
Cite this chapter
Croft, T. (2012). Targeted Responsible Investing. In: Hebb, T. (eds) The Next Generation of Responsible Investing. Advances in Business Ethics Research, vol 1. Springer, Dordrecht. https://doi.org/10.1007/978-94-007-2348-1_10
Download citation
DOI: https://doi.org/10.1007/978-94-007-2348-1_10
Published:
Publisher Name: Springer, Dordrecht
Print ISBN: 978-94-007-2347-4
Online ISBN: 978-94-007-2348-1
eBook Packages: Business and EconomicsEconomics and Finance (R0)