Meeting documents

To consider this report from the Funds and Investments Manager.

Mr Sweet referred to the report and invited questions.

It was asked how the results from Brunel compare in the wider context. Mr Sweet stated that Brunel’s drive toward reducing carbon intensity and other social and governance aspects of their activities was strong.

The Local Authority Pension Fund Forum (LAPFF) ensures transparent governance and discussion about corporate governance. As a large investor, the Environment Agency continue to push hard for greener investments and SCC are able to benefit from this lobbying.

It was suggested that a specific allocation is made to green funds. There was discussion about a county-specialism such as solar energy production in Cornwall or tidal, carbon extraction, green hydrogen production from renewables. A move away from property investment towards energy infrastructure was also discussed as well as the need for the energy production site to be close to the energy demand, or alternatively investment in energy storage including microgrids.

It was stated that one of the major pension companies, Legal and General, invest in social housing which will be particularly important where rising inflation makes home ownership unaffordable. It was suggested that social housing is an appropriate investment for LGPS and provides a reasonable return.