How can investors support businesses that prioritise children’s rights?

Investors can use their influence and capital to encourage responsible practices:

Screen and Invest Responsibly: Prioritise investments in businesses that demonstrate a commitment to children’s rights through their policies, practices, and reporting. Consider incorporating children’s rights criteria into your investment screening process, in a similar way to environmental, social, and governance (ESG) criteria.

Engage with Companies: Engage directly with companies in your investment portfolio to encourage them to adopt and strengthen children’s rights policies and practices. Participate in shareholder advocacy initiatives to promote responsible corporate behaviour related to children’s rights.

Support Impact Investing: Explore opportunities for impact investing in organisations and funds that specifically focus on projects and initiatives aimed at improving children’s rights and well-being. Impact investments can help businesses address children’s rights while generating financial returns.

Vote Your Proxy: Use your proxy voting power to support shareholder resolutions that promote children’s rights, such as resolutions related to supply chain transparency, child labour, and responsible marketing to children.

Collaborate with Other Investors: Work with like-minded investors through networks and initiatives that focus on responsible investing and children’s rights, such as the Principles for Responsible Investment (PRI).

Encourage Reporting and Disclosure: Advocate for increased transparency and disclosure of information related to children’s rights in corporate reporting. Support efforts to standardise and harmonise children’s rights reporting metrics, to make it easier for investors to evaluate companies.

Monitor and Assess Impact: Monitor the impact of your investments on children’s rights, and regularly assess the progress of portfolio companies in this regard. Encourage companies to conduct third-party audits and assessments of their children’s rights efforts.

Engage in Investor-Company Dialogues: Participate in constructive dialogues with company management and boards to discuss children’s rights issues, and encourage them to develop long-term strategies to protect and promote these rights.

Incorporate Children’s Rights into ESG Strategies: Integrate children’s rights considerations into your broader ESG strategies and initiatives. Consider working with ESG rating agencies that incorporate children’s rights criteria into their assessments.

Promote Positive Practices: Highlight and celebrate companies that are exemplary in their commitment to children’s rights, as this can encourage other businesses to follow suit.

Educate and Advocate: Educate yourself and fellow investors about the importance of children’s rights, and the potential risks and opportunities associated with these issues. Advocate for the inclusion of children’s rights in discussions about responsible investing within your investment community.

Investors have a unique position to influence corporate behaviour and drive positive change when it comes to children’s rights. By making informed investment decisions, engaging with companies, and collaborating with others who share their values, investors can help create a business environment where children’s rights are respected and prioritised.