Investment managers representing $5.7trn in assets have united with ShareAction to form the Long-term Investors in People’s Health programme calling for health to be embedded in investment policies.
Legal and General, Hermes Investment Management, Rathbone Greenbank, Axiom Investors and Mitsubishi UFJ Trust & Banking Corporation are among the 35 signatories to the initiative that want to help investors understand health-related investment risks, advocate for health to be embedded in responsible investing, and use engagement to accelerate action from companies.
The aim is to improve health outcomes for workers, consumers, and communities.
ShareAction research found health is largely absent from asset managers’ risk and ESG assessments and there are significant gaps in investors’ understanding of health and associated risks.
As a result, the alliance is inviting more asset managers and owners to join them and they have all committed to embed health into their policies and practices, and use their influence to accelerate impact throughout the investment sector.
Catherine Howarth, chief executive of ShareAction, said: “Economies depend on healthy populations just as they depend on a stable climate. Yet health remains an ESG blind spot for many investors. With the launch of Long-term Investors in People’s Health, we’re determined to change that. Health deserves to be at least as well embedded in mainstream investment practice as climate risk. We’re excited to be working with investors around the world to harness their potential to build healthier, fairer societies. We invite asset managers and asset owners to support this vital work.”
John Godfrey, director of levelling up at Legal & General, added: “We need all investors to see health as an urgent risk and to avoid the health equivalent of the stranded asset. This new global alliance will be an important forum to demonstrate leadership, shape guidance and best practice, drive policy conversations and influence the data landscape. Together, we can push health up the responsible investment agenda – which everyone stands to benefit from.”
