Understanding
Responsible Investing

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Why responsible investing matters

Over recent years, the concern for our planet’s health, the societies we live in, and our behavioural impact has grown. You may have started to think about the effects of your actions and want to think more carefully about the choices you make.

Hearing the word ‘investing’ can often be thought of as a way to make money and increase profits but it can also be so much more. Investing can be a way for you to make a difference. You can help combat climate change, protect the environment, and drive a positive change in society through the way you invest your retirement savings.

  • What is responsible investing?

    Being responsible with your investments means you can invest in funds that choose companies to invest in based on their Environmental, Social and Governance (ESG) impact:

    • Environmental factors – for example companies that consider their impact on climate change, waste production, energy efficiency and are less carbon-intensive.  
    • Social factors – for example how much a company gives back to their community, their stance on human rights, employment values and working conditions.
    • Governance factors – for example how a company is run in terms of diversity and inclusion, shareholder rights, executive pay and their business ethics.

    We believe it’s important and possible that investment options, available to members, take into account ESG factors. Our belief is that, over the long term, companies that actively strive to be better at ESG factors will lead to stronger company performance and investment return.

    You can find out more about responsible investing and ESG factors by watching Legal & General’s short video.

  • Compare your investments

    As a Plan member, you have the option to invest in either the Lifestyle Option or the self-select fund range.

    If you have been automatically enrolled into the Plan, then you will be invested in the Lifestyle Option, which is the default fund. This Lifestyle Option includes a responsible investment fund, the Legal & General Future World Fund, as part of one of the funds it invests in (the Morgan Sindall Retirement Growth Fund). More information about the Lifestyle Option can be found here.

    Alternatively, there is the Plan’s self-select fund range, where you can take control of which funds you’re investing in. The Plan currently offers two funds which have a focus on ESG factors:

    1. The Legal & General Ethical UK Equity Index Fund
    2. The Legal & General Future World Fund

    Each investment fund has its own fund factsheet which provides you more detail about its approach and performance. Can be found here.

  • Think about your options

    If you want to understand your options better, you can compare these funds against other investment choices available using our comparison table. If you’re in any doubt about your investments, it’s always best to get advice from an independent financial advisor. You can also read each fund’s factsheets here.

    Remember, you can change your investment choices at any time. Simply log in and complete the online ‘Your investments choices’ form.

  • The Plan’s commitments to responsible investing

    ESG factors form part of the investment monitoring process carried out by the Trustees to try to get you the best possible outcome for your retirement savings. They:

    • Will work with their advisers and fund managers to better understand the risks and opportunities related to ESG factors
    • Welcome input from members of the Plan on the investments available to them and their views on ESG generally
    • Work with the Company to ensure the Trustees strategy is broadly aligned with that of the Company
    • Look to establish ongoing engagement with the investment fund managers to help influence positive change

    Responsible investing is changing quickly and the investment funds available are increasing almost daily. The Trustees are monitoring developments and will continue to evolve the investment strategy to take advantage of any changes they think are important and in the interest of members.

    If you’d like to find out more about how ESG is included in the Plan’s investment strategy, then you can take a look at the Statement of Principles, and the Chair’s Statement.

  • Morgan Sindall Group’s commitments to responsible investing

    As a Group, Morgan Sindall aspires to support all of our stakeholders in delivering a sustainable future, and to pursue activities that contribute to a more resilient society. The Group wants their legacy to be the positive benefits that they bring to society and the environment in the communities in which they operate.

    The Group supports all of its partners and its priorities are helping combat climate change by reducing the carbon emissions and waste; improving diversity and inclusion across the Group; the health, safety and wellbeing of employees; working with their supply chain; and supporting local communities.

    The Group has committed to a goal of net zero emissions by 2030.

    You can find out more about the Group’s approach here.