Occupational Pension Funds (IORPs) & Sustainability: What does the Prudent Person Principle say?

Research output: Contribution to journal › Journal article › Research › peer-review

Standard

Occupational Pension Funds (IORPs) & Sustainability: What does the Prudent Person Principle say? / Horváthová, Alexandra; Feldthusen, Rasmus Kristian; Ulfbeck, Vibe Garf.

In: Nordic Journal of Commercial Law, No. 1, 2017, p. 28-54.

Research output: Contribution to journal › Journal article › Research › peer-review

Harvard

Horváthová, A, Feldthusen, RK & Ulfbeck, VG 2017, 'Occupational Pension Funds (IORPs) & Sustainability: What does the Prudent Person Principle say?', Nordic Journal of Commercial Law, no. 1, pp. 28-54.

APA

Horváthová, A., Feldthusen, R. K., & Ulfbeck, V. G. (2017). Occupational Pension Funds (IORPs) & Sustainability: What does the Prudent Person Principle say? Nordic Journal of Commercial Law, (1), 28-54.

Vancouver

Horváthová A, Feldthusen RK, Ulfbeck VG. Occupational Pension Funds (IORPs) & Sustainability: What does the Prudent Person Principle say? Nordic Journal of Commercial Law. 2017;(1):28-54.

Author

Horváthová, Alexandra ; Feldthusen, Rasmus Kristian ; Ulfbeck, Vibe Garf. / Occupational Pension Funds (IORPs) & Sustainability: What does the Prudent Person Principle say?. In: Nordic Journal of Commercial Law. 2017 ; No. 1. pp. 28-54.

Bibtex

@article{3a6ba80daa274664a98846b8fed61d89,
title = "Occupational Pension Funds (IORPs) & Sustainability: What does the Prudent Person Principle say?",
abstract = "The European Union encourages individuals to save in private and occupational pension funds to complement their state saving-plans. Throughout their lives, employers directly sponsor occupational retirement saving plans, so individual employees may top up their future pensions. While the European Union clearly supports the formation and cross-border participation in these financial vehicles by adopting EU regulatory framework, the EU has also decided to determine a common investment decision standard to be used in all Member States, called the Prudent Person Principle. According to this principle, the fund - the future retirement for many - shall be managed with care, the skill of an expert, prudence and due diligence. Under this principle, the pension fund{\textquoteright}s governing body is given a broad authority to invest the pension assets in a prudent fashion in light of the particular investment plan of a fund. At the same time, the EU is also moving towards more Responsible Investment and inclusion of the ESG-principles (Environment, Social and Governance). The question we aim to answer in this paper is how these two principles co-exist and whether, due to the new Directive adopted by the occupational pension funds in 2016, all funds are obliged to make only responsible, environmentally and socially beneficial investments.",
keywords = "Faculty of Law, Prudent Person, Occupational Pensions Funds",
author = "Alexandra Horv{\'a}thov{\'a} and Feldthusen, {Rasmus Kristian} and Ulfbeck, {Vibe Garf}",
year = "2017",
language = "English",
pages = "28--54",
journal = "Nordic Journal of Commercial Law",
issn = "1459-9686",
publisher = "University of Turku Faculty of Law",
number = "1",

}

RIS

TY - JOUR

T1 - Occupational Pension Funds (IORPs) & Sustainability: What does the Prudent Person Principle say?

AU - Horváthová, Alexandra

AU - Feldthusen, Rasmus Kristian

AU - Ulfbeck, Vibe Garf

PY - 2017

Y1 - 2017

N2 - The European Union encourages individuals to save in private and occupational pension funds to complement their state saving-plans. Throughout their lives, employers directly sponsor occupational retirement saving plans, so individual employees may top up their future pensions. While the European Union clearly supports the formation and cross-border participation in these financial vehicles by adopting EU regulatory framework, the EU has also decided to determine a common investment decision standard to be used in all Member States, called the Prudent Person Principle. According to this principle, the fund - the future retirement for many - shall be managed with care, the skill of an expert, prudence and due diligence. Under this principle, the pension fund’s governing body is given a broad authority to invest the pension assets in a prudent fashion in light of the particular investment plan of a fund. At the same time, the EU is also moving towards more Responsible Investment and inclusion of the ESG-principles (Environment, Social and Governance). The question we aim to answer in this paper is how these two principles co-exist and whether, due to the new Directive adopted by the occupational pension funds in 2016, all funds are obliged to make only responsible, environmentally and socially beneficial investments.

AB - The European Union encourages individuals to save in private and occupational pension funds to complement their state saving-plans. Throughout their lives, employers directly sponsor occupational retirement saving plans, so individual employees may top up their future pensions. While the European Union clearly supports the formation and cross-border participation in these financial vehicles by adopting EU regulatory framework, the EU has also decided to determine a common investment decision standard to be used in all Member States, called the Prudent Person Principle. According to this principle, the fund - the future retirement for many - shall be managed with care, the skill of an expert, prudence and due diligence. Under this principle, the pension fund’s governing body is given a broad authority to invest the pension assets in a prudent fashion in light of the particular investment plan of a fund. At the same time, the EU is also moving towards more Responsible Investment and inclusion of the ESG-principles (Environment, Social and Governance). The question we aim to answer in this paper is how these two principles co-exist and whether, due to the new Directive adopted by the occupational pension funds in 2016, all funds are obliged to make only responsible, environmentally and socially beneficial investments.

KW - Faculty of Law

KW - Prudent Person

KW - Occupational Pensions Funds

UR - https://journals.aau.dk/index.php/NJCL/article/download/1980/1535

M3 - Journal article

SP - 28

EP - 54

JO - Nordic Journal of Commercial Law

JF - Nordic Journal of Commercial Law

SN - 1459-9686

IS - 1

ER -

ID: 183858930