Sessions – Thursday, September 18, 2025

Passive with purpose: Advancing responsible investment through standards for index strategies

09:05 – 09:35

Index/passive investing has surged from just 1% of the global market in the early 1990s to over 50% today. In the first quarter of 2025 alone, inflows into Australasian index funds with sustainability characteristics reached USD 272 million, underscoring their rising influence on the achievement of a healthy environment, economy and society. As index-based strategies grow in dominance, a crucial question arises, how should investors remain responsible stewards of their investments? This session will explore how index-based strategies can meet Responsible Investment aims and align with RIAA’s Responsible Investment Certification Standard, increasing investor confidence through external validation.

Principles for Responsible Investment (PRI) (2025) Global responsible investment trends: Inside PRI reporting data 2025

• This resource provides valuable insights into global responsible investment trends and practical guidance on integrating environmental, social, and governance factors into investment strategies, which complements discussions on the developments and responsibilities of index/passive investing.

CFA Institute, PRI, Global Sustainable Investment Alliance (2023) Definitions for Responsible Investment Approaches

• This resource provides standardised terminology and definitions for responsible investment approaches, enabling investors to communicate effectively and align their index-based strategies with sustainability goals and certification standards, thereby enhancing responsible stewardship of their investments.

CFA Institute (2021) Global ESG Disclosure Standards for Investment Products

• This resource provides essential guidance on Global ESG Disclosure Standards, helping investors understand how to incorporate ethical and sustainable practices into index-based strategies, thereby enhancing responsible stewardship and supporting informed decision-making aligned with sustainability goals.

ShareAction (2023) Introducing a Standardised Framework for Escalating Engagement with Companies

• Provides a framework for escalating engagement with companies, offering practical guidance for asset managers to enhance accountability and promote responsible investment, crucial for investors navigating the growing impact of index-based strategies.

Center for Effective Altruism (2022) The Investor’s Guide to Impact: Evidence-Based Advice for Investors Who Want to Change the World

• Evidence-based guidance on maximizing investor impact, helping investors understand how to align index-based strategies with responsible investment goals and assess the true impact of their investment choices in sustainability.

Global Sustainable Investment Alliance (2024) Transforming global finance for climate action: Addressing misaligned incentives and unlocking opportunities

• Introduces the PIVOT framework, outlining policy vacuum, misaligned incentives, valuation challenges, inactive ownership, and transition misalignment, providing actionable solutions for policymakers, investors, and stakeholders to align finance with the Paris Agreement.

MSCI Inc. (2015) Can ESG add alpha? An analysis of ESG tilt and momentum strategies

• This research reveals that both ESG Tilt and ESG Momentum strategies outperformed the global benchmark, providing empirical evidence that ESG factors can enhance portfolio performance.

Seungju Choi, Fabrizio Ferri, Daniele Macciocchi (2024) Do investors respond to mechanical changes in ESG ratings?

• Provides empirical evidence on how mechanical changes in ESG ratings impact investor behavior, highlighting the challenges of relying on commercial ESG ratings in index-based strategies and informing responsible investment practices.

Institute for Energy Economics and Financial Analysis (IEEFA) (2021) Vanguard Group: Passive about climate change

• Provides critical insights into Vanguard’s passive investment strategy and its implications for climate responsibility, offering practical recommendations for aligning index funds with environmental goals, thus enhancing investor stewardship and accountability in responsible investing.

The Sunrise Project (2020) The Passives Problem and Paris goals: How index investing trends threaten climate action

• Provides critical insights into the implications of passive investing on climate goals and offers potential solutions, making it a valuable complement to discussions on how investors can align index strategies with responsible investment principles.

Ashley Lester at MSCI on Sustainability Data at Sustainability LIVE London 2024

• This video provides guidance on leveraging ESG data for competitive advantage, directly supporting the session’s goal of aligning index-based strategies with responsible investment principles.

Responsible investment – top down, bottom up – Kate Turner

• This podcast episode offers a top-down institutional perspective on building a responsible investment strategy, providing practical context for aligning index funds with RIAA’s Certification Standard.

Want more resources? Find them here.

 

Climate reporting: Navigating the changing seas

09:35-10:05

As New Zealand’s reporting and assurance standard setter, the External Reporting Board (XRB) aims for its standards to be internationally aligned, yet locally relevant. But when the international scene is still evolving and uncertain, challenges can arise. As the new Chief Executive of the XRB, Wendy Venter will share the XRB’s strategic priorities for the next five years, with a particular focus on how it plans to navigate the changing seas of climate reporting.

Chapter Zero (2023) Chapter Zero New Zealand Board Toolkit

• Offers actionable, board-level resources tailored for New Zealand, integrating assurance and stakeholder engagement at every step.

ERM SustainAbility Institute (2024) The new disclosure landscape – Comparing sustainability standards and regulations: ESRS, IFRS S1/S2, SEC Climate Rule, and CA SB 253/261

• Offers a comprehensive comparison of sustainability-related disclosure regulations and standards, aiding investors in understanding how to ensure compliance and align index-based strategies with responsible investment goals, thus enhancing confidence in their sustainability practices.

Commonwealth Climate and Law Initiative, Canada Climate Law Initiative, Climate Governance Initiative (2021) Primer on climate change: Directors’ duties and disclosure obligations

• Provides essential insights into the duties of directors regarding climate-related financial risks and disclosure obligations, which are critical for index funds that aim to uphold responsible investment standards while adapting to increasing sustainability pressures.

MinterEllison, Australian Institute of Company Directors (2021) Climate risk governance guide: An introductory resource for directors on climate risk governance

• Provides vital insights into climate risk governance, helping directors understand their responsibilities in the context of rising sustainable investment. It supports effective decision-making and enhances the alignment of investment strategies with responsible environmental and social goals.

&Bloom (2024) &Bloom’s New Zealand Climate Standards Toolkit

• Provides practical guidance for adopting New Zealand’s mandatory climate disclosure standards, including a compliance question directory, principles, and glossary.

Want more resources? Find them here.

 

The future of impact

10:10-10:50

Impact investing is at a crossroads. Will it remain largely niche? Will it become a mainstream investment strategy with institutional investors? Or will it evolve and serve as the trail-blazer for a more holistic and flexible approach to impact across portfolios? Might we see a paradigm shift in future financial markets – much like the seismic shift of Modern Portfolio Theory several decades ago – adding impact as a standard investment factor alongside risk and return? Hear how investors are grappling with these questions.

GSG Impact (2025) Impact economies tractions and trends: Insights from 34 GSG National Partners

• Offers insights into the evolving landscape of impact investing, providing practical guidance on how national strategies and institutional involvement are shaping a more inclusive and mainstream approach to investment, relevant to current discussions.

The Global Impact Investing Network (2023) Pursuing impact within a portfolio: Insights from institutional asset owners

• Provides practical guidance from institutional asset owners on integrating impact investing within broader portfolio strategies, highlighting emerging trends and strategies that can shape the future of impact investing in financial markets.

The Global Impact Investing Network (2023) Holistic portfolio construction with an impact lens: A vital approach for institutional asset owners in a changing world 

• Guides professionals on holistic portfolio construction with an impact lens, helping institutional investors navigate the complexities of integrating impact investing into their strategies, ultimately influencing the potential mainstream adoption of impact considerations alongside traditional financial factors.

Want more resources? Find them here.

 

Investing in New Zealand’s climate transition

10:15-10:50

Time is tight for New Zealand to reach its goal of 51-55% emissions cuts by 2035 and investors will play a crucial role in delivering on these commitments, with the potential to attract huge sums of global capital towards this objective. While energy transition funding is at record levels, the rate of growth is slowing. This session will bring together leaders in the sector to explore what opportunities climate change offers for Kiwi investors to harness this global megatrend and what leading practice ‘climate investing’ looks like. The panellists will explore the advantages and challenges of different asset classes, such as private equity, fixed income, index investments and real assets, and offer views on the legislative and regulatory changes needed to unleash the scale of investment we need to successfully meet New Zealand’s climate goals.

RIAA (2020) RIAA policy platform: Sustainable finance for a thriving Aotearoa New Zealand 2023 and beyond

• Directly guides policy, regulatory, and market reforms needed for the scale of climate investment to achieve New Zealand’s climate goals.

Want more resources? Find them here.

 

From awareness to action: Investing in nature

11:25-12:05

This panel will examine the shift from awareness of nature risk & opportunity to assessment of the investment portfolio dependencies, impacts, opportunities and risks as it relates to nature. As the investment community moves beyond awareness, investors are increasingly working to ensure nature-related investment activity reflects both ecological and cultural integrity. Brought to you by the RIAA Nature Working Group, join us to explore how various elements of the industry—from data and disclosure to regulation and governance—will shape this evolving landscape.

Pollination (2023) Nature investor toolkit: Understanding nature-related risks and opportunities and supporting investors to assess, engage and take action

• This toolkit is invaluable for practical guidance on integrating ecological and cultural considerations into nature-related investment assessments and strategy development.

TNFD (2023) Guidance on the identification and assessment of nature related issues: The LEAP approach

• This guidance is a practical step-by-step foundation for investors assessing nature and cultural integrity risks across their portfolios.

Want more resources? Find them here.

 

Values to value: Constructing portfolios with purpose

11:25-12:05

You’ve had the values conversation—now what? This session dives into the practical realities of building responsible and ethical portfolios for clients. We’ll explore how to map client priorities to actual investment options across KiwiSaver, managed funds, ETFs, and direct investments.

Speakers will unpack:

• How to balance financial objectives with values alignment
• The current landscape of responsible investment products in NZ
• Limitations and trade-offs (e.g. exclusions vs engagement, passive vs active)
• Case studies of sample portfolios at different risk levels
• Tools to assess product credibility and avoid greenwashing

Whether you’re working with clients just beginning their sustainability journey or deeply committed ethical investors, you’ll leave with actionable strategies to turn values into viable investment solutions.

Sustainable Finance Observatory (2023) Guidance and questionnaire for assessing client sustainability preferences and motivations 

• Guides assessing client sustainability preferences and motivations, offering practical insights for aligning investment options with client values while ensuring compliance with regulatory requirements and avoiding pitfalls like greenwashing.

Schroders (2019) Multi-asset investments: Managing sustainability from a total portfolio perspective 

• Provides insights on managing sustainability within multi-asset investment portfolios, aiding in the practical application of aligning client values with ethical investment strategies while navigating complexities and trade-offs in responsible investing.

Want more resources? Find them here.

 

Te Ao Hurihuri: Navigating governance and ESG in Aotearoa

12:10-12:50

Corporate governance in Aotearoa New Zealand is changing rapidly. Updates to the NZX Corporate Governance Code and legislative reforms are raising expectations around ESG disclosures, board independence, and shareholder engagement. But good governance is not only shaped by external rules and regulations. It is also a function of internal leadership. As boards and investors navigate increasing complexity, the ability to lead with clarity, empathy, and resilience becomes essential. In this session, panellists will explore the implications of changing norms, the growing importance of ESG and climate disclosures, the role of shareholder activism and equity market dynamics.

Stewardship Code Aotearoa New Zealand (2023) Guiding principles for responsible investment stewardship in Aotearoa New Zealand

• Serves as a practical foundation for directors and investors to enhance ESG leadership and align practices with evolving governance expectations in New Zealand.

Want more resources? Find them here.

 

The conversation gap: Setting expectations and navigating the hard questions

12:10-12:50

Many advisers hesitate to raise responsible investment with clients – not because they don’t want to, but because they fear not having all the answers, or not being able to deliver on clients’ preferences. This session is designed to boost your confidence and equip you with the tools to lead values-based conversations with clarity, professionalism, and care.

We’ll explore:

• How to set the scene and manage expectations upfront
• Common tough questions clients ask
• How to respond when you don’t have a perfect answer
• How to respond when clients’ values can’t be fully met by available products

How to explain trade-offs and limitations without undermining the adviser-client relationship
With real-life examples and input from experienced practitioners, you’ll leave with renewed confidence to have these conversations—not avoid them.

Sustainable Finance Observatory (2023) A practitioner guide for asset managers and asset owners to assess clients’ and beneficiaries’ sustainability preferences 

• Outlines how advisers can probe motivations, explain limitations, and guide clients towards products that best fit their values. Recommends simple language and clear process.

Want more resources? Find them here.

 

ESG in the crosshairs: Navigating global pressures and staying the course

13:45-14:30

With the re-election of Donald Trump as US President, and executive orders targeting everything from climate to Diversity, Equity and Inclusion (DEI), ESG investing has become a lightning rod in global debates.

This session will unpack the impact on US companies and ripple effects of President Trump’s second term in office on sustainable finance worldwide, including managing stewardship programs, engagement and proxy voting. The expert panel will share how investors are adapting amid increased scrutiny of ESG globally and explore how Kiwi investors can chart a smart path forward that protects returns and avoids the traps of global culture wars.

Greg Liddell (2025) ESG in the Trump era: What’s next?

• Essential for understanding how shifting US policy could reshape ESG priorities, influence global standards and require adaptive strategies.

PricewaterhouseCoopers (PwC), First Sentier Investors (2023) Constructive corporate engagements from a corporate perspective

• Delivers practical insights into managing engagement and governance amid political and stakeholder scrutiny.

Want more resources? Find them here.

 

Effective corporate engagement for net zero

13:45-14:30

We’ve seen a real rise in investor engagement activity in New Zealand in recent years, particularly when it comes to the net zero transition. This session will explore the growing momentum behind investor engagement, with a particular focus on the net zero transition. We will explore how companies are responding to investor expectations around the climate transition and the challenges and opportunities that arise through corporate engagement of this theme. Panellists will share insights from their collaborative engagement with leading companies highlighting what effective net zero focused engagement looks like, and how a proactive, solutions focused approach can deliver meaningful value.

Callum Donaldson-Murdoch (2021) Understanding investment and sourcing through smallholder supply chains

• Illustrates how companies address sustainability and climate risks in smallholder supply chains, offering practical lessons that complement net zero engagement by revealing the operational challenges corporates must navigate.

Columbia Center on Sustainable Investment (2024) Circular economy in the industrial goods sector: A framework for understanding private sector progress and innovation

• Offers a framework for understanding circular economy practices in companies, highlighting examples of effective corporate engagement, relevant for discussions on net zero transitions and investor expectations in sustainable practices.

European Corporate Governance Institute, ECGI (2024) The unseen ‘others’: A framework for investor stewardship

• Offers an analytical framework for understanding investor stewardship, particularly in relation to the growing emphasis on sustainability and responsible investment, making it a valuable supplement to navigating effective corporate engagement for the net zero transition.

Pablo Berrutti (2021) We need to talk about net zero bullsh*t

• Challenges investors to distinguish genuine climate action from greenwash, greenwish, and empty net zero promises, offering a critical lens on accountability that complements discussions of effective, solutions-focused engagement.

The Investment Integrated Project, TIIP (2024) System-level investing: Case studies of investors leading the way

• Provides critical insights into effective engagement strategies and practical guidance for investors and companies, aligning their actions with the net zero transition and enhancing collaboration to meet climate expectations.

WHEB Asset Management (2024) A practitioner’s perspective – From obstacles  to outcomes: Enhancing effectiveness in stewardship and engagement

• Provides valuable insights into enhancing stewardship and engagement effectiveness, which complements the session on effective corporate engagement for net zero by offering practical strategies and addressing common obstacles in investor engagement during the climate transition.

Want more resources? Find them here.

 

Charting the ESG-AI frontier: Opportunities and risks

14:35-15:15

AI is playing a transformative role in ESG investing, helping address longstanding challenges while unlocking new capabilities. But there are risks. This future-focused session will explore how AI is being used in sustainable and ESG investing, including climate scenario modelling, automated ESG data collection and analysis, scoring and benchmarking, sustainability reporting, supply chain management and capital allocation. Experts from both AI providers and users will delve into the implications for responsible investors of using such an emissions-heavy technology to seek to address the climate crisis, any human rights implications of AI’s use in ESG integration and the risks of model bias in AI predictions.

CSIRO, Alphinity Investment Management (2024) The intersection of Responsible AI and ESG: A framework for investors 

• Provides a comprehensive framework for integrating Responsible AI with ESG principles, equipping investors with insights and practical tools to navigate opportunities and risks in AI-driven sustainable investing. It addresses both the transformative potential and associated challenges of AI in this space.

Nicholas Stern, Mattia Romani, Roberta Pierfederici, Manuel Braun, Daniel Barraclough, Shajeeshan Lingeswaran, Elizabeth Weirich-Benet, Niklas Niemann, (2025) Green and intelligent: the role of AI in the climate transition

Want more resources? Find them here.

 

The grey zone: Responsible investment in a world at war

16:15-16:55

Responsible and ethical investors are grappling with questions around investment in the defence industries, not only in relation to controversial and nuclear weapons, but also conventional weapons. This session brings together experts from investment, ethics, and Indigenous leadership to explore the nuanced space of weapons exclusions in responsible investment. The panel will examine whether blanket exclusions of weapons-related industries remain appropriate in a world where geopolitical instability is rising and defence investment is reframed as national security. Topics will include dual-use technologies, the blurred lines between offensive and defensive systems, and the tension between ethical purity and global responsibility.

Heartland Initiative (2023) Navigating portfolio exposure to conflict-affected and high-risk areas: Practical guidance for investor engagement with companies

• Provides practical insights into ethical considerations in supply chains, aiding investors in navigating the complexities of responsible investment in defense industries amid rising geopolitical instability and the evolving discourse on national security

RIAA (2023) Investor toolkit on human rights and armed conflict

• Equips investors to identify and manage legal and reputational risks in conflict and defence-related investments, highlighting the importance of hHRDD and international standards.

Want more resources? Find them here.

Workshops – Thursday, September 18, 2025

Making responsible investment work for you, and your clients

09:40 – 10:50

Morgan Stanley (2019) Sustainable signals: Individual investor interest driven by impact, conviction and choice

• Highlights the growing interest in sustainable investing among individual investors, providing vital insights and data that can help advisers understand client demand and develop tailored strategies to effectively engage with responsible investment products

CFA Institute (2018) Guidance and case studies for ESG integration: Equities and fixed income

• Offers practical guidance and best practices for integrating ESG factors into investment analyses, helping advisers navigate the complexities of responsible investment and responding effectively to increasing client demand for sustainable investment options.

 

Workshop: A systems thinking simulation for human rights due diligence

11:25-12:55

In this immersive, scenario-based workshop, participants will explore the role of investors in conducting human rights due diligence on fictional companies. Brought to you by the RIAA working groups, participants will uncover and analyse a range of human rights risks—from AI ethics and military contracts to climate justice and data privacy. Participants will identify risks, exchange insights, and develop and prioritise investor engagement. The session highlights the interconnectedness of human rights issues and the importance of integrated, systems-based approaches to investor responsibility.

Heartland Initiative & Investor Alliance for Human Rights (2025) Navigating portfolio exposure to conflict-affected and high-risk areas: Practical guidance for investor engagement with companies

• Offers practical guidance for investors engaging companies on managing conflict-affected and high-risk area (CAHRA) exposure

Investor Alliance for Human Rights (2020) Engaging the ICT sector on human rights: Conflict and security

• Provides an overview of the main human rights instruments and adverse impacts of the ICT sector in conflict-affected areas

Investor Alliance for Human Rights (2020) Investor toolkit on human rights

• Provides practical guidance for institutional investors to assess and address human rights risks within investment activities

Office of the United Nations High Commissioner for Human Rights (2023) Human rights risks in tech: Engaging and assessing human rights risks arising from technology company business models

• Outlines strategies for investors to assess technology companies’ responsibility to respect human rights

Organisation for Economic Co-operation and Development, OECD (2017) OECD due diligence guidance for meaningful stakeholder engagement in the extractive sector

• Supports informed and responsible investment decisions, ultimately improving relationships with affected communities and reducing potential legal and operational challenges.

Principles for Responsible Investment, PRI (2023) How to identify human rights risks: A practical guide in due diligence

• Supports due diligence through risk mapping, severity assessment, and prioritisation frameworks, promoting responsible investment aligned with international human rights standards.

Principles for Responsible Investment, PRI (2025) PRI’s human rights due diligence tool for infrastructure investors

• Provides practical guidance aligned with international standards to support responsible investment practices in infrastructure and other real assets.

Principles for Responsible Investment, PRI (2025) PRI’s human rights due diligence tool for real estate investors

• This tool gives real-estate investors a framework to systematically identify, assess and mitigate human rights risks, like tenant rights, community displacement, labour standards, and environmental justice. It aligns with international norms, e.g., OECD’s UN Guiding Principles, adding rigour to investor engagement in complex scenarios.

Responsible Investment Association Australasia (2024) Artificial intelligence and human rights investor toolkit

• This toolkit complements the workshop by providing a structured framework for investors to assess AI-related human rights risks, facilitating informed engagement with companies, and enhancing understanding of the interconnectedness of various human rights issues.

Responsible Investment Association Australasia (2025) Human rights in global value chains investor toolkit

• This toolkit emphasises practical guidance for investors to manage human rights risks effectively across global value chains. By fostering a systems-thinking approach, it equips participants to identify interconnected risks and engage meaningfully with companies, enhancing their human rights due diligence processes.

Shift (2021) ‘Signals of seriousness’ for human rights due diligence

• This report provides a framework for assessing company human rights due diligence efforts, raising the importance of governance, stakeholder engagement, risk identification and remedy. This aligns with the workshop’s focus on systemic risks and investor engagement in human rights issues.

Shift (2021) Business model red flags: 24 ways in which business could be wired to put people at risk

• This toolkit guides financial institutions through policy commitment, risk-screening, stakeholder engagement, due diligence, remedy, and disclosure. This mirrors the workshop’s focus on systems thinking, layered risks, investor responsibility and prioritising human-rights risks across sectors.

United Nations Environment Programme Finance Initiative, UNEP FI UNEP FI Human Rights Toolkit for Financial Institutions

• This resource equips investors in finance with tools to screen and assess human rights risk in investment & lending operations: covering due diligence, risk prioritisation, and engagement approaches. It aligns directly with the workshop’s emphasis on systemic risk identification and prioritised investor action.

United Nations Environment Programme Finance Initiative, UNEP UNEP FI’s human rights screening and risk assessment: investment and lending operations

• This resource provides concrete methods for investors to map, screen and assess human rights risks in investment and lending, precisely the kind of systematic analysis the workshop scenario asks participants to perform when assessing risks like AI ethics, climate impacts, data privacy or military contracts.

United Nations, UN & Office of the United Nations High Commissioner for Human Rights (2024) Investors, ESG and human rights

• This report focuses on the critical role of investors in respecting human rights, aligning with due diligence practices, and addressing interconnected human rights issues. This supports the workshop’s focus on systems thinking and the various risks investors face in their engagement strategies.

War and sanctions database

• This portal provides open-source data on entities involved in war efforts, arms components, sanctions lists and human rights violations. It can help investors identify exposure risks, flag problematic counterparties, and integrate sanction-screening into due diligence.