Case Study / 04 Dec 2012

Government Employees Pension Fund (GEPF)

GEPF used Trucost’s expertise to analyze its domestic equity and bond portfolios in order to calculate carbon and water risks.

The Government Employees Pension Fund (GEPF) is Africa’s largest pension fund. It has more than 1.2 million active members, in excess of 300 000 pensioners and beneficiaries, and assets worth more than R1 trillion (US$115 billion).

GEPF’s case study partnership with WWF in the Navigating Muddy Waters report series used Trucost’s expertise to analyze GEPF’s domestic equity and bond portfolios in order to calculate carbon and water risks. The Government Employees Pension Fund (GEPF) of South Africa firmly believes that it’s investments are vulnerable, to varying degrees, to ESG risks across specific investments, sectors and asset classes, and that GEPF’s long-term, broadly diversified and predominantly passive investment strategy enhances this vulnerability. The GEPF Board of Trustees has therefore set the strategic objective that GEPF remain a leader in responsible investing by integrating ESG issues within GEPF’s investment decision making and ownership practices.

“Trucost’s analysis has assisted us a great deal in understanding our portfolio carbon and water risks which will be further used in developing GEPF’s carbon and water risk mitigation and engagement strategies with investee companies”.

Insights

Carbon & Water Risk for South Africa’s Top Companies, Bonds & Equity Funds (publication)

Navigating Muddy Waters (publication)