Despite the increase in the acceptance of responsible investing in general, the global community is still witnessing unprecedented levels of practices that can only be categorized as “unsustainable”. It appears, then, that either the inroads made by the RI community have not kept up with the increase in unsustainable practices, or, that the RI process itself has been ineffective at producing meaningful change. The current study aims to investigate the practices used by pension plan sponsors to determine how they (...) may enable, or interfere with, the adoption of implementation of RI. We adopt Framing Theory, specifically the idea that particular frames find alignment when they resonate with their targets, by either bridging, extending, amplifying or transforming a domain. We extend research to include understudied practices by performing an analysis of 60 public pension funds in Canada. We find evidence of disconnect between the financial frame which dominates practices for compliance and evaluation, and the social frame of RI as a source of change. If the aim of RI is to produce long-term change, then a consideration of whether it aligns with extant practices is critical. We discover a variety of frame alignment tactics already employed in practice. We also find that, even within the dominant financial frame, opportunities for frame extension, amplification and transformation do exist, and examine how these are more possible depending on how the asset management structure is designed. (shrink)

>With assets of over US$1.0 trillion and growing, public pension funds in the United States have become a major force in the private sector through their holding of equity positions in large publicly traded corporations. More recently, these funds have been expanding their investment strategy by considering a corporations long-term risks on issues such as environmental protection, sustainability, and good corporate citizenship, and how these factors impact a companys long-term performance. Conventional wisdom argues that the fiduciary responsibility of (...) the pension funds trustees must be solely focused on their beneficiaries and, therefore, their investment criteria must be based strictly on narrowly defined financial measures. It is also asserted that well-established financial measurements of corporate performance already include long-term risk assessment through discounted present value of future flow of earnings. Consequently, all other criteria are contrary to the best interest of the pension funds beneficiaries. In this paper, we assert that, contrary to conventional wisdom, pension funds, and for that matter other mutual funds, must be concerned with the long-term survival and growth of corporations. These measures are generally referred to socially responsible investing (SRI) and when applied to corporations, it is termed socially responsible corporate conduct (SRCC). We demonstrate that current measurement of future risk assessment invariably understates, and quite often completely overlooks, these long-term risks because of the inherent bias towards short-run on the part of financial intermediaries whose compensation depends greatly on short-term results. Furthermore, there is ample evidence to suggest that these intermediaries have been engaging in self-serving practices and thus failing in their duties to serve their clients, i.e. pension funds, best interests. Because of their large holdings in the total market as well as individual companies, these funds cannot easily divest from poorly performing companies without destabilizing the companies stock and overall markets. Hence, they must opt for a strategy of emphasizing investment criteria that encourage companies to take into account long-term aspects of their operations in terms of their impact on environment, sustainability, and community welfare, to name a few. We argue that an exclusionary, and even a primary, focus on short-term financial criteria is no longer a viable option. It also calls for the pension funds to encourage greater transparency and accountability of the entire corporate sector through improved corporate governance. Thus socially responsible investing practices are not merely discretionary and desirable activities; they are a necessary imperative, which both the corporations and public pension funds, and other large institutional holders, will ignore at serious peril to themselves. Finally, the paper considers some of the recent developments where corporations have been responding to these challenges and how their actions might be strengthened through greater disclosure and transparency of corporate activities. It also makes recommendations for the pension funds to support further research in creating new measurement standards that further refine the concept of socially responsible investing as a necessary ingredient of long-term corporate survival and growth in the context of a changing economic, environmental and socio-political dynamic. (shrink)

With assets of over US$1.0 trillion and growing, public pension funds in the United States have become a major force in the private sector through their holding of equity positions in large publicly traded corporations. More recently, these funds have been expanding their investment strategy by considering a corporation's long-term risks on issues such as environmental protection, sustainability, and good corporate citizenship, and how these factors impact a company's long-term performance. Conventional wisdom argues that the fiduciary responsibility of (...) the pension funds' trustees must be solely focused on their beneficiaries and, therefore, their investment criteria must be based strictly on narrowly defined financial measures. It is also asserted that well-established financial measurements of corporate performance already include long-term risk assessment through discounted present value of future flow of earnings. Consequently, all other criteria are contrary to the best interest of the pension funds' beneficiaries. In this paper, we assert that, contrary to conventional wisdom, pension funds, and for that matter other mutual funds, must be concerned with the long-term survival and growth of corporations. These measures are generally referred to "socially responsible investing" and when applied to corporations, it is termed "socially responsible corporate conduct." We demonstrate that current measurement of future risk assessment invariably understates, and quite often completely overlooks, these long-term risks because of the inherent bias towards short-run on the part of financial intermediaries whose compensation depends greatly on short-term results. Furthermore, there is ample evidence to suggest that these intermediaries have been engaging in self-serving practices and thus failing in their duties to serve their clients', i.e. pension funds', best interests. Because of their large holdings in the total market as well as individual companies, these funds cannot easily divest from poorly performing companies without destabilizing the companies' stock and overall markets. Hence, they must opt for a strategy of emphasizing investment criteria that encourage companies to take into account long-term aspects of their operations in terms of their impact on environment, sustainability, and community welfare, to name a few. We argue that an exclusionary, and even a primary, focus on short-term financial criteria is no longer a viable option. It also calls for the pension funds to encourage greater transparency and accountability of the entire corporate sector through improved corporate governance. Thus socially responsible investing practices are not merely discretionary and desirable activities; they are a necessary imperative, which both the corporations and public pension funds, and other large institutional holders, will ignore at serious peril to themselves. Finally, the paper considers some of the recent developments where corporations have been responding to these challenges and how their actions might be strengthened through greater disclosure and transparency of corporate activities. It also makes recommendations for the pension funds to support further research in creating new measurement standards that further refine the concept of socially responsible investing as a necessary ingredient of long-term corporate survival and growth in the context of a changing economic, environmental and socio-political dynamic. (shrink)

From a simple idea to unite asset owners in their quest for responsible investment at its launch in April 2006, the United Nations supported Principles for Responsible Investment have grown in just one decade into an initiative with more than 1500 fee-paying signatories. Jointly, the PRI’s signatories hold assets worth more than $80 trillion, making it one of the more prevalent not-for-profit organizations worldwide. Furthermore, the PRI’s ambitious mission to transform the financial system at large into a more sustainable (...) one makes it a worthwhile subject of inquiry from an institutional perspective. We undertake an empirical investigation of the adoption of the PRI by asset owners during five crucial years of the association’s emergence: 2007–2011. Following a tripartite view of institutional theory proposed by Scott, we explore if regulative, normative, and cultural–cognitive factors influence an asset owner’s decision to subscribe to the PRI. Applying both parametric and non-parametric survival analysis, we find that asset owners are indeed significantly affected by normative, cultural–cognitive, and regulative aspects. In particular, public service employee and labor union pension funds from social backgrounds more culturally aligned with values represented by the RI movement with historically more voluntary legislation on environmental, social, and governance issues are most likely to sign the PRI. In contrast, institutional environments with a higher number of pre-existing mandatory ESG regulation decrease the likelihood of signing the PRI. Our results indicate that normative and cultural–cognitive factors were crucial contributors to the PRI’s growth. With respect to the regulative environments, our results imply that some asset owners may use the PRI as a collective industry initiative to substitute for mandatory legislation. Conversely, a high level of historical mandatory legislation may constrain organizational resources that could otherwise be dedicated to voluntary initiatives such as PRI. Our findings are robust to relevant controls and econometric concerns. (shrink)

This study empirically analyses the exclusion of companies from investors’ investment universe due to a company’s business model or due to a company’s violations of international norms. We conduct a time-series analysis of the performance implications of the exclusion decisions of two leading Nordic investors, Norway’s Government Pension Fund-Global and Sweden’s AP-funds. We find that their portfolios of excluded companies do not generate an abnormal return relative to the funds’ benchmark index. While the exclusion portfolios show higher risk than (...) the respective benchmark, this difference is only statistically significant for the case of GPFG. These findings suggest that the exclusion of the companies generally does not harm funds’ performance. We interpret these findings as indicative that with exclusionary screening, as practiced by the sample funds, asset owners can meet the ethical objectives of their beneficiaries without compromising financial returns. (shrink)

Old-age income protection is provided in wealthy democracies by publicly funded defined-benefit pensions. Budgetary challenges have forced policy makers to consider private alternatives to these traditional systems. I consider the shortcomings of private saving arrangements in duplicating the advantages of public pensions. Some shortcomings can be overcome by introducing compulsory elements into private saving plans. Worker contributions into such plans could be mandatory; some or all worker accumulations in the plans could be converted to annuities at retirement; and workers’ investment (...) choices could be narrowly circumscribed. These restrictions do not eliminate the biggest weakness of private saving plans. Fluctuations in asset prices make it hard even for well-informed savers to select an affordable saving rate and an investment strategy that will assure decent income in old age. Public pension systems partly insulate workers against economic and financial market risks by sharing those risks broadly across workers, retirees, and taxpayers in multiple generations. (shrink)

Development and strengthening of private pension funds market is impossible without a thorough analysis of its current state, identify unresolved problems in operation. Given the results of the analysis of investment of a fund can be identified difficulties in development funds: - negative impact of the crisis on the financial system as a whole, so that was undermined public confidence in all financial institutions; - reduce solvency population as rising prices, utility costs, and wages almost "frozen", save for retirement (...) is becoming increasingly difficult; - coagulation participation of employers in pension programs for their employees, because in times of crisis, many companies find themselves in dire financial straits and limited amounts of pension contributions; - negative signal to the scheme as slowed down compared to the pre-crisis period of growth by pension funds; - need to improve pension schemes and improving the investment of pension funds; - data reporting of private pension funds show a decrease yields of most funds. Private pension funds should be able to use options, but only to hedge risks on stocks, as most other assets, placing the premiums of private pension funds - a fixed income. Application options would allow private pension funds to hedge against decline in the market value of the shares. Of course, the use of options will decrease the yield of pension funds, but they will be no significant damage. (shrink)

Concerns about population ageing apply to both developed and many developing countries and it has turned into a global issue. In the forthcoming decades the population ageing is likely to become one of the most important processes determining the future society characteristics and the direction of technological development. The present paper analyzes some aspects of the population ageing and its important consequences for particular societies and the whole world. Basing on this analysis, we can draw a conclusion that the future (...) technological breakthrough is likely to take place in the 2030s (which we define as the final phase of the Cybernetic Revolution). In the 2020s – 2030s we will expect the upswing of the forthcoming sixth Kondratieff wave, which will introduce the sixth technological paradigm (system). All those revolutionary technological changes will be connected, first of all, with breakthroughs in medicine and related technologies. We also present our ideas about the financial instruments that can help to solve the problem of pension provision for an in-creasing elderly population in the developed countries. We think that a more purposeful use of pension funds' assets together with an allocation (with necessary guarantees) of the latter into education and upgrading skills of young people in developing countries, perhaps, can partially solve the indicated problem in the developed states. (shrink)

Responsible investing (RI) is a growing phenomenon in the international investment arena. This article investigates the level of knowledge of members of South African pension/provident funds with regard to RI and the importance with which they view various ethical, environmental, social and governance (ESG) criteria. Respondents ( n = 281) indicated a relatively low level of understanding of the concept of RI. Significant differences were noted in the perceptions of respondents about the relative importance of ethical and ESG criteria (...) based on their gender and level of education. The findings could assist asset owners in reformulating their investment mandates, which in turn, will enable fund managers to invest in a more responsible manner. (shrink)

Canvassing has become a profession following the pension system reform that established open pension funds collecting contributions from individuals. Because pension insurance performs social functions, it is necessary to ensure that the canvassers demonstrate professionalism as well as the necessary ethical attitudes. This means that the appropriate legal criteria for their selection must exist and that the persons themselves should meet integrity and moral requirements, so that the reliability of services is guaranteed. Canvassing focuses on persuading individuals (...) to join an open pension fund (OPF) or remain its member so it plays a relatively important role. In the first place, the canvassers impart knowledge on how the pension system works, on the importance of being an OPF member, etc. Besides, canvassing accounts for a large part of OPFs’ financial management that spent increasingly large amounts to acquire new members as reported by the Polish Financial Supervision Authority. Poaching members of other OPFs, particularly those with long membership, is an effective way for a fund to increase the value of its assets, however multiplying the canvassing costs. The insured themselves are also affected, as the canvassers compete for them ruthlessly, reaching sometimes for ethically dubious methods. (shrink)

This article studies institutional investor allocations to the socially responsible asset class. We propose two elements influence socially responsible institutional investment in private equity: internal organizational structure, and internationalization. We study socially responsible investments from Dutch institutional investments into private equity funds, and compare socially responsible investment across different asset classes and different types of institutional investors (banks, insurance companies, and pension funds). The data indicate socially responsible investment in private equity is 40–50% more common when the decision to (...) implement such an investment plan is centralised with a single chief investment officer. Socially responsible investment in private equity is also more common among institutional investors with a greater international investment focus, and less common among fund-of-fund private equity investments. (shrink)

In this article we try to estimate the activity of the banking institution in the General Government which used the pre-war apparatus of The National Bank of Agriculture. The bank was one ofthe largest banks realising the aim delineated by the government of the Second Polish Republic, such as the support of agricultural reform in the mid-war period. German authorities in the General Government used assets of the bank for other tasks. They were eager to use The National Bank (...) of Agriculture and the Polish staff employed in the bank in order to liquidate fast and effectively the mid-war assets of the bank. Leaving The National Bank of Agriculture was also good for Polish staff in the bank. Raising pre-war debts was the only way to guarantee salary and pensions forthe employees of the National Bank of Agriculture and taking care of them in the hard life of occupation. The activity of the National Bank of Agriculture in the General Government was also profitable for a part of debtors as they could pay the pre-war credits earlier. One reason for agriculture farms becoming poorer and even ruined was war actions and the occupation. However, the farmers could save money and gather capital more easily. When they often sold food in secret, they got a large amount of money. In many cases, paying back the pre-war debt was the only reasonable way of getting rid of almost valueless money, although it did not mean that it was done without doubts. In the beginning, many people claimed that they would give it back to whom they had borrowed from. However, after a while the patriotism of farmers who were debtors was overcome by the willingness to have no debts and leave children in a new condition. The period of German occupation and increasing inflation was used for paying back the debt in valueless money, not only by farmers but also by owners of the large mansions such as Earl Adam Branicki. (shrink)

This paper sought to develop a literature review-based framework for fitting research projects into philosophies of research. The philosophical underpinning of the study to optimize the financial performance of pension funds through asset allocation and portfolio management decisions was used as a case in point. The paper argues that all knowledge generation processes should be deeply rooted in philosophy if they are to produce reliable solutions to research problems. The study established that the research approaches and the science of (...) doing research need to be informed by the philosophical positions of reality, knowledge, logic and ethical stance of the researcher. It is also noted that the philosophical positions of the researcher should be derived from the objective or subjective nature of the variables in the research problem. In relation to optimizing the financial performance of pension funds, the study concluded that pragmatism is the most appropriate guiding philosophy for determining the ontological, epistemological, axiological and methodological positions of the researcher. It is also concluded that the mixed method research paradigm, implemented through the explanatory sequential design is a better approach to comprehensively understand the subject matter since pension fund financial performance is a function of both subjective and objective factors. (shrink)

On February 11, 2003, the Second Circuit ruled in Cicio v. Vytra Healthcare that patients may in some cases sue health maintenance organizations for medical malpractice under state law. The decision is particularly notable for opening the door to state tort claims in an area that had heen considered preempted by the Employee Retirement Income Security Act of 1974.ERISA is a federal statute that regulates employee benefit plans, establishing a complex set of rules and minimum standards for most health and (...) pension plans in private industry. ERISA requires that participants receive certain information about their benefits plans, and imposes fiduciary responsibilities on individuals with discretionary control over plan assets. These individuals have certain specific duties, and are required to work “solely in the interest of the participants and beneficiaries and for the exclusive purpose of: providing benefits to participants and their beneficiaries; and defraying reasonable expenses of administering the plan.”. (shrink)

On February 11, 2003, the Second Circuit ruled in Cicio v. Vytra Healthcare that patients may in some cases sue health maintenance organizations for medical malpractice under state law. The decision is particularly notable for opening the door to state tort claims in an area that had heen considered preempted by the Employee Retirement Income Security Act of 1974.ERISA is a federal statute that regulates employee benefit plans, establishing a complex set of rules and minimum standards for most health and (...) pension plans in private industry. ERISA requires that participants receive certain information about their benefits plans, and imposes fiduciary responsibilities on individuals with discretionary control over plan assets. These individuals have certain specific duties, and are required to work “solely in the interest of the participants and beneficiaries and for the exclusive purpose of: providing benefits to participants and their beneficiaries; and defraying reasonable expenses of administering the plan.”. (shrink)

Sustainable investment (SI), which integrates social, environmental and ethical issues, has grown from a niche market of individual ethical investors to embrace institutional investors (e.g. pension funds) resulting in £764 billion in assets under management in the UK alone [Eurosif, 2008 : ‘European SRI Study 2008’ (Eurosif, Paris)]. Explaining this growth is complex, involving shifts in personal and collective values, reactions to corporate scandals, scientific and media pronouncements about climate change, Government initiatives, responses from financial markets and the (...) influence of SI innovators in The City of London. The article examines the influence of human agency through interviews with 14 SI champions who have variously been responsible for launching SI funds and changing investment processes and organisational structures in order to enhance SI. Interviewees were asked about their motivations and persuasive strategies, the obstacles they faced and how they overcame them as well as broader implications of SI for financial markets. The following key categories inform the results and the discussion: Values; Conservatism, Antipathy and Incredulity; Optimism and Sympathy from Insiders; The Social and Political Context; The Business Case; Organisational Constraints; Inappropriate forms of Remuneration; Short-termism; The Nature of Capitalism. Three discourses were also identified. The first is the necessity to make a business case for SI; the second is the benefits that SI can bring to the quest of overcoming short-termism; the third is a belief that for SI to have a significant influence, greater government intervention is required. (shrink)

This study was part of a larger cross-national research project at the Norway’s University of Bergen, which involved participants from over 30 countries. This undertaking delves into developmental assets, creativity, and thriving, and the part they play in determining mental health. Thus, this study examined the developmental assets, creativity, thriving, and their importance to mental health in a sample of Malaysian emerging adults. This study was based on a sample of 394 undergraduate students, comprising 264 females and 130 (...) males, ranging between the ages of 18 and 26 years. Two subscales of the Reisman diagnostic creativity assessment were used to measure creativity. Meanwhile, thriving indicators of Search Institute were used to measure thriving while the short form of the mental health continuum for adolescents was used to measure mental health. An online Google form was used to collect data from university students enrolled in both public and private universities. The correlation analysis results revealed that all the variables were positively correlated to each other and that the relationship between development assets, creativity, thriving, and mental health ranged from weak to moderate. Multiple regression analysis produced four models that indicated that positive identity, support, creativity, and thriving have a significant influence on mental health among emerging adults. Further, analyses using the PROCESS procedure demonstrated significant indirect effects of positive identity and support on mental health through its effects on creativity and thriving. As such, it is our recommendation that mental health practitioners tailor their treatment approach to include positive identity, support, creativity, and thriving in their sessions with Malaysian emerging adults. (shrink)

This study explores the underlying drivers of US public pension funds’ tendency to tilt their portfolios towards companies with stronger corporate social responsibility. Studying the equity holdings of large, internally managed US state pension funds, we find evidence that the political leaning of their beneficiaries and political pressures by state politicians affect funds’ investment decisions. State pension funds from states with Democratic-leaning beneficiaries tilt their portfolios more strongly towards companies that perform well on CSR issues, and this (...) tendency is intensified when the state government is dominated by Democratic state politicians. Moreover, we find that funds which tilt their portfolios towards companies with superior CSR scores generate a slightly higher return compared with their counterparts. Overall, our findings indicate that funds align their investment choices with the financial and non-financial interests of their beneficiaries when deciding whether to incorporate CSR into their equity allocations. (shrink)

Publication date: 2 May 2019 Source: Author: Zoran Mastilo Aim of this paper is to, by means of comparative analysis, demonstrate that contemporary pension systems are limitation factors of development of the Republic of Srpska, and that they should be reformed and improved. Ultimately, pension systems should be the basis for development of the Republic of Srpska. They should significantly improve strengthening of financial markets, enhancement of capital markets, higher growth rates of the Republic of Srpska, idecrease of (...) unemployment. Private pension funds are to change the habits and ideas of every future insurance holder, aiming to make the pension rights a matter of concern of every individual, instead being the obligation and ballast of the society. Today, stabile financing of pension systems and their funds is becoming increasingly questionable. A gap is emerging between the area of rights gained by law and financial possibilities for their implementation. Pay-as-you-go systems, i.e. systems of inter-generation solidarityare particularly endangered. Adequate systematization of gathered data, i.e. evidence, should provide conclusions that pension systems are a limitation todevelopment of national economy. This claim is present in underdeveloped and developing countries, with developed economies also facing grave problems. (shrink)

The aim of this article is to define the actual construction of the Japanese pension system influenced by the economic and social challenges and implemented pension system reforms. In this article, the development of Japanese pension system reforms is analysed, as well as legal, economic, social environment is identified. Until recently, it was a common perception that Japan has managed economic success without worsening the income inequality and pension benefits, but since the economic recession in the (...) 1990, the Japanese pension system faces a new challenge. Moreover, the Japanese population is ageing rapidly (low birth rate, long life expectancy), therefore, ageing influences the entire society and requires more complex and pressing pension system reforms. Analysis of scientific literature, legal acts, documents, historical methods was used. It may be used as methodical literature studying the actual processes in the field of the pension system reforms in Asian countries. (shrink)

The aim of this article is to define the actual construction of the modern 21st century’s Lithuanian pension system influenced by the last economic crisis and social challenges (ageing processes, raising social expenses) and implemented pension system reforms. Problems of the Lithuanian pension system are similar to those of the other European Union countries; therefore international organization recommendations and indications for future reforms should be evaluated and implemented. In this article Lithuanian pension system reforms are analyzed (...) in the light of the recommendations of international organizations and situation in the European Union. Analysis of scientific literature, legal acts, documents, historical methods, were used. It may be used as methodical literature studying the actual processes in the field of the pension system reforms of Lithuania and experience of international organizations in this field. (shrink)

이 글은 「불교와 공익자산」에 대하여 연구한 논문이다. 일반적으로 ‘공익’이란 말은 명사로서 ‘공공의 이익, 공동의 이익’이라는 의미가 있으며, 자산(資産asset)은 명사로서 사전정의는 경제개인이나 법인이 소유하고 있는 경제적 가치가 있는 유형ㆍ무형의 재산으로 크게 유동 자산과 고정 자산으로 대별된다.BR 본 논문에서는 불교의 공익자산의 물질적인 측면과 정신적인 측면, 그리고 『금강경』에 보이는 공익자산정신을 중심으로 살펴보았다. 먼저 물질적인 측면은 한국 불교의 전통사찰을 중심으로 살폈고, 정신적인 측면은 선사상을 중심으로 접근하여 분석해보았다. 그리고 『금강경』에 보이는 공익자산정신을 보살도(菩薩道)와 선(禪)[冥想]사상에 입각하여, 『금강경』에 설해진 보시바라밀과 인욕바라밀에 대하여 살펴보았다. 그 결과, 불교와 공익자산은 우리의 (...) 일상생활과 뗄레야 뗄 수 없는 불가분의 관계에 있다는 것이다. 왜냐하면 정신적인 측면에서 불교의 궁극적 목적은 마음의 자유로운 경지[해탈, 열반]에 도달하는 데 있기 때문이다. 따라서 불교경전 도처에 등장하고 있는 수많은 보살대중이 한결같이 모든 중생을 구제하겠다는 서원을 세우고, 그 서원을 실천하는 이타행(利他行) 역시 인류에게 정신적인 유익함을 줄 수 있는 수승한 불교의 공익자산인 것이다. (shrink)

Summary The occasional (and belated) concern of the British Government with science in the nineteenth century is a matter of potential interest to historians of science, yet many previous studies have tended to range over a variety of different aspects of the question. There have been too many vague allusions to financial support as ‘money for science’ in general. It is time that particular parts of the problem were unpacked. For example, the award of money (from the 1820s) to pay (...) a few people of independent means for apparatus was quite distinct from the provision (from the 1830s) of an occasional pension. Even then, to speak of ‘pensions’ uncovers unfortunate ambiguities. For too long science in Britain was regarded as no more than a private hobby for the well-to-do. As late as 1856 an official government statement seemed to make this attitude official. The English attitude to pensions differed remarkably from the French, who established a precedent in the reward of savants, sometimes quoted enviously by British men of science. In 1837 Robert Peel virtually admitted that, in awarding pensions to ‘cultivators of science’, he was following the French practice. It may also be useful to emphasise the contrast between the English (often led by Cambridge professors) and the Scots, mostly from Edinburgh, mainly represented here by Whewell and Brewster, respectively. Babbage had a different role in this story from that usually told. A large part in supporting men of science of modest means could have been played by the British Association for the Advancement of Science but it consistently refused to do so, although it supported an elite among its own members. (shrink)

Strengthening the abilities of smallholder farmers in developing countries, particularly women farmers, to produce for both home and the market is currently a development priority. In many contexts, ownership of assets is strongly gendered, reflecting existing gender norms and limiting women’s ability to invest in more profitable livelihood strategies such as market-oriented agriculture. Yet the intersection between women’s asset endowments and their ability to participate in and benefit from agricultural interventions receives minimal attention. This paper explores changes in gender (...) relations and women’s assets in four agricultural interventions that promoted high value agriculture with different degrees of market-orientation. Findings suggest that these dairy and horticulture projects can successfully involve women and increase production, income and the stock of household assets. In some cases, women were able to increase their control over production, income and assets; however in most cases men’s incomes increased more than women’s and the gender-asset gap did not decrease. Gender- and asset-based barriers to participation in projects as well as gender norms that limit women’s ability to accumulate and retain control over assets both contributed to the results. Comparing experiences across the four projects, especially where projects implemented adaptive measures to encourage gender-equitable outcomes, provides lessons for gender-responsive projects targeting existing and emerging value chains for high value products. Other targeted support to women farmers may also be needed to promote their acquisition of the physical assets required to expand production or enter other nodes of the value chain. (shrink)

This essay examines asset development for the poor as an approach to reducing poverty. Because there has been very little discussion of this approach by Christian ethicists, my primary purpose is to introduce and defend the rationale for developing assets for the poor. I begin with a discussion of conservative and liberal approaches to poverty reduction, arguing that the favored policies of both are founded upon the belief that poverty is best understood as a state of consumption deprivation brought (...) on by deficient levels of income. I suggest that the focus on consumption and income, while obviously important in light of the material deprivations of the poor, is not in itself a sufficient response to the needs of the poor. This leads to a discussion of past and present public policies that have stimulated asset development. A characteristic feature of many of these policies is that they have provided both material and institutional support for asset development, but only for the nonpoor. If public policies have helped the nonpoor to save, why should we not develop policies that help the poor do the same? Some suggested approaches to developing assets for the poor are then reviewed. Finally, I briefly discuss points of convergence between Catholic social thought and asset-development approaches to poverty reduction. (shrink)

The Myners Review of the pension fund industry has started a debate on pension fund governance and the fund industry itself. This paper provides a review of pension fund trusteeship in the UK, its role, operating models and impact. It argues that deficiencies in the systems uncovered by the Myners Review stem from a tension between conflicting philosophies - that of trusteeship built on stakeholder principles but operating in shareholder markets.

Today, after the family, the school is the first institution in which children experience the implementation of social rules and the behaviors that follow from them. It is useful, therefore, to insert paths that favor the consolidation of a system made up of rules, inspired by the principles of transparency, fairness and solidarity, which can be the first and most effective lesson of democratic legality. In this perspective, teaching activities can appropriately refer to the programmatic contents of the disciplines which, (...) not only with regard specifically to civic education and law, but also with regard to other cultural areas, are bearers of explicit information and formative experiences. Particular attention is paid today to the planning of “Percorsi per le Competenze Trasversali e l’Orientamento” [Paths for Soft Skills and Guidance] (PCTO), which will also have an implicit educational value, that consisting in showing, through field experiences, the convergence of multiple cultural interests towards the purpose of education to legality. (shrink)

In the December 2006 edition of Harvard Business Review, Michael Porter and Mark Kramer argue that by approaching corporate social responsibility (CSR) based on corporate priorities, strengths and abilities, firms can develop socially and fiscally responsible solutions to current CSR issues, which will provide operational and competitive advantages. We agree that an effective approach to CSR includes a mapping of strategy, risk and opportunity. However, we also caution that the identification of these to the exclusion of societal input may not (...) be to the corporation's advantage. Instead, an investment in both strategic analysis and social capital can pay off from a social and an organizational standpoint. Compared with their larger counterparts, small‐ and medium‐sized enterprises (SMEs) frequently have stronger relationships with their internal and external stakeholders that foster the development of social capital. As such, we believe that the sector offers a unique opportunity to identify additional models and frameworks in order to approach a strategic CSR model as espoused by Porter and Kramer. This paper explores a case study of one Canadian SME that uses a community development framework called Asset Based Community Development (ABCD) for its CSR programming. Because ABCD relies heavily on the development and maintenance of social capital and can be utilized to attain set objectives, we propose that it provides a supplementary framework through which the arguments of Porter and Kramer can be expanded. In applying the ABCD framework for CSR, we can begin to establish a programme that supports strategy, integrates employees and stakeholders towards a common vision, and creates unique and sustainable alternatives towards the resolution of social and corporate goals. (shrink)

The editors conclude the volume with a study of recent German and UK reforms and their effects on personal savings.ContributorsTheodore C. Bergstrom, A. Lans Bovenberg, Antoine Bozio, Woojen Chung, Juan C. Conesa, Gabrielle Demange, Richard ...

Social media are increasingly important in the news menu of media users. Differences in news production processes between traditional and social media may lead to differences in how political and social issues are depicted, and this may, eventually, have consequences for the information that reaches citizens about an issue. Against this background, this study compares content across the two media types to examine whether and how the framing of a sociopolitical issue differs between newspaper articles and posts on social media. (...) The empirical analyses are based on a content analysis of newspaper articles (n = 414) and social media messages (n = 2,771) conducted in the context of the socially contested issue of raising the retirement age in the Netherlands. Findings suggest that different content production processes can still lead to similar outcomes as both media types emphasize problems with (instead of solutions to) the retirement age issue. Our findings also confirm differences across traditional and social media, although these differences are substantially relatively small. While traditional news media emphasize conflict-related frames more often than social media, social media present more frame diversity in solutions. (shrink)

In the December 2006 edition of Harvard Business Review , Michael Porter and Mark Kramer argue that by approaching corporate social responsibility (CSR) based on corporate priorities, strengths and abilities, firms can develop socially and fiscally responsible solutions to current CSR issues, which will provide operational and competitive advantages. We agree that an effective approach to CSR includes a mapping of strategy, risk and opportunity. However, we also caution that the identification of these to the exclusion of societal input may (...) not be to the corporation's advantage. Instead, an investment in both strategic analysis and social capital can pay off from a social and an organizational standpoint. Compared with their larger counterparts, small- and medium-sized enterprises (SMEs) frequently have stronger relationships with their internal and external stakeholders that foster the development of social capital. As such, we believe that the sector offers a unique opportunity to identify additional models and frameworks in order to approach a strategic CSR model as espoused by Porter and Kramer. This paper explores a case study of one Canadian SME that uses a community development framework called Asset Based Community Development (ABCD) for its CSR programming. Because ABCD relies heavily on the development and maintenance of social capital and can be utilized to attain set objectives, we propose that it provides a supplementary framework through which the arguments of Porter and Kramer can be expanded. In applying the ABCD framework for CSR, we can begin to establish a programme that supports strategy, integrates employees and stakeholders towards a common vision, and creates unique and sustainable alternatives towards the resolution of social and corporate goals. (shrink)

This paper documents for the first time tournament incentives of pension fund managers and their preferences for social and environmental security characteristics. Using a comprehensive data set on pension fund security holdings, differences in manager tournaments are distinguished by sorting pension funds into portfolios based on the number of concurrent managers each pension fund employs. Results indicate that the way pension schemes structure portfolio manager tournament incentives is important in explaining the social and environmental portfolio (...) firm characteristics of pension fund held stock. (shrink)

‘Rentier capitalism’ is the term increasingly used to describe economies dominated by rentiers, rents, and rent-generating assets. A growing body of scholarship considers how the ownership of such assets by individuals and households is reshaping patterns of class and inequality and accordingly requires the reconceptualisation of the latter phenomena. The significance of company-owned assets and corporate rents for class, inequality and their conceptualisation has not been considered, however. This article offers an exploratory investigation along these lines, highlighting (...) the importance of employees’ working relationship to company-owned, rent-generating assets for their class position. The article further reflects on how developments in this regard might be approached from the perspective of Marx’s writing on value, labour and class, and the challenges that those developments potentially pose to Marxian concepts. (shrink)

Asset egalitarianism is a new agenda but an old idea. At its root is the notion that every citizen should be able to have an individual property stake, and it has recently been revived in Britain and in the U.S. in a number of proposals aimed at countering the huge and growing inequality in the distribution of assets. Such asset egalitarianism is fed from many streams; it has a long history in civic republican thought, beginning with Thomas Paine and (...) Thomas Jefferson, but has also featured in the distributist theories of G.K. Chesterton and Hilaire Belloc; the guild socialism of G.D.H. Cole and the ethical socialism of R.H. Tawney; the market liberalism of the Ordo Liberals and some of the Austrian School, particularly F.A. Hayek; and more recently the market socialism of James Meade, A.B. Atkinson and Julian Le Grand, and the market egalitarianism of Michael Sherraden, Samuel Bowles, Herbert Gintis, Richard Freeman and Bruce Ackerman. There are also important links to the proponents of a citizens' income as a different approach to the welfare state (White 2002) as well as to the ideas of stakeholding (Dowding et al. 2003). (shrink)

The community mining space remains contested for a range of complex reasons. This inherently difficult discursive space is made most apparent in the context of international development where mining is often viewed as a potential lever in the effort to lift poorer nations out of poverty. In this article, the authors offer a critical review of community development (CD) approaches that are currently being applied by the mining sector. While the authors acknowledge recent positive developments in this domain, there remains (...) a good deal of scope for improving the internal standing of, and the external influence over, CD practice in mining. Drawing on the contemporary CD literature, the authors assert “assets” as one possible heurism for enhancing this discursive space by highlighting the ways in which community and company representatives may be able to participate more actively in dialogical processes—both between and within company and community—where development discourse is not prefigured or biased against participating parties. (shrink)

Abstract:Over the last two decades, institutional investing has rocked the world of corporate governance in a transformation that has begun to be reflected in the finance, legal, and management literatures. Traditional players have seen their roles change and bases of power shift, and new actors have entered the governance equation. These transitions have entailed an ethical upheaval that is only beginning to be addressed in the business ethics literature.This paper attempts to facilitate research in this area by integrating various literatures (...) into an examination of a series of business ethics issues related to pension fund activism and portfolio management, fund staffing, and employee compensation. The primary intent of this project is to encourage increased business ethics research in the area of institutional investing in general and pension fund management in particular. (shrink)

La presente ponencia analiza las relaciones de opresión, en los términos de I. M. YOUNG, que se generan a partir de las principales disposiciones del Sistema de Pensiones chileno establecido por el Decreto Ley 3.500, de 1980 y la Ley Nº 20.255, de 2008, el cual al basarse en estereotipos de género, produce graves consecuencias para las mujeres en materia de pensiones al no abordar las estructuras que asignan a las mujeres determinadas tareas en la sociedad, repercute en el monto (...) de sus pensiones y las somete a condiciones de mayor vulnerabilidad en relación con los hombres. (shrink)

This study draws upon the behavioral agency model and the concept of socioemotional wealth to investigate how family firms’ employee pension underfunding decisions differ from those of non-family firms. We explore how these differences are influenced by financial distress, generational stage, and whether the firm is eponymous. We test our hypotheses using data from 452 US firms over an eleven-year period. Our results suggest that family firms are less likely to underfund pensions, but this effect is attenuated in later (...) generational ownership stages and in non-eponymous firms. (shrink)

This paper provides an examination of some problems caused by the concentration of influence in the capital markets of developed countries. In particular, I argue that large asset managers exercise quasi-political power that is not democratically legitimate. In section two, I will examine the economic driver behind the size and power of the big asset managers: the passive investing revolution. I will discuss several respects in which this revolution has fundamentally changed capital markets, most notably by making a large share (...) of investors universal owners. In the third section, I argue for my central analytical conjecture: asset managers exercise quasi-political power. They use their influence to shape the rules of the game in public capital markets in order to implement social and environmental policies that have traditionally been the exclusive purview of states. “Asset manager capitalism” is a recent term coined to refer to the contemporary system of corporate governance that succeeded the Berle and Means corporation with its dispersed ownership; the argument of this section is that asset manager capitalism is also a new political-economic regime. In the fourth section I defend my central normative claim: asset manager capitalism is an untenable and illegitimate political-economic arrangement, for at least two reasons. First, the power of asset managers is not checked by any institutional constraints, and is not rendered legitimate by any democratic process. More fundamental than this procedural critique is an argument that the interests of asset managers could not be aligned with the public interest, given the fact that the distribution of capital is highly unequal. I conclude by discussing several proposals to reform asset manager capitalism. (shrink)

Abstract:Over the last two decades, institutional investing has rocked the world of corporate governance in a transformation that has begun to be reflected in the finance, legal, and management literatures. Traditional players have seen their roles change and bases of power shift, and new actors have entered the governance equation. These transitions have entailed an ethical upheaval that is only beginning to be addressed in the business ethics literature.This paper attempts to facilitate research in this area by integrating various literatures (...) into an examination of a series of business ethics issues related to pension fund activism and portfolio management, fund staffing, and employee compensation. The primary intent of this project is to encourage increased business ethics research in the area of institutional investing in general and pension fund management in particular. (shrink)

This article critically explores John Rawls’s contention that the personal assets of individuals, i.e. their mental and bodily powers, should not determine the size of their holdings. Since such an argument may have several forms, the first task is to establish which of them Rawls himself advocates. He relies, it is argued, on a version that attempts to convince us that personal assets should not play a decisive distributive role because they are undeserved. This account is then formally (...) reconstructed, making all the relevant premises visible and preparing the ground for a critique that concentrates on the argument’s separate steps. Coming under attack first is the claim that everything should be deserved. The discussion examines next the premise urging us to find an ultimate, indisputable ground for desert-claims. Debate about this issue reveals some fundamental weaknesses in Rawls’s position: that he demands too much and is inconsistent; that some strong counter-intuitive consequences follow from his demands; and that his entire project, were such a criterion taken seriously, is undermined. Final comments are directed against the assertion that the community should own everything an individual does not deserve, showing that this does not remove moral arbitrariness, allows for the use of some persons as resources for others, and cannot plausibly limit its range of application. Most of these criticisms are not original, but are in accord with this paper’s main intention of combining as many good points against Rawls as possible. (shrink)

. In this post-Enron era, we have heard much talk about the need for integrity. Today’s employees perceive it as being in short supply. A recent survey by the Walker Consulting Firm found that less than half of workers polled thought their senior leaders were people of high integrity. To combat the perceived lack of corporate integrity, companies are stressing their probity. This stress is problematic because executives tend to instrumentalize the value of integrity. This paper argues that integrity needs (...) to be better defined because the current mode of talking about the subject is misleading. The paper considers three traditions’ understanding of the idea of integrity, argues that integrity is intrinsically valuable, and concludes with some reflections on the way in which integrity, properly understood, functions as a business asset. (shrink)

Blockchain’s language and terminology is confusing, contested, and rapidly changing. As a hype-driven technology, Blockchain is critical to an increasing number of projects that exist in a space of regulatory uncertainty. As communities of blockchain develop and evolve, the language they use to describe these functions changes. This causes concerns when attempting to have global regulatory certainty and clarity. Regulators and communities have different approaches to blockchain language, and this causes problems because of the translation between practical use in a (...) community, and the legal effects created by regulators. Of particular concern is the lack of clear expression amongst the broader community regarding the concept of blockchain-related assets as these ‘tokens’, ‘coins’, and ‘assets’ form a key part of financial regulation. This project uses semiotics to study the diverse language associated with blockchain. This analyzes a series of self-proclaimed ‘dictionaries of blockchain’ to assess key definitions, themes, perceptions, and misconceptions present in these communities. The study involved a case analysis of the terminology used in Australia’s proposed response to blockchain in comparison with that of wider communities. When comparing this to regulatory definitions and approaches, it becomes clear that this is an area that requires further attention. This project highlights the need for regulators to understand and use common terms in blockchain regulation. It is argued that this approach facilitates a better understanding of poorly understood concepts and clearly connects the law with those it intends to target. (shrink)