Shareholder Action
Document Actions
Stocks
Before buying stocks
1. Avoid investing in corporations identified for their poor environmental and human rights practices.
2. Develop your own Socially & Environmentally Responsible Investment Screen to determine which companies you will allow your money to be used by. Share this with your broker or Financial Planner. (Some Financial Planners may have their own screen in place. Ask to see a copy, to ensure it meets your standards.)
If you already own stock in target companies…
Be an active shareholder
• Work with others to file resolutions calling for social and environmental accountability.
• Vote your proxies (the ballots mailed to shareholders) in support of resolutions calling for social and environmental accountability.
• Write letters to the CEO (which have more clout coming from shareholders).
• Consider donating your shares to an organization like Dogwood Initiative so that they can be an active shareholder on your behalf.
Mutual Funds
If you purchase units in a mutual fund, look for a mutual fund company that has the following policies in place:
• a policy of exercising its voting rights so that it can support resolutions that promote human rights and environmental values made at shareholder meetings when operating on your behalf
• a policy of dialogue or engagement requiring it to pressure companies to disclose the impact of their activities on human rights and environmental values in all countries where they do business
Check what stocks your mutual funds are invested in. If they are invested in a target company, bring your concerns to the investment manager’s attention. Ask them to contact the target company on your behalf about their social or environmental practices in BC.
Pension Plans
If you belong to a pension plan, you can encourage the pension fund trustees to enact similar policies. Canadian law requires that upon request, members of a pension plan must be provided with the plan’s investment policy. Check out the investment policy pertaining to your pension plan (including the section on the exercise of voting rights of the pension committee) to see whether the policy contains provisions for responsible investing in the area of human rights and environmental values.
Many large pension plans already have such policies in place. If your pension plan does include such a policy, then contact the fund administrators and let them know you would like them to systematically use their voting rights to ensure corporations whose shares are held by the plan are socially and environmentally responsible.
What can you do if your fund doesn’t have an investing policy?
At the present time, legislation does not require pension fund managers to acknowledge that they have a responsibility to pursue social or environmental goals. However, as fund managers are concerned with the appreciation and security of the pension assets, they should be aware that social and environmental risks are indeed very real. If your fund doesn’t contain an ethical investment policy, write to your pension committee. Ask them to include general principles in the guidelines on the exercise of voting rights that define the role of social and environmental criteria in the choice of securities and the exercise of voting rights. Let them know that taking into account social and environmental criteria will reduce the long-term risk of investing, and that it is prudent to consider such criteria. Bring this issue to general meetings of your pension committee.
The preparation of a responsible investment policy is the most significant action that can be taken, since such a policy is permanently binding on trustees and all those who report to them, particularly the investment managers.
If your pension fund holds stock directly, or indirectly in a target company bring your concerns to the attention of the pension manager and ask them to contact the target company on your behalf about their social or environmental practices in BC.
Group RRSPs
If you belong to a group RRSP, you can contact your plan manager and ask that socially and environmentally responsible funds be made available to you. Check that you are not inadvertently investing in a target company. If you are, bring your concerns to the attention of the plan manager.
Get others involved
Check the investments held by others in your family -by your parents, your spouse, or your siblings. Help those around you become involved. Ask Dogwood Initiative to help you to hold your own informative event about ethical investing for your community or attend one of our free educational seminars.
Even if you are not personally involved in a pension plan (and of course, most of us will be involved in at least the Canada Pension Plan), people you know are. Ask your friends and co-workers to check their plans.
Ask questions
You are entitled to write and ask questions of your fund managers.
We invite you to include information from Dogwood Initiative's reserach on Shell Canada or Enbridge in BC with your letter.
Stay connected
Check out the Dogwood Initiative website frequently for updated actions that you and your family and friends can get involved with. Let us know of any actions you are taking and send us copies of your letters.
Donate your proxy vote
If you cannot participate in shareholder action then consider allowing Dogwood Initiative to do so on your behalf. With your permission, Dogwood Initiative can vote your proxies (the ballots mailed to shareholders) in support of resolutions calling for social and environmental accountability.
Make a donation to support our work.
To donate shares contact Moira Campbell: email mcampbell@dogwoodinitiative.org or call 250 370 9930 Ex 24.
