Robeco is collaborating with other global investors to try to stop deforestation in Brazil.
A joint statement issued on 18 September urges companies sourcing products from the Amazon to make sure their supply chains are not involved in rainforest clearance. Much of the beef or soy produced on deforested land is used in western food production or ends up in restaurants and supermarkets.
The Brazilian rainforest has been hit by record numbers of fires, many of which were started deliberately to clear land for livestock or farming. The Amazon is seen as acting as the world’s lungs, taking billions of tons of CO2 out of the atmosphere and producing 20% of the planets oxygen.
Robeco sits on the advisory committee of the UN’s Principles for Responsible Investment (PRI) working group on deforestation. In response to the fires, more than 200 investors have signed an investor statement that will be shared with the companies involved in soy and cattle production in Brazil and other South American countries.
“Preventing deforestation is the cheapest way to mitigate climate change and is a crucial element of the policy scenario’s developed by the PRI to meet the 1.5 degree global warming target set by the Paris Accord,” says Robeco Engagement Specialist Peter van der Werf.
“The next steps will be to turn the investor collaboration into concrete discussions with companies about how they should change their business conduct to prevent deforestation.”
The investor statement calls on companies to demonstrate a clear commitment to eliminating deforestation within their operations and supply chains, with four main calls-to-arms. It says companies should:
“Increasing deforestation and fires in the Amazon are an environmental catastrophe with an immense impact on society, biodiversity, water and the climate,” the statement says. “The Amazon, as the world’s largest rainforest, is a global repository of biological diversity, and provides invaluable ecosystem services which underpin economic activities across the globe.”
“Deforestation and its associated impacts could pose systemic risks to investors’ portfolios. Several hundred companies have committed to end commodity-driven deforestation by 2020. However, evidence of progress against commitments has been limited.”
“Companies exposed to deforestation in their operations and supply chains may find it increasingly difficult to access international markets and will face increased reputational, operational and regulatory risks.”
The PRI says global institutional investors, along with members of the Investor Initiative for Sustainable Forests (which includes Robeco), have been engaging with a number of companies across the cattle and soy supply chains to improve their disclosure and management of deforestation-related risks.
The content displayed on this website is exclusively directed at qualified investors, as defined in the swiss collective investment schemes act of 23 june 2006 ("cisa") and its implementing ordinance, or at “independent asset managers” which meet additional requirements as set out below. Qualified investors are in particular regulated financial intermediaries such as banks, securities dealers, fund management companies and asset managers of collective investment schemes and central banks, regulated insurance companies, public entities and retirement benefits institutions with professional treasury or companies with professional treasury.
The contents, however, are not intended for non-qualified investors. By clicking "I agree" below, you confirm and acknowledge that you act in your capacity as qualified investor pursuant to CISA or as an “independent asset manager” who meets the additional requirements set out hereafter. In the event that you are an "independent asset manager" who meets all the requirements set out in Art. 3 para. 2 let. c) CISA in conjunction with Art. 3 CISO, by clicking "I Agree" below you confirm that you will use the content of this website only for those of your clients which are qualified investors pursuant to CISA.
Representative in Switzerland of the foreign funds registered with the Swiss Financial Market Supervisory Authority ("FINMA") for distribution in or from Switzerland to non-qualified investors is ACOLIN Fund Services AG, Affolternstrasse 56, 8050 Zürich, and the paying agent is UBS Switzerland AG, Bahnhofstrasse 45, 8001 Zürich. Please consult www.finma.ch for a list of FINMA registered funds.
Neither information nor any opinion expressed on the website constitutes a solicitation, an offer or a recommendation to buy, sell or dispose of any investment, to engage in any other transaction or to provide any investment advice or service. An investment in a Robeco/RobecoSAM AG product should only be made after reading the related legal documents such as management regulations, articles of association, prospectuses, key investor information documents and annual and semi-annual reports, which can be all be obtained free of charge at this website, at the registered seat of the representative in Switzerland, as well as at the Robeco/RobecoSAM AG offices in each country where Robeco has a presence. In respect of the funds distributed in Switzerland, the place of performance and jurisdiction is the registered office of the representative in Switzerland.
This website is not directed to any person in any jurisdiction where, by reason of that person's nationality, residence or otherwise, the publication or availability of this website is prohibited. Persons in respect of whom such prohibitions apply must not access this website.