New Zealand Professional Investment Services Firm

Forsyth Barr

We are proud to be a New Zealand owned firm, with 21 offices throughout the country and over 300 employees. We assist personal, institutional and corporate clients providing a full range of investment services.

Forsyth Barr is a foundation New Zealand Exchange firm (NZX) and accredited market participant. We have been confirmed by the Financial Markets Authority as a Qualifying Financial Entity (QFE).

Research is the cornerstone of our advice. We have one of New Zealand's leading teams of analysts. Our global affiliations ensure comprehensive research coverage of all major investment markets.

New Zealand Professional Investment Services Firm, Forsyth Barr

Equity Bottom-Up

New Zealand King Salmon / Equity Bottom-Up

<h2>The ESG Agenda</h2>
<h2>Keeping up to Date with the State of Play</h2>
<p></p>
<div>
<p>War is at the top of The ESG Agenda. It is testing the resolve of ESG investors. The need for an accelerated energy transition is now accentuated and it is causing investors to reflect on whether defence stocks have a place in portfolios.&nbsp;</p>
<p>More broadly, ESG remains in the spotlight across the globe and in New Zealand. The agenda is wide-ranging and fast paced. This report provides a short, sharp, digest of recent key developments in this quickly evolving space.​​​​​​​​​​​​​ ​</p>
</div>
<div>
<p><strong>In summary...</strong></p>
<p>Top of mind is Russia's invasion of the Ukraine which highlights the need for an accelerated energy transition and has caused&nbsp;the industry to reflect on whether there is a place for defence stocks in ESG portfolios.</p>
<ul>
<li>From an 'E' perspective, climate change remains a key focus with more research highlighting the need for drastic and immediate action.&nbsp;New Zealand companies are acting. Grid scale solar capacity intentions have risen +102% since 29 March, two new green bond deals have been announced, the Institute of Directors launched&nbsp;a new climate initiative, and&nbsp;we had the first New Zealand company announce performance significantly and negatively impacted due to climate change.</li>
<li>From an 'S' perspective, the Ministry of Business, Innovation and Employment (MBIE) is seeking feedback on proposed legislation regarding modern slavery and worker exploitation in New Zealand.</li>
<li>From a 'G' perspective, NZX is reviewing its Corporate Governance Code and The&nbsp;Centre for Sustainable Finance has begun work that may lead to a&nbsp;Stewardship Code for New Zealand.</li>
</ul>
</div>
<div>
<p><strong>Internationally...</strong></p>
<p>Interesting international developments continue —&nbsp;the pace of change is unrelenting and a focus on curtailing green wash continues. News that caught our attention includes:&nbsp;​​​​​</p>
<ul>
<li>​The US Securities and Exchange Commission (SEC) proposed rule changes that would require issuers to include certain climate-related disclosures in their public statements and periodic reports.</li>
<li>The&nbsp;Taskforce&nbsp;on Nature-related Financial Disclosures (TNFD) released a&nbsp;<a href="https://tnfd.global/tnfd-framework/" target="_blank" data-saferedirecturl="https://www.google.com/url?q=https://tnfd.global/tnfd-framework/&amp;source=gmail&amp;ust=1651819934936000&amp;usg=AOvVaw2S-m9_OQekyH-a0irAMPTG" rel="noopener">prototype</a>&nbsp;for its nature-related risk-management and disclosure framework.</li>
<li>The UK Financial Conduct Authority (FCA)&nbsp;announced rules for listed companies to disclose on diversity and inclusion at the board and executive committee level.</li>
<li>The EU released its final report&nbsp;on a Social Taxonomy —&nbsp;a classification of economic activities that significantly contribute to social goals and contribute to the development of a more inclusive society.&nbsp;​​​​​​​</li>
</ul>
</div>
<div>
<p><strong>Next up...</strong></p>
<p>We expect the government to deliver New&nbsp;Zealand's&nbsp;first Emissions Reduction Plan (ERP) this month, integrating necessary spend with the main Budget, scheduled&nbsp;19 May 2022. The ERP, when released, will be a cornerstone of New&nbsp;Zealand's&nbsp;response to climate change. It will clearly highlight the actions businesses, companies and society need to take in the immediate years in order to put us on a net zero 2050 pathway.</p>
</div>

The ESG Agenda
Keeping up to Date with the State of Play


War is at the top of The ESG Agenda. It is testing the resolve of ESG investors. The need for an accelerated energy transition is now accentuated and it is causing investors to reflect on whether defence stocks have a place in portfolios.&nbsp;
More broadly, ESG remains in the spotlight across the globe and in New Zealand. The agenda is wide-ranging and fast paced. This report provides a short, sharp, digest of recent key developments in this quickly evolving space.​​​​​​​​​​​​​ ​


In summary...
Top of mind is Russia's invasion of the Ukraine which highlights the need for an accelerated energy transition and has caused&nbsp;the industry to reflect on whether there is a place for defence stocks in ESG portfolios.

From an 'E' perspective, climate change remains a key focus with more research highlighting the need for drastic and immediate action.&nbsp;New Zealand companies are acting. Grid scale solar capacity intentions have risen +102% since 29 March, two new green bond deals have been announced, the Institute of Directors launched&nbsp;a new climate initiative, and&nbsp;we had the first New Zealand company announce performance significantly and negatively impacted due to climate change.
From an 'S' perspective, the Ministry of Business, Innovation and Employment (MBIE) is seeking feedback on proposed legislation regarding modern slavery and worker exploitation in New Zealand.
From a 'G' perspective, NZX is reviewing its Corporate Governance Code and The&nbsp;Centre for Sustainable Finance has begun work that may lead to a&nbsp;Stewardship Code for New Zealand.



Internationally...
Interesting international developments continue —&nbsp;the pace of change is unrelenting and a focus on curtailing green wash continues. News that caught our attention includes:&nbsp;​​​​​

​The US Securities and Exchange Commission (SEC) proposed rule changes that would require issuers to include certain climate-related disclosures in their public statements and periodic reports.
The&nbsp;Taskforce&nbsp;on Nature-related Financial Disclosures (TNFD) released a&nbsp;prototype&nbsp;for its nature-related risk-management and disclosure framework.
The UK Financial Conduct Authority (FCA)&nbsp;announced rules for listed companies to disclose on diversity and inclusion at the board and executive committee level.
The EU released its final report&nbsp;on a Social Taxonomy —&nbsp;a classification of economic activities that significantly contribute to social goals and contribute to the development of a more inclusive society.&nbsp;​​​​​​​



Next up...
We expect the government to deliver New&nbsp;Zealand's&nbsp;first Emissions Reduction Plan (ERP) this month, integrating necessary spend with the main Budget, scheduled&nbsp;19 May 2022. The ERP, when released, will be a cornerstone of New&nbsp;Zealand's&nbsp;response to climate change. It will clearly highlight the actions businesses, companies and society need to take in the immediate years in order to put us on a net zero 2050 pathway.


The ESG Agenda: Keeping up to Date with the State of Play