The University’s updated responsible investment policy: what does it mean?

The University of Stirling recently released an update to their socially responsible investment policy. Many of the changes were championed by students.

An institution’s investment policy dictates what places they should invest their money into, usually aimed at making the most money.

It also lays out which non-economic principles should be taken into account when investing.

A responsible investment policy adds an ethical dimension to these decisions.

The issue areas mentioned in such a policy will tell you which sorts of industries not to invest in due to ethical concerns.

A policy might also dictate when it should be revised, or who has a say in revisions.

Students from Global Justice Stirling told Brig: “Previously, the university’s responsible investment policy had several weak points”.

One of these weak points was investment in arms and fossil fuel companies, which was only prevented if the investment was direct.

This allowed the university to invest in funds that invest in fossil fuels and weapons manufacturers, circumventing the ethics of the policy.

Another issue was the lack of transparency or student involvement in the policy.

The new changes aim to fix several of these issues. Now direct or indirect investment into fossil fuels and weapons manufacturers are prevented.

Additionally, the policy now requires student involvement and requires all investments made to be published annually.

Finally, the policy now names the border industry as an area of concern but doesn’t limit investment at this time. 

When asked about the changes, a spokesperson for the University of Stirling said: “Following a successful collaboration with our Students’ Union, the University has updated its Socially Responsible Investment Policy. The updated policy further enhances monitoring and transparency, for example through regular meetings and reviews by external investment managers.

“It is important to us that our students are part of the implementation and ongoing monitoring of this policy.”

Vice President of Communities of the Students’ Union, Justine Pédussel, also commented: “This policy is a huge win as a result of years of campaigning so everyone involved should be very proud of themselves.

“Unfortunately, the policy does not yet explicitly prevent investments in the border industry so this would be an area that we would need to keep focusing on.” 

The University of Stirling is the first university in Scotland to name the border industry as an issue in their investment policy. 

The updated policy can be found here: A–Z of policies and guidance | About | University of Stirling

Image Credit: Global Justice Stirling

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