BECOMING A SIGNATORY
WHY BECOME A SIGNATORY?
Signing the internationally recognised Principles for Responsible Investment allows your organisation to publicly demonstrate commitment to responsible investment, and places it at the heart of a global community seeking to build a more sustainable financial system.
Being a signatory provides access to all of the support and resources that the PRI provides, including the full suite of Investment Practices publications, the Collaboration Portal, Policy and Research materials, a regional Network Manager and Reporting and Assessment tools to measure and communicate your progress.
WHO CAN SIGN THE SIX PRINCIPLES?
Any organisation fitting one of the three signatory categories described below can sign up to the Principles for Responsible Investment. Commitment is required from the very top of the organisation, across the entire investment business.
Organisations that represent the holders of long-term retirement savings, insurance and other assets. Examples include pension funds, sovereign wealth funds, foundations, endowments, insurance and reinsurance companies and other financial institutions that manage deposits.
This is the principal category of signatory.
Organisations that manage assets as a third-party, serving an institutional and/or retail market. Investment managers that are still raising funds, rather than actively managing assets, can sign pre-emptively as provisional signatories.
Organisations that offer products or services to asset owners and/or investment managers. Although such companies are not stewards or managers of assets in their own right, they do have considerable influence over how their clients address ESG issues. For this group, becoming a signatory is a commitment to providing, developing and promoting services that support clients’ implementation of the Principles.
*also referred to as professional service partners
Signatories self-select the category that they fall into, but the PRI Board reserves the right to determine which category is most appropriate. While the categories are not designed to be overly prescriptive, the general rule is that an investor would be considered an asset owner rather than an investment manager if the sum of on-balance sheet investment assets exceeds the assets managed for external clients, including through any majority-owned investment manager subsidiaries.
HOW DO WE SIGN THE PRINCIPLES?
- Confirm your organisation’s approval of the Principles by submitting the relevant declaration below on your company’s letterhead, signed by your CEO (or equivalent).
- Provide your company details, contact information and reasons for signing in the application form.
- Provide an organisation chart, showing the structure of your organisation including all its legal entities.
Send all of the above information to email@example.com.
The PRI aims to process applications within two weeks. Once provisionally approved we will send you an invoice covering the period until the start of the next fee year (1 April), upon payment of which your application will be fully approved and the PRI will contact you to welcome you and introduce you to all of the resources at your disposal.
WHAT ARE WE REQUIRED TO DO AFTER SIGNING?
The six Principles themselves are voluntary and aspirational. For most signatories, the commitments are a work-in-progress and provide direction for their responsible investment efforts, rather than a checklist with which to comply.
The only mandatory requirement, beyond paying the annual membership fee, is to publicly report on your responsible investment activity through the Reporting Framework. For the first full reporting cycle in which an organisation is a signatory, it is voluntary to report, meaning the timeframe for starting compulsory reporting will be somewhere between 12 and 24 months after signing, depending on when in the year the organisation signs the Principles. The PRI encourages signatories to report during the voluntary year as a learning experience.
For more details, see the Report section.
WHAT RIGHTS DO SIGNATORIES HAVE?
As a signatory-based organisation, we encourage signatories to participate actively in all areas of PRI governance, and there are regular opportunities for all categories of signatory to do so.
For more details, see the PRI governance section.
HOW MUCH DOES IT COST TO BE A SIGNATORY?
The annual signatory fee is payable each April and is scaled according to each signatory’s category, type and assets under management.
|30 - 50||7,950|
|10 - 29.99||7,950|
|5 - 9.99||6,030|
|1 - 4.99||2,780|
|0.1 - 0.99||800|
|0 - 0.09||440|
|30 - 50||11,330|
|10 - 29.99||10,300|
|5 - 9.99||7,210|
|1 - 4.99||4,120|
|0.1 - 0.99||1,550|
|0 - 0.09||1,030|
|51 - 200||6,030|
|26 - 50||2,780|
|11 - 25||800|
The PRI Board approved the signatory fee levels for 2016/17 at its September 2015 meeting. It was agreed that the only increase from 2015/16 levels would be in line with UK inflation.
DISCOUNTS AND WAIVERS
Asset owners headquartered in a country classified by the IMF as an emerging market or developing economy are entitled to apply for a fee discount for up to two years. Please refer to the IMF’s World Economic Outlook 2014 (Statistical Appendix, p.158) for a full list of eligible countries.
The PRI will consider reciprocal fee waivers with organisations whose work is closely aligned with the Principles and the PRI’s strategic plan, where this makes business sense for both organisations to do so.
The PRI will consider billing service provider signatories based on the number of investment staff at the organisation, rather than the total number of staff, where this would result in a change of fee band.