EIOPA confirms ESG risk assessment in 2019 pension fund stress tests

first_imgThe European Insurance and Occupational Pensions Authority (EIOPA) will analyse European pension funds’ exposure to “ESG” in next year’s biennial stress test of the sector, a spokeswoman has confirmed.The two-part analysis will involve a qualitative assessment of how occupational pension funds incorporate environmental, social and corporate governance (ESG) factors into their processes and assess the exposures of their investment portfolio, the spokeswoman said.This will be complemented by a quantitative exercise, with a focus on identifying business activities that are prone to being exposed to risks related to a transition to a low-carbon environment.Speaking about the stress tests at a conference in Brussels on Monday, Matti Leppälä, CEO of PensionsEurope, said the qualitative ESG-related section would include questions about pension funds’ policies, for example in relation to voting and engagement, and the impact of the Shareholder Voting Rights Directive on pension funds. The quantitative part would involve asking pension funds how much of their portfolio is exposed to the most emissions-intensive business sectors, he said.Leppälä said EIOPA was engaging with stakeholders such as PensionsEurope and emphasised that the plan for the stress test had not yet been adopted.The EIOPA spokeswoman said the supervisory authority was taking “its first steps to get a more tangible understanding of IORPs’ exposure to ESG”.A recent study of the impact of climate change on Dutch pension funds’ coverage ratios found that these could drop by up to 80% if global temperatures rose by 4°C, and 20% if global average temperatures only rose by 1.5°C above pre-industrial levels.ESG risk move well trailedIn 2016, the European Systemic Risk Board proposed that stress tests of the financial sector by European supervisory authorities (ESAs) should include risks stemming from a late low-carbon transition. EIOPA last year indicated that it would probably include ESG aspects in the 2019 pension fund stress tests.At the time, EIOPA said: “ESG aspects including climate change will be of growing importance for the pensions sector and will require cautious assessment of any financial stability implications.”This was in line with a proposal from the European Commission for EIOPA and its counterparts to incorporate sustainability considerations into their work, from the perspective of ensuring financial stability and “thereby making financial markets activity more consistent with sustainable objectives”.Enhancing the ESAs’ role in assessing ESG-related risks was one of the recommendations made by the High Level Expert Group on sustainable finance.Sustainable finance is very clearly on EIOPA’s agenda, not least because it dedicated a significant part of its recent annual conference to the topic.last_img read more

Heineken Takes 2 Liberians on UEFA Trophy Tour

first_imgThe lone female winner for the UEFA tour.Like, Josephine Youboty, Heineken-Liberia is again expected to take two Liberians to Nigeria to participate in the 2019 Union of European Football Association (UEFA) Champions League trophy tour. The two winners, Henry Jackson, CEO of Exodus Entertainment Center and Solomon Kabbah, owner of the Miami Beach, were announced on Sunday, April 7, 2019, as part of Heineken-Liberia’s “Talk and Do” promotion.The 2019 UEFA Champions League Trophy Tour to Nigeria, presented by Heineken, will also visit Namibia, Indonesia, Mozambique, China and the United States of America (USA).The tour provides football fans around the world with a chance to get closer to the iconic UEFA Champions League Trophy and to heroes of the game.Football fans in Nigeria will view European club football’s most prestigious prize this week when the UEFA Champions League Trophy Tour of Africa presented by Heineken gets under way, a statement has said.According to Desmond George, Heineken’s Liberia Representative, the two Liberians are expected to travel to Nigeria, Sunday, April 14, 2019 to participate in the UEFA Champions League trophy tour.While on the tour, Mr. George said, Jackson and Kabbah will have the opportunity to see and touch the trophy, as well as meet former Barcelona star Ronaldinho.The 2018 Champions League trophy was won by Real Madrid and it has toured around the World with Nigeria selected among countries for this year’s tour.It can be recalled that Ms. Josephine Youboty was selected as proud winner of the Heineken raffle draw in November, 2018, during the launch of the company’s new brands (Star and Sol Beer and Legend Stout) on the Liberian market. Ms. Youboty completed a four-day tour in Paris, France under the sponsorship of Heineken.During the tour, the statement said, Ms. Youboty watched Manchester United seal a 3-1 win against PSG in the opener of the UEFA Champions League.Both Jackson and Kabbah thanked Heineken-Liberia for the opportunity afforded them.As for Ms. Youboty, she classified her travel to Paris, France as an unforgettable moment of her life, and at the same time, expressed excitement for being with other foreign nationals at the stadium.Share this:Click to share on Twitter (Opens in new window)Click to share on Facebook (Opens in new window)last_img read more