Ethical guidelines for the investments

The pension fund has established ethical guidelines which apply to the investments. The guidelines must be an overall reflection of the interests and attitudes that can generally be accepted by the members. At the same time, these ethical guidelines must be encompassed within the legislative framework that has been established concerning the pension fund’s investments. They must also be practicable in the daily management of investments.

• The pension fund will not invest in companies that violate the UN’s conventions on human rights and labour rights, the environment and corruption. The principles in the UN’s Global Compact are to be used as a benchmark.

• The pension fund does not invest in companies who manufacture weapons that are addressed in the Geneva Conventions agreements on use of weapons in connection with warfare. Weapons that by their regular use infringe other human rights. This entails that the pension fund cannot invest in production of weapons that cause unnecessary damage or suffering. Furthermore, the pension fund will not invest in weapons that aim at or can be expected to cause widespread, long-term or noticeable damage to nature.
  
  Likewise the pension fund cannot invest in subcontractors to manufacturers of the above mentioned types of weapons, if the company delivers components, service or development that is specifically modified for the final product.
  
  
• The pension fund will work actively to make investments which take both financial and ethical considerations into account.

• The pension fund will carry out regular screenings of the investment portfolio and the board will receive regular up-to-date information on the outcome.

The pension fund has applied the UN investment guidelines; “The Principles for Responsible Investments” (UN/PRI), which are aimed at bigger institutional investors.

UN/PRI

1. We will incorporate ESG¹ issues into investment analysis and decision-making processes.
2. We will be active owners and incorporate ESG issues into our ownership policies and practices.
3. We will seek appropriate disclosure on ESG issues by the entities in which we invest.
4. We will promote acceptance and implementation of the Principles within the investment industry.
5. We will work together to enhance our effectiveness in implementing the Principles.
6. We will each report on our activities and progress towards implementing the Principles.

1) Environmental, Social, Governance