Press Release
Fondo de Ahorro de Panamá becomes signatory to the Principles for Responsible Investment
Panama | September 22, 2020
The Fondo de Ahorro de Panama (“FAP” or “Fund”) becomes the country's first signatory to the United Nations-supported Principles for Responsible Investment, an initiative that seeks to recognize the importance of incorporating environmental, social and governance factors (“ESG”) into investment practice.
The decision to join The Principles for Responsible Investment represents a significant step for the Fund, as it seeks to contribute towards the development of a more sustainable global financial system. This decision also formalizes our investment considerations on ESG factors, which began in 2018, when we implemented in our investment policies the divestment and exclusion of securities from companies in the tobacco industry. Under the Principles for Responsible Investment, the Fund has now committed to the following principles:
Principle 1: We will incorporate ESG issues into investment analysis and decision-making processes.
Principle 2: We will be active owners and incorporate ESG issues into our ownership policies and practices.
Principle 3: We will seek appropriate disclosure on ESG issues by the entities in which we invest.
Principle 4: We will promote acceptance and implementation of the Principles within the investment industry.
Principle 5: We will work together to enhance our effectiveness in implementing the Principles.
Principle 6: We will each report on our activities and progress towards implementing the Principles.
“As a signatory to the Principles for Responsible Investment, the FAP recognizes the benefits of incorporating ESG factors as part of good investment practices for our strategic portfolio, and in the end, a better planet" said Anamae Maduro de Ardito Barletta, president of the Fund’s Board of Directors.
Abdiel A. Santiago M., chief executive of the Fund, highlights that the initiative to apply ESG factors as part of an investment strategy presents its challenges; however, he explains that “in order to maximize returns it is important to consider broad and systemic issues that may affect the performance of investment portfolios, and consideration of ESG factors are now therefore integral in seeking and achieving sustainable long-term returns.”
“We are pleased to welcome FAP as the first signatory of the Principles for Responsible Investment in Panama. The Fund’s admission demonstrates its commitment to responsible investment and will continue advancing the network of potential signatories in the country, and therefore in the region,” commented Fiona Reynolds, Chief Executive Officer of The Principles for Responsible Investment.
About the Principles for Responsible Investment
The United Nations-supported Principles for Responsible Investment initiative is a network of investors working together to put the six (6) Principles for Responsible Investment into practice. Its objectives are to understand the implications of environmental, social and governance factors for investors, and to assist its signatories in integrating these factors into their investment practices and decisions. By implementing the principles, the signatories contribute to the development of a more sustainable global financial system. Visit www.unpri.org for more information.
About the Fondo de Ahorro de Panama
The Fund was created by Law 38 of June 5, 2012, whose main objectives are:
Establish a long-term savings mechanism for the Panamanian State; and
Establish a stabilization mechanism in case of a state of emergency (declared by the Cabinet’s Council) and economic slowdowns.
Contact: Administration, +507-394-5776/5706, administrador@fondoahorropanama.com
For additional information visit www.fondoahorropanama.com
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