The $860 bn Rockefeller Brothers Fund (RBF) has announced it will start a two-step process to sell off billions of dollars in assets related to fossil fuels to better align itself with the goals of sustainable development that the fund, founded by the sons of late oil tycoon John Rockefeller, adopted in 2010.
The move, announced as world leaders were preparing to meet at the UN Climate Summit in New York today, will start by reducing the charitable organization’s exposure to investments related to coal and tar sands to less than 1 percent of its total portfolio by the end of this year, the RBF says in a press release. A second phase will aim to reduce the fund’s overall exposure to fossil fuels and will start ‘as quickly as is prudent over the next few years,’ the fund adds.
‘Our divestment from fossil fuels, which is now under way, will be accomplished through a careful process of evaluating our exposure and a phased approach that proceeds as quickly as is prudent,’ the RBF says. ‘We hope the framework the RBF has adopted to guide our divestment and investment strategies will be of interest to other foundations and institutional investors.’
The RBF joins a growing list of foundations and other investors that are trying to limit investment in fossil fuels as concern over climate change mounts. Also timed to coincide with today’s launch of the UN Climate Summit, Kellogg Company announced it will join the Business for Innovative Climate & Energy Policy (BICEP) initiative led by investor advocacy group Ceres. BICEP pushes for more efficient energy use, greener transportation, stricter controls on industrial pollution and other measures.
‘As a global food company, Kellogg understands the issues of climate change and food security, making us mindful of the risks and opportunities our growers, their communities and our business face as a result,’ says Diane Holdorf, Kellogg’s chief sustainability officer, in a press release. ‘Solutions to complex challenges, like climate change, require multi-stakeholder collaboration, and we value continued engagement with stakeholders such as BICEP on this important issue.’
