To Tend the Earth Responding to the Global Climate Change Crisis

To Tend the Earth Responding to the Global Climate Change Crisis In collaboration with: Creighton University, John Carroll University, Marquette University, University of Detroit Mercy, and Xavier University

Divest-Invest From fossil fuels to climate solutions Presented by: Bruce Boyd, Principal and Senior Managing Director, Arabella Advisors Presented to: Loyola University Chicago Climate Change Conference, March 2015

We urgently need climate action 2 C Threshold for climate change 565 Gigatons Carbon budget to stay below 2 C climate change 2795 Gigatons C0 2 that would be released by burning proven reserves 350 parts per million Maximum C0 2 in the atmosphere to stay below 2 C climate change 400 parts per million C0 2 currently in the atmosphere Source: Global Warming's Terrifying New Math, Bill McKibben. Published in Rolling Stone on July 19, 2012.

DIVESTMENT from fossil fuels

Measuring the global fossil fuel divestment movement As of September 2014 $50 billion in assets pledged to divest 181 institutions pledged, including Colleges and universities Local governments Philanthropic foundations Faith-based organizations Health-care institutions Non-governmental organizations 656 individuals pledged

Recent divestment action UN Climate Summit and People s March, Sep. 2014

Recent divestment action Global divestment day, February 2015

Catholic commitments

Opportunities ahead Papal encyclical, Summer 2015 The time to find global solutions is running out. We will only be able to find adequate solutions if we act together and in agreement. Hence, there is a clear, definitive and ineluctable ethical impetrative to act.

Opportunities ahead UN Climate Change Conference, Paris, Dec. 2015 Goal: A universally applicable agreement sufficiently ambitious to undertake all the transformations needed to meet the +2 C goal, with common legal rules

Continuing to measure the global fossil fuel divestment movement $150 billion

INVESTMENT in climate solutions

The potential of impact investing Impact investing can be a powerful complement to philanthropy in addressing social and environmental problems such as climate change. Philanthropy (U.S. only) ~$300 billion Impact Investing 5-10 year projection ~$600 billion Total Investing ~$60 trillion 13

Investment in climate solutions

Nico Cruz Iree Wheeler

"We need an apartheid-style boycott to save the planet It makes no sense to invest in companies that undermine our future. Archbishop Desmond Tutu

Divestment Drivers at Catholic Universities 1. Universities believe in and understand climate science 2. Climate action aligns with Catholic teachings 3. Catholic investment screens already exist 4. Fiduciary duties can not only be met, but improved

Lessons Learned

Be ready for roadblocks

Clearly define divestment targets

Assess your fossil fuel holdings sample breakdown

Learn more about investment performance with fossil fuel screens

Consider stranded asset risk

Explore new fossil free investment services and products

Set a realistic timetable

Be wary of shareholder advocacy as the panacea

Prepare communications & public relations strategy divestment LOGO CHANGE

Keep the end game in mind pixshark.com/world-peop#82a326c

Get real with mission integrity Are investments observing or undermining: core Catholic teachings and values, particularly stewardship of the earth and care for the world s most vulnerable? University s mission, sustainability plans and President s climate agreements? students and community s future interests?

We are stronger when we act together

Education through Ethical Action: Why Divestment Matters to Our Educational Mission March 20, 2015 Paul H. Benson University of Dayton

What is missing from divestment debates Divestment debates normally focus exclusively on the anticipated effects of divestment on the fossil fuel industry and on the anticipated effects of divestment on universities investment returns. These debates rarely consider the educational implications of divestment. As our clearly defined, distinctive, and values-based educational mission is a core strength of Catholic colleges and universities, our consideration of divestment also should take into account these educational implications.

Four educational benefits of divestment 1. To deepen students understanding of our university s core values and mission 2. To expand students understanding of the ethical responsibilities of investors 3. To highlight the university-wide relevance of sustainability education for every academic discipline 4. To model for students and the entire campus community the imperative of ethical commitment and action

A reminder about the importance of clear communication of institutional decisions Haphazard, vague, or inconsistent communication about the grounds for a university s divestment decision will diminish the educational value of the decision. For the bases of the University of Dayton s decision, see UD s June, 2014 divestment announcement: https://www.udayton.edu/news/articles/2014/06/dayton_div ests_fossil_fuels.php

Educational benefit #1 To deepen in concrete ways students understanding of our university s core values and mission What does it mean to educate for service, justice, and peace (cf. Characteristics of Marianist Universities, 1999)? What does it mean concretely to act in solidarity with the most marginalized human communities? What does it mean to tend the earth? Contrast with Harvard President Drew Gilpin Faust s explanations of why Harvard will not divest...

Educational benefit #2 To expand students understanding of the ethical responsibilities of investors An occasion to share with students our broader, missionbased practices of socially responsible investment An opportunity to expand undergraduate investment programs to incorporate socially responsible investing practices and research Offers a lesson about expanding the circle of ethical reflection and responsibility: The financial world should not be exempt from ethical concern

Educational benefit #3 To highlight the university-wide relevance of sustainability education for every academic discipline Divestment affords a valuable case study for investigation across academic fields from finance to environmental studies, from organizational behavior to geoscience, from theological ethics to public policy,... David Orr, All education is environmental education. (What Is Education For?, 1991) Bears special importance for Catholic universities commitment to the virtue of practical wisdom, the congruence of reason and faith, and the ideal of integrative learning

Educational benefit #4 To model for students and the entire university community the imperative of ethical commitment and action When a university takes a bold step to promote climate justice, based upon a mission-centered ethical commitment, such action becomes an ethical lesson for the whole campus community

Divestment as a lesson in ethical hope David Orr: Students hear about global responsibility while being educated in institutions that often invest their financial weight in the most irresponsible things. The lessons being taught are those of hypocrisy and ultimately despair. Students learn, without anyone ever saying it, that they are helpless to overcome the frightening gap between ideals and reality. [What Is Education For?, 1991]

Many other practical benefits of divestment... The message conveyed by divestment influences universities recruitment of talented students, faculty, and staff who are serious about our Catholic educational mission Rapid expansion of UD s Sustainability, Energy, and Environment (SEE) learning-living community in Fall, 2014 National recruitment of two new academic deans for 2015-16

For additional information about the University of Dayton s divestment decision, please contact: Paul Benson, Interim Provost benson@udayton.edu 937.229.2245

Jesuit Committee for Investment Responsibility John Sealey