Many retirement plan sponsors are interested in adding ESG (environmental, social, governance) funds to their plans – but they aren’t sure what is allowed or where to begin. Fortunately, Department of Labor (DOL) guidance is becoming clearer and more supportive, with the most recent regulations acknowledging that ESG factors can materially affect the risk and return characteristics of investments held as plan assets.

Helping plan sponsors make desired changes to their plans – while still meeting their fiduciary obligations – provides a significant opportunity for plan advisors.

How to Get Started
The Retirement Plan Advisor Guide to ESG Investing from Natixis Investment Managers can help advisors navigate the changing ESG landscape. It provides basic information on using ESG factors in retirement plans, reviews DOL regulations and offers tips for plan sponsors seeking to incorporate ESG into their investment menus. Additional resources include:

  • A brief chronology of regulatory guidance
  • Examples of material ESG information and its implications
  • Comparison of ESG-oriented investment philosophies
  • Roles and responsibilities of plan sponsors, plan advisors and fund managers
  • Tips for updating your retirement plan toolkit

Providing expertise about adding ESG options to plan menus can help you build stronger relationships with your clients. To learn more, contact your Natixis Retirement Representative and download the Guide.