Investing and financing category
CCLA is a specialist investment manager for charities, faith and public sector organisations. It is predominantly owned by the company’s clients who share in the growth of its business. The manager provides the broadest range of funds designed specifically for charities.
Following a lengthy client-consultation process, CCLA identified a need for a new investment fund that would deliver strong, sustainable investment performance, managed in line with the ethical requirements of its clients and delivering demonstrable change through engagement with companies. The aim was not just to avoid unethical investments but to take the values of its clients into the boardrooms of the companies they invest in, to bring about the environmental and social change that they really wanted to see.
The Fund was developed in partnership with its clients and regular consultation means that their aims are always at the forefront of the company’s thinking. The Fund has grown substantially. It provides strong financial returns and has delivered benefits to society and the environment through engagement with investee companies on issues like climate change, public health and inequality.
The real challenge is providing strong returns while retaining consensus among clients of the key topics for engagement. Although the investors are a group of charities they still differ in their views. The company has to find a centre-ground of opinion and create agreement on the issues where they would work on achieving change. Regular client consultation is essential for continued success.
CCLA demonstrated exemplary client engagement, putting the client at the heart of its approach to build an ethical fund.