The Nordic Ecolabelling Board has decided to develop criteria for equity funds. This is a challenge for the Nordic Swan Ecolabel, which in 25 years has gone from ecolabelling detergent to apartment buildings and now investigates if equity funds being Nordic Ecolabelled can be a potential for environmental improvement.
"We see a lot of interest from the financial sector, businesses and consumers for our upcoming criteria. So the market is ripe to begin this important work. The goal is to give consumers the guidance they need to make sustainable choices and "save the world a little bit every day," said Ragnar Unge, Managing Director at Ecolabelling Sweden, which is a part of the Nordic Ecolabelling Association.
Nordic Ecolabelling points in its preliminary study out a number of possible tracks for ecolabelling:
- Exclude companies/industries out of the equities portfolio
- Include companies that achieve a certain level
- Increase investments in companies with viable business ideas
- Influence businesses through corporate ownership
"It is important for us that our requirements have a real effect, and not only provides a good conscience. We also hope to be able to influence developments towards a more long-term sustainable ownership of businesses. It would benefit both themselves and a globally sustainable development. We want to help to steer away from "quarterly financials" and "faceless capital", comments Ragnar Unge.
The Nordic Council of Ministers has commissioned the Nordic Ecolabelling Association to investigate the possibility of developing criteria for equity funds. Similar ecolabelling has existed in Austria for the past three years. The work will start as soon as possible and the Nordic Ecolabel's criteria are expected, after a broad referral process, be launched in 2016.
For comments:
Ragnar Unge, CEO, Nordic Ecolabelling,
E-mail: ragnar.unge@svanen.se
Tel: +46(0)8 - 55 55 24 04