The new entitlement replaces the fund's previous 10-day menopause leave policy, which was only available to permanent staff. The new leave is broader in scope and open to all eligible permanent and maximum-term employees, whether full-time or part-time.

The entitlement may be used for fertility treatment, conditions including perimenopause and menopause symptoms, and endometriosis.

The leave is gender-inclusive and while many of the conditions it covers predominantly affect women, men can also access the entitlement, including to support a partner going through IVF.

Aware Super chief executive Deanne Stewart said the fund is deeply committed to gender equity and believes an inclusive and supportive workplace drives better experiences and outcomes for members.

"For too long, reproductive health has been something people have had to manage quietly, often at real cost to their wellbeing and their careers," Stewart said.

"We want our people to feel supported when they're dealing with these very personal health issues. This is about building a workplace where everyone can bring their whole selves to work, and where no one feels they have to choose between their health and their career."

In 2024 Aware Super co-commissioned independent research by the Bankwest Curtin Economics Centre into the economic case for reproductive health leave. That research found lost productivity from reproductive health conditions costs the Australian economy an estimated $21.3 billion a year.

"Gender equity in the workplace and gender equity in retirement outcomes go hand in hand," Stewart said.

"If we want women to retire with dignity, we need to address the barriers they face throughout their working lives, and reproductive health is one of them."

The SGH ARI Resources Fund aims to build investors exposure to structural growth opportunities emerging from the accelerating demand for critical resources, SG Hiscock said.

SG Hiscock head of distribution Anthony Cochran said the launch comes at a time when the global economy is entering one of the largest structural resource investment cycles in decades.

"Artificial intelligence is increasing demand for electricity, grids and critical minerals," Cochran said.

"Governments are investing in energy security, domestic manufacturing and resilient supply chains. Defence spending is rising, industrial policy is reshaping investment decisions and competition for strategic resources is intensifying. These themes are creating significant long-term demand for critical resources."

The fund will provide institutional, wholesale and family office investors exposure to commodities including gold, copper, uranium and critical minerals, while seeking opportunities beyond traditional large-cap mining companies.

It targets medium- to long-term capital growth and aims to outperform the Bloomberg AusBond Bank Bill Index by 3% per annum over rolling five-year periods.

"The fund combines a top-down thematic investment process with rigorous bottom-up stock selection, focusing on global companies positioned to benefit from structural supply constraints, favourable commodity dynamics, and long-term macroeconomic trends," SG Hiscock said.

The strategy will be managed by SG Hiscock global resources specialist Stephen Gorenstein, who joined the investment manager in 2025 to establish its dedicated global resources capability.

Gorenstein has worked across geology, mining, investment banking, capital markets and funds management, beginning his career with Rio Tinto before moving into investment management.

"Stephen brings a rare combination of technical geological expertise and deep commercial investment experience," Cochran said.

"His disciplined investment process, extensive industry relationships and ability to identify quality resource businesses globally significantly strengthens our investment capability."

The comments follow a meeting of the Energy and Climate Change Ministerial Council (EMC), where all jurisdictions except Queensland and the Northern Territory backed the Commonwealth's plan to legislate national standards requiring new large-scale data centres to underwrite new renewable power supply.

The ministers also agreed to develop changes to the National Electricity Rules to ensure data centres offset their electricity demand with new renewable generation and endorsed a nationally consistent regulatory approach.

Climate Council chief executive Amanda McKenzie said while the direction of the reforms was encouraging, significant questions remained.

"It's encouraging that most states and territories agree that we need additional renewable energy to power data centres, and that the Albanese government plans to legislate imminently," McKenzie said.

"It is vital that data centres are powered with additional renewables to protect consumers from price and pollution spikes."

However, she said governments had yet to agree on implementation timeframes, despite rapid growth in the sector.

"Data centres are coming online very quickly, so the National Electricity Rules must ensure that they are required to source additional renewable power from the get-go," McKenzie said.

She criticised the Queensland and Northern Territory governments for failing to support the proposed reforms.

"Unfortunately, the Queensland and Northern Territory governments continue to put the interests of big tech and fossil fuel corporations first, failing to back strong rules that protect Australians from rising power bills and pollution," she said.

The Climate Council has previously argued requiring data centres to fund new renewable generation is necessary to prevent higher electricity prices as demand from artificial intelligence and cloud computing accelerates.

Its recent Clouded Future report estimated wholesale electricity prices could rise by as much as 26% in New South Wales by 2035 without stronger requirements, while separate YouGov polling commissioned by the organisation found 82% of Australians support requiring new data centres to pay for the renewable energy and storage needed to match their electricity consumption.

The Commonwealth is expected to develop the proposed legislation and rule changes in the coming months.

The transaction is expected to close in the second half of 2026, subject to customary regulatory approvals.

Epic Energy owns and operates the Moomba to Adelaide Pipeline System, known as MAPS, which connects gas resources in northern Australia to Adelaide. MAPS has operated for more than 50 years and is one of the only two pipeline systems serving in Adelaide, Morgan Stanley said.

The system continues to provide critical connectivity between key gas-producing regions and South Australia's power generation, industrial and utility customers.

Commenting, MSIP co-head of Asia Pacific Tim Cooper explained the rationale behind the acquisition.

"MAPS is a critical piece of energy infrastructure with a more than 50-year operating history, high barriers to entry and long-term strategic relevance," Cooper said.

"As the sole long-haul pipeline connecting Adelaide to northern Australian gas supplies, it plays an important role in supporting energy reliability across South Australia while providing resilient cash flows backed by longstanding customer relationships."

Meanwhile, Mark McLean, who shares the same position, added the acquisition provides a differentiated investment approach to continue providing for investors.

"The acquisition of Epic Energy exemplifies MSIP's approach to sourcing high-quality infrastructure investments through long-standing relationships and direct engagement with local infrastructure owners," McLean said.

"By using relationship-driven sourcing we deliver differentiated investment opportunities for our investors, while supporting essential infrastructure in key markets globally."

The specialist investment manager said Stage Two of the project has successfully completed construction and commenced commercial operations. The additional funding will be used for the buildout of the Stage Three of the project.

"The first two stages of Supernode are now operational which completes delivery of the Origin contracted stages marking another successful milestone in the project's development," Quinbrook said.

Quinbrook managing director and regional leader for Australia Tim Horneman said the investment manager is incredibly proud of delivering the first two stages on schedule, given the complexity of commissioning utility-scale battery storage projects in Australia.

"With Stage Three now fully financed, we've reached another important milestone in Supernode's continuing development. The ongoing support of our banking partners also reflects confidence in the Supernode project, our delivery track record and the long-term outlook for battery storage in Australia," Horneman said.

The project continues to be backed by Commonwealth Bank of Australia, MUFG and Deutsche Bank, alongside new lending partners DNB and Rabobank.

Quinbrook senior director James Allan said Supernode's value extends well beyond the battery currently under development.

"From the outset, Supernode was designed as more than just a battery storage project. Its unique location at the heart of Queensland's transmission network makes it ideally placed to support the state's transitioning power system well into the future," Allan said.

"The site also has capacity for a further 520 MW of expansion, which could include battery storage, data centres or a combination of both. Opportunities to develop infrastructure at this scale, in such a strategically connected location, are exceptionally rare."

Supernode's first two stages were delivered in partnership with Quinbrook affiliate Private Energy Partners, with the partnership continuing through construction of Stage Three.

The commission's interim findings identified planning regulation, slow approval processes and infrastructure delivery as key barries to new housing, while proposing reforms including allowing three storey townhouses on most residential land, reducing minimum lot sizes and streamlining approval pathways.

HIA chief executive industry and policy Simon Croft said the report challenged outdated planning assumptions that have restricted housing supply for decades.

"The Commission has recognised what builders, developers and home buyers have been experiencing for years. Australia cannot solve its housing affordability challenges without reforming the systems that control how, where and when new housing can be delivered," Croft said.

He said the proposed reforms had the potential to improve affordability if governments were prepared to implement them.

"Among its key recommendations are measures to allow three storey townhouses on most residential land, removing or reducing minimum lot sizes, greater housing diversity and faster approval pathways. These are all reforms that have the potential to increase housing supply and improve affordability if governments are prepared to act," he said.

Croft also welcomed the commission's focus on infrastructure delivery and developer contribution frameworks, arguing poorly coordinated infrastructure planning and complex charging arrangements were adding unnecessary costs to housing projects.

"Too often, housing projects are delayed by poorly coordinated infrastructure planning, uncertain charging arrangements and approval processes that add unnecessary cost and complexity. Ultimately, these costs are passed on to home buyers," he said.

The HIA said lengthy assessment processes, conflicting agency advice and subjective planning controls continued to increase costs and delay housing delivery.

Croft said the industry had seen enough reviews identifying the same issues and called on governments to move from consultation to implementation.

"The Productivity Commission has made it clear that incremental change will not be enough," he said.

"The industry does not need another review confirming that housing has become slower, harder and more expensive to deliver. What is needed now is the political will to implement reform."

The global infrastructure manager, which oversees $34.5 billion in assets, has also appointed former CWP Renewables and Squadron Energy executive Jason Willoughby as chief executive of Vertis.

The platform's launch follows binding agreements to acquire Green Square Energy from Future Group and two follow-on acquisitions, with completion expected in late 2026, subject to regulatory approvals.

Igneo said the new platform reflects growing demand from commercial and industrial customers seeking greater control over energy costs, reliability and decarbonisation through on-site energy infrastructure.

Partner Daniel Timms said the business was well positioned to capitalise on the expanding distributed energy market.

"We are thrilled to appoint Jason Willoughby as chief executive of Vertis Energy. Jason brings exceptional leadership and a successful track record of building energy platforms to scale," Timms said.

Vertis will build, own and operate on-site distributed energy solutions for businesses including solar, battery, heating and cooling systems, enabling businesses to reduce exposure to energy price volatility while lowering carbon emissions.

Willoughby said energy was becoming a strategic business issue rather than simply an operational cost.

"Energy is no longer just a line item for facilities teams or procurement departments. For many businesses, it is becoming a much more material driver of cost certainty, resilience and competitiveness," he said.

"There is significant value sitting closer to the customer - on business rooftops, behind the meter and in the energy assets companies can control directly. Vertis is built to help businesses capture that value."

The Green Squares Energy acquisition includes 240 sites across Australia comprising 34MW of behind the meter solar and 12MW of small utility scale solar farms with co-located battery developments.

The launch builds on Igneo's existing Australian renewable energy investments, including its stake in CPE Renewable Investment Trust, distributed energy infrastructure at Barangaroo, Central Park, Mascot and Tonsley precincts, and its investment in Atmos Renewables, which includes interests in more than 1.9GW of wind, solar and energy storage assets.

🌿 Is greenwashing evolving into a new risk era driven by climate reporting and emissions targets?

❓ Question: As climate disclosure becomes mandatory and regulators crack down on misleading environmental claims, is greenwashing becoming less about marketing spin and more about governance, reporting and accountability?

✅ Answer: According to Dr Mark Siebentritt, executive director at Edge Impact, greenwashing is entering a new phase. What was once largely viewed as an ethical issue is now a regulatory and governance concern, driven by enforcement action and mandatory climate disclosure requirements. Organisations can no longer rely on broad sustainability claims or aspirational net-zero statements. Instead, they must be able to substantiate their claims with evidence, robust data and credible implementation plans.

🌟 One of the most significant changes is the shift from voluntary to mandatory climate reporting. Dr Mark Siebentritt notes that sustainability reporting has become deeply embedded in organisational decision-making, particularly within finance, governance and risk functions. Climate-related risks and their financial implications are increasingly being treated as core business issues rather than standalone sustainability concerns.

🌟 Greenwashing has also moved from being an ethical debate to a regulatory risk. In the past, organisations were primarily challenged by stakeholders questioning environmental claims. Today, companies face potential consequences from regulators if they make claims that cannot be supported by evidence. This shift has elevated greenwashing from a reputational concern to a board-level risk.

🌟 Directors are paying closer attention because of both financial and reputational implications. According to Dr Mark Siebentritt, discussions around potential regulatory action often resonate strongly in boardrooms because directors have fiduciary responsibilities and need confidence that sustainability claims are supported by reliable data and governance processes.

🌟 Mandatory climate disclosure reporting is accelerating this trend. More than 6,000 Australian companies are expected to be affected by reporting requirements that include disclosure of climate-related risks and financial impacts, with assurance and auditing requirements increasing over time. Dr Mark Siebentritt describes the changes as among the most significant developments in financial reporting in recent years.

🚩 One challenge is the compressed timeframe facing organisations. While businesses may previously have developed gradual sustainability roadmaps, climate disclosure requirements and greenwashing regulations are now converging. Companies are under pressure to strengthen governance, reporting systems and evidence frameworks much sooner than many originally anticipated.

🚩 Another challenge relates to artificial intelligence. While AI can help organisations process large and complex datasets, identify patterns and improve reporting efficiency, Dr Mark Siebentritt warns that businesses cannot rely on technology alone. Climate risks remain real-world challenges that require informed judgement, credible analysis and high-quality information. AI-generated outputs that lack accuracy or real-world validation could create significant governance risks.

🌟 AI nevertheless presents important opportunities. Used appropriately, it can support the analysis of vast climate datasets, help uncover trends and strengthen reporting processes. However, organisations must ensure the resulting disclosures are based on robust evidence if they are to meet expectations for investment-grade reporting.

⚠️ Looking ahead, Dr Mark Siebentritt believes one of the biggest emerging greenwashing risks involves emissions-reduction targets. Organisations are increasingly required to disclose targets and explain how they intend to achieve them. This means broad declarations about achieving net zero or carbon neutrality are no longer sufficient without supporting evidence and realistic implementation pathways.

⚠️ He describes this as a potential "Greenwashing 2.0" challenge. The future risk may not be false marketing claims but rather targets that lack credible plans, achievable pathways or practical actions. Companies will need to demonstrate not only what they aim to achieve, but also how they will deliver measurable outcomes over time. For multinational organisations in particular, global commitments will need to be translated into credible local strategies and actions.

💡 Why it matters:

The sustainability landscape is rapidly maturing. As climate reporting requirements expand and regulatory scrutiny intensifies, organisations face growing expectations around transparency, evidence and accountability. Sustainability claims are no longer judged solely by what companies say, but increasingly by the quality of their data, governance and execution. The next generation of greenwashing risk may centre on ambitious climate promises that cannot be realistically delivered. For boards, executives and investors, the challenge will be ensuring environmental commitments are supported by credible plans, measurable actions and robust disclosure frameworks.

🎙️ Sources:

Dr Mark Siebentritt, executive director, Edge Impact

Michelle Baltazar, host, The Greener Way 

⏱️ Timestamps:

00:00 - Greenwashing meets mandatory climate disclosure

01:24 - How Edge Impact's work has evolved

02:49 - Sustainability moves into finance, governance and risk teams

03:30 - The evolution of greenwashing from ethics to regulation

04:33 - Why boards are paying closer attention

06:16 - The impact of mandatory climate reporting

08:00 - Can AI accelerate climate disclosure reporting?

09:00 - The limits of AI and investment-grade reporting

10:35 - The emerging greenwashing risk nobody is talking about

11:00 - Why emissions targets now require evidence and action plans

12:07 - Greenwashing 2.0: From false claims to false targets

13:01 - Final reflections on regulation and accountability

🌿 We record on Gadigal Land and pay our respects to the traditional custodians of country and elders past and present.

After nearly four decades at Macquarie, Wikramanayake will retire from the role in November. With her resignation, none of the top finance companies in the ASX20 will have a female in the top job.

Current Macquarie head of banking and financial services Greg Ward has been named as Wikramanayake's successor, effective November 7.

CEW chief executive Lisa Annese said when the number of women in leadership positions is small a handful of departures registers when it's a woman.

"What we would like to see is a focus on sustained pipeline development for women," Annese said.

"So that when it comes time to finding the replacement or appointing the next chief executive, there are just as many qualified women as there are qualified men in line for that appointment and ready to be considered."

She noted the commentary was not specific for Macquarie and generally as an economy we can do better around who's in the pipeline for the next role.

Annese adds the pool of candidates is very narrow when looking at a chief executive appointment.

"It's about who is in that team that could be positioned for the next chief executive role, and that's where I think there's an opportunity to build from middle management into executive leadership," she said.

Wikramanayake joined the banking giant in 1987, having led various business divisions, including its asset management business for more than a decade, across Hong Kong, Malaysia, New Zealand and Australia.

She was appointed chief executive and managing director in December 2018, succeeding Nicholas Moore who served as chief executive for 10 years.

"She's had a long tenure at Macquarie, achieved amazing things, and now moving on to the next phase of her life, and she's been an extraordinary chief executive," Annese said.

The resolution brought forth by 160 shareholders and coordinated by Market Forces, pushed for improved climate risk exposure and management by Macquarie.

Australian Retirement Trust (ART) and Cbus both voted in favour of the resolution last year but chose to vote against it this year. Aware Super chose to abstain from the vote this time. It had voted in favour of the resolution last year.

Around 18% of Macquarie shareholders voted in favour of the resolution for the investment giant to disclose how its fossil fuel financing aligns with its commitment to the Paris Agreement. This marks a major walk back from last year, when 35% of shareholders voted in favour of the resolution.

Concerns have been raised over Macquarie's role in financing the Beetaloo Basin in the Northern Territory.

"Macquarie has 'an ambition to support the goals of the Paris Agreement'. It is not clear what this means," Vision Super said.

"It is not clear how financing long-term fracking projects in the Beetaloo basin or Sandow in Texas supports this ambition whatever it is. A report might help the company clarify what it is actually doing and what it means by its statements."

A Cbus spokesperson said the super fund has and will continue to engage with Macquarie regarding its approach to managing climate change risks.

In its Responsible Investment Report 2025, Aware Super highlighted its reasons for choosing to abstain from the Say on Climate vote at a Santos AGM last year.

"Following comprehensive engagement and analysis, we chose to abstain from the Say on Climate vote, reflecting our recognition of the company's progress on climate risk management and transition planning, while signalling our expectation for continued improvement," Aware Super said.

Shareholders in the resolution claimed the latest disclosures and financing activity appeared inconsistent with accepted science-based pathways to meet the Paris climate goals, substantially decrease reported green-energy exposure, and significantly increase reported fossil fuel exposure.

The funding will enable HAMR Energy to undertake front-end engineering design (FEED) and development work for a proposed biomass-to-fuel supply chain across Victoria and South Australia.

The project intends to convert forestry byproducts such as sawdust and bark into renewable methanol, which can then be used to produce SAF, renewable diesel and other low-carbon fuels.

If commercialised, the facility could produce enough SAF to displace around 140 million litres of conventional jet fuel each year, reducing carbon emissions by an estimated 330,000 tonnes annually.

ARENA chief executive Darren Miller said the project could help accelerate Australia's emerging sustainable aviation fuel sector.

"Aviation is one of the most challenging sectors to decarbonise, particularly for long-haul flights where alternatives to liquid fuels remain limited. SAF offers a practical near-term pathway to reduce emissions from aviation using existing aircraft and infrastructure," Miller said.

"Australia has a significant opportunity to turn underutilised biomass resources into valuable clean fuel products, and this project will help test whether byproducts from existing forestry operations in Australia can be converted into low-carbon liquid fuels at scale."

The finding will be released in two stages, with an initial $12.5 million available immediately and the remaining $19.5 million contingent on HAMR Energy securing additional co-investment to progress detailed engineering.

The project will source plantation forestry for the Green Triangle region across western Victoria and South Australia, creating an additional revenue stream for plantation owners while supporting certified sustainable forestry operations.

HAMR Energy co-founder David Stribley said the investment marked an important step towards building a domestic SAF industry.

"The project has the potential to strengthen Australia's fuel security, reduce aviation emissions and create skilled jobs across construction, engineering, manufacturing and regional supply chains," Stribley said.

Alex Godina has joined as general manager, development, while Cameron Sampson has taken on the role of land acquisition director. Jack Huang has commenced as associate director, and Zachary Jones was named as development manager.

Godina brings deep utility-scale renewables experience from his most recent role as head of development at Cubico Sustainable Investments Australia. He has also held senior development and approvals roles with DP Energy, Maoneng and Hanwha Energy, working across wind, solar and battery storage projects.

Meanwhile, Sampson has nearly two decades of experience across battery energy storage system (BESS), grid connections and clean energy infrastructure. His background includes Castle Group, Firm Power and Endeavour Energy, where he worked across renewable origination, land acquisition, project acquisitions, network operations and corporate development, Capella said.

On the other hand, Huang boasts a tenure of 10 years with Macquarie, including Macquarie Capital, where he worked across direct investment and M&A advisory in energy transition and infrastructure, while also experienced in commercial development and asset management of large-scale energy transition projects.

At last, Jones has more than 14 years' experience across renewable energy development, technical advisory and electrical engineering. He held roles with Kilara Energy, K2 Management, GreenSync and AECOM, supporting wind, solar and BESS projects through development, due diligence and delivery, the firm said.

"Together, these appointments add significant development, land, technical and investment capability as Capella continues to build a high-quality energy platform focused on renewables, transmission and storage opportunities across Australia," Capella said.

The appointments follow the welcoming of two industry stalwarts, Andy Haining and Jarrod Woodward, to the respective roles of executive director and director, to lead its Australian infrastructure development in response to ongoing growth in the market.

In their roles, both will originate, develop and execute public private partnerships and adjacent opportunities, with a focus on delivering complex infrastructure projects in partnership with government and private sector stakeholders. Haining will also assist in leading Capella's Australian focused equity fund raising initiatives.

The investment, announced alongside a new strategic partnership between the two firms, will support the rollout of renewable energy infrastructure across Victoria, New South Wales and Western Australia, with a focus on hybrid solar wind and battery energy storage system (BESS) projects.

Yanara chief executive Jerome Ortiz said the investment marked a significant milestone for the renewable energy developer as it expands its Australian footprint.

"This investment marks yet another defining milestone in Yanara's growth journey," Ortiz said.

"Mirova is one of the world's most respected sustainable investors, and we are proud to welcome them as our partner in Australia. We share a common vision of accelerating the energy transition through high-quality infrastructure that delivers long-term environmental, social and economic value. Together, we will help build the next generation of reliable and dispatchable renewable energy solutions for Australia."

A substantial portion of the funding will be directed towards Yanara's flagship Mortlake energy hub in Victoria, a hybrid renewable energy project comprising a 450MW solar farm and a 600MW/2,400MWh battery energy storage system across two stages.

According to Yanara, the project is expected to generate enough renewable electricity to power around 200,000 homes while avoiding an estimated 880,000 tonnes of carbon emissions annually. The first stage is preparing to enter construction and is expected to create more than 300 jobs.

Mirova global head of private assets Raphael Lance said Australia remained one of the world's most attractive renewable energy markets.

"Australia is one of the most compelling markets globally for the energy transition, supported by strong renewable resources, decommissioning of the coal-fired power plant, growing electrification needs and an increasing demand for firm, dispatchable clean power," Lance said.

"Our investment in Yanara reflects Mirova's long-term commitment to supporting the development of critical energy infrastructure that can accelerate Australia's transition to a more resilient and low-carbon energy system."

Yanara currently has more than 5.1 GW of renewable energy projects under development across Australia, India and the Philippines.

The Australian investment represents the company's first dedicated capital raise for its local operations and comes as demand for firmed renewable generation continues to increase alongside Australia's transition away from coal-fired power.

The partnership will see La Caisse commit $300 million in equity alongside a further $30 million investment from GO. FARM, while also taking a minority stake in the Melbourne-based manager.

La Caisse executive vice president and head of infrastructure and sustainability Emmanuel Jaclot said Australia remained an attractive destination for long-term agricultural investment.

"Australia combines world class agricultural resources, strong export markers and significant land transformation opportunities," Jaclot said.

"Through this partnership with GO. FARM, we are backing a proven operator with deep local expertise and a strong commitment to responsible agriculture. Together, we aim to build a diversified platform positioned to capture attractive opportunities across a sector that is becoming increasingly important to global food production."

Founded in 2013, GO.FARM manages approximately $1.6 billion in assets and specialises in developing underutilised land and water assets into institutional grade permanent horticulture operations.

Founder and managing director Liam Lenghan said the partnership reflected increasing global appetite for agriculture as an institutional asset class.

"Our focus has always been on finding the opportunity, solving the challenges and executing the fundamentals well by building great teams and capability, back by data-driven insights and good science," Lenaghan said.

"This partnership is built on alignment, not just capital. As global institutions seek exposure to agriculture, access to investment-grade assets remains constrained."

The investment builds on La Caisse's growing sustainable land management presence in Australia and GO. FARM's existing institutional investor base, which includes Australian Retirement Trust, and comes as global investors increasingly allocate capital to food production, natural capital and climate resilient real assets.

SQM Research has confirmed the rating for the Centuria Bass Credit Fund (CBCF) has dropped from a high-investment grade (4.0-star) to a non-investment grade (3.25-star) rating but did not disclose the reasoning behind the determination.

The wholesale fund is operated and managed by entities associated with Centuria, and benefits from first mortgage security in respect of six Bathla loan facilities.

"Two are construction loan facilities. One construction loan facility has ongoing construction exposure and that project is substantially complete. The remaining loans are residual stock loans or land loans. All these loan facilities continue to accrue interest," Centuria said in an ASX announcement.

"While CNI is not a unitholder of CBCF, CNI has provided a direct $4.5 million loan facility to a Bathla Group entity. This is the only balance sheet exposure of CNI to the Bathla Group."

Responding to media commentary suggesting "a relationship between Bathla Group and Centuria Bass Credit employee David Stone", the company has denied any potential conflicts of interest, with reasonings of the lending relationship having been ongoing for more than three years, and Stone having only joined the firm in April 2025.

Stone is currently the managing director and co-head of lending at Centuria. He was head of capital at Bathla between May 2024 and April 2025.

"[While] Mr Stone previously worked for a Bathla Group entity for 12 months, he has no ownership interest in, or control over, any Bathla Group entity," Centuria said.

"Stone is not a voting member of the Centuria Bass Credit investment committee and has no voting influence over the approval of any Bathla Group loan facility."

In relation to the rating change of CBCF, Centuria said it will engage constructively with the research house regarding the matters and "seek appropriate clarification and correction where required."

The fund has a net asset value of $272 million and returned 8.76% over the 12 months to June end. It contains 53 first mortgage property debt investments, and 100% of transactions have benefited from the first-mortgage security, the firm said.

Meanwhile, Bathla was earlier this year involved in a separate controversy with another private credit lender Alceon, which has exited its decade-long relationship with the developer in January, according to The Australian.

Defending its position, Bathla said the decision to refinance its loan portfolio with Alceon was made by Bathla for sound commercial reasons and the conclusion of the partnership was not initiated by Alceon.

"Alceon extended its lending with Bathla in mid-2025 and confirmed on numerous occasions that it was comfortable retaining the loans through to project completion," Bathla's statement read.

"We remain in ongoing discussions with Alceon regarding potential future lending and share the view expressed publicly that both parties are open to working together again."

This is major walk back from last year, when 35% of shareholders voted for improved climate risk exposure and management.

This year, major international investors had backed the Market Forces shareholder resolution. They include CalPERS, the largest pension fund in the United States; the New York City Pension Funds; KLP, Norway's biggest private pension fund; and Storebrand, Norway's largest asset manager. Australian super fund Australian Ethical is also part of the 160 shareholders on the resolution.

Australian Ethical head of equities Nathan Parkin said, "Capital allocation decisions made today will shape the resilience of the business for decades to come."

"Shareholders need sufficient information to assess whether Macquarie's financing decisions are consistent with its stated strategy and support long-term value creation. Greater disclosure would help investors understand how those decisions align with the company's public commitments," he added.

Shareholders in the resolution claimed the latest disclosures and financing activity appeared inconsistent with accepted science-based pathways to meet the Paris climate goals, substantially decrease reported green-energy exposure, and significantly increase reported fossil fuel exposure.

The resolution stated these developments "call into question the credibility of Macquarie's climate representations and exposes the group to growing climate-related financial risks."

The Macquarie board recommended shareholders to vote against the resolution noting it is not in the best interest of the company.

"The advisory resolution in Item 5b. mischaracterises the extent of our involvement by solely focusing on the balance sheet positions in green energy which have fallen, as foreshadowed, due to the strategic shift to a fiduciary model and the reduced carrying value of remaining balance sheet investments," Macquarie said.

"As noted in the FY2026 MGL Sustainability Report, and to ensure consistency in disclosure, Macquarie expects to disclose emissions associated with assets under management in the next reporting period, providing further insight into its portfolio."

Macquarie said it will continue to monitor regulatory and industry developments when considering any further disclosures in future reporting periods including in relation to exposures to carbon-intensive industries where relevant.

In its annual report, Macquarie said while it remains committed to the goals of the Paris Accord, its longstanding view remains that a managed "glidepath" to energy transition is the only long-term solution to manage "availability, affordability, and emissions reduction".

"High energy costs, and the accompanying impact on the cost of living, have seen a shift in public policy priorities and greater recognition in recent years that fossil fuels, particularly natural gas, will be required for some time, even as the transition to renewables continues," Macquarie said.

Macquarie also said climate-related opportunities are not expected to be material in the short-term.

"Over the medium- to long-term, opportunities may emerge; however, these are contingent on a range of external factors, including investor demand and market conditions," Macquarie said.

It added in the long-term the range of possible outcomes become increasingly broad and estimating the financial effects beyond the medium-term "would not be decision-useful".

The YouGov survey of 1624 Australians found 82% support governments requiring new data centres to pay for additional renewable energy generation and storage equivalent to their electricity consumption, as federal and state energy ministers prepare to discuss the issue at next week's Energy and Climate Change Ministerial Council meeting.

The findings come amid forecasts electricity demand from Australian data centres will triple by 2030, driven largely by the rapid expansion of artificial intelligence infrastructure.

Climate Council chief executive Amanda McKenzie said Australians were sending a clear message to governments and industry.

"Australians have sent a crystal-clear message: operators cashing in on the AI boom must bring their own clean energy to the table," McKenzie said.

"With energy demand from Australian data centres set to triple by 2030, we can't afford to let this industry drain our grid, push up electricity bills and create more climate pollution."

The polling also found 69% of respondents supported mandatory energy and water efficiency standards for new data centres, while 67% believed the facilities risked placing additional strain on the electricity grid and increasing household power bills.

McKenzie said recent commitments from the federal government to ensure data centres did not increase electricity prices would require stronger policy settings.

"The federal government promised last week to ensure that data centres won't drive up power prices. This requires mandating that data centres build their own additional renewable power," McKenzie said.

"Without immediate action, Australian households will pay the price through spiked energy bills and soaring pollution within the next few years."

Despite concerns about energy demand, the survey suggested Australians remain unconvinced about the broader economic benefits of the sector, with fewer than half (49%) agreeing the data centre industry would significantly boost Australia's economy.

McCartney will replace Ian Learmonth, who was appointed in 2017 and will support a smooth transition.

McCartney brings close to four decades of experience across financial services. Most recently, he was responsible for delivering the complex $19 billion CEFC Rewiring the Nation policy, which is a central component of the government's signature electricity grid modernisation program, the CEFC said.

He also led the CEFC's emerging alternative fuels portfolio and Western Australian businesses and has successfully originated and led some of the CEFC's most strategically significant investments, including Marinus Link.

Welcoming McCartney, CEFC chair Steven Skala said: "Widely respected within the CEFC, Paul has been a strong advocate for the CEFC's role in accelerating investment, reducing barriers to capital and supporting the development of new clean energy markets."

"The board is confident that his experience, strategic insight and deep understanding of the CEFC mission positions him strongly to lead the organisation through its next phase of growth and impact."

McCartney said he is looking forward to accelerating the corporation's net zero strategies at an important period.

"The CEFC is entering a critical phase of delivery to achieve on the Australian government's net zero ambitions and clean energy transformation. This is a decisive decade. The pace and scale of investment required to meet our 2030 renewable energy targets and 2050 net zero commitments is unprecedented," McCartney said.

"In leading the Rewiring the Nation Fund, I have seen firsthand the complexity involved in delivering the policy outcomes that underpin the entire transition.

"I am confident in the CEFC team's ability to rise to the many challenges of ensuring projects are delivered at the speed and cost required."

Meanwhile, Skala also noted Learmonth's contribution had led the CEFC through a period of substantial growth.

"Under Ian's outstanding leadership, the CEFC has expanded its impact and strengthened its role as a catalyst for private investment, delivering significant outcomes for Australia's energy system, economy and emissions reduction efforts," Skala said.

"He took on a challenging role almost a decade ago, and has earned the respect of the board, his peers, the wider market and indeed all associated with the CEFC."

Learmonth added: "The CEFC plays a unique role in working alongside the private sector to accelerate investment in the infrastructure, technologies and systems needed to deliver net zero."

"I am proud of the passion and commitment of the CEFC team round me, and the impact we have had in reducing emissions and building a more reliable, affordable and lower emissions energy system. I am grateful for the strong support and guidance from the CEFC board."

Under the changes, the EU is moving from a disclosure framework into a product categorisation regime.

"That change raises the stakes for the regulator. Once products are assigned to recognised sustainability categories, those categories perform much of the communicative work before any product-specific claim is made," the research note by EDHEC Climate Institute said.

"If the underlying standards are weak or internally inconsistent, the new framework may therefore institutionalise rather than mitigate misleading sustainability claims."

To mitigate this, the institute pushes forth the idea of "substantiated categorisation", which moves beyond formal eligibility criteria, such as investment thresholds or recognised methodologies.

Instead, products should demonstrate the coherence of the chain linking category objectives, product objectives, investment strategies, implementation mechanisms, indicators and their plausible implications for the real economy.

"This is particularly so where the framework claims not only to improve investor information and protection, but also to support the mobilisation and allocation of capital towards the transition of the real economy," the report read.

"Such a claim requires products to justify the coherence of the chain linking the objective represented by the category, the objective pursued by the product, the investment strategy adopted, the investment approaches through which that strategy is implemented, the indicators used to assess its operation and progress, and its plausible implications for outcomes in the real economy."

While the framework already exists, the research note pushes to tackle the challenge to apply that principle consistently throughout the categorisation regime.

"The debate has understandably focused on thresholds, exclusions and exemptions, and on how they affect the integrity of the categorisation framework. Those are necessary questions. They are not, however, the only ones the revised regime must answer," EDHEC Climate Institute programme director Frédéric Ducoulombier said.

"Once the regulator creates sustainability categories, it gives them meaning. That creates responsibilities. Product qualification must therefore do more than satisfy formal criteria."

Brookfield will acquire the business from funds managed by Blackstone Energy Transition Partners through the second vintage of its flagship global transition strategy, alongside its institutional partners, including Brookfield Renewable Partners.

Aypa is the largest standalone battery storage developer in North America, Brookfield said, which contains a diversified portfolio across various power markets in the US and Canada, including 6.5 gigawatts (GW) of operating, under-construction and contracted battery storage capacity, complemented by a development pipeline of over 20GW.

Under the terms of the agreement, Brookfield will acquire Aypa's operating, under-construction and contracted project portfolio, together with its development platform and approximately 200-person team.

Commenting, Brookfield's Energy chief investment officer Jehangir Vevaina said: "We are excited to partner with Aypa to deliver on the company's scale growth pipeline. Battery storage is increasingly critical to the reliability and resilience of today's energy systems, and bringing together this leading platform with Brookfield's broad capabilities across technologies and geographies further strengthens our ability to deliver integrated energy solutions to the world's largest buyers of power."

Aypa Power chief executive and founder Moe Hajabed added: "This is an extraordinary achievement for the team that built Aypa. Over the past six years, with Blackstone's partnership, we grew Aypa into the largest and most valuable storage-focused independent power producer in North America."

"Together, we helped establish battery storage as critical infrastructure, essential to a more reliable and resilient grid. I look forward to seeing Aypa flourish further under Brookfield's ownership."

Providing a joint statement, Blackstone senior managing director Bilal Khan and managing director Mark Zhu said: "We invested in Aypa based on our conviction that battery storage would become increasingly critical to supporting grid reliability and meeting growing electricity demand from AI and other use cases."

"Since then, the company has established itself as the leading battery storage platform in North America, supported by a premier development pipeline and strong customer relationships.

"We are proud to have partnered with Aypa and its exceptional management team and look forward to its next phase of growth with Brookfield."

As a patron, Morgans Financial will help raise awareness for the challenges facing rural Australia, advocate for farmers and support Rural Aid's delivery of disaster assistance, mental health and wellbeing services, and community development programs. The patronage will be led by Morgans Financial chair Brian Sheahan, who has more than 40 years' experience across the financial services and resources sectors.

The appointment builds on the partnership that was established with the launch of an annual charity initiative, Big Dry Friday, in 2018.

Commenting, Rural Aid chair Alex Hutton said Morgans Financial's continued support helps create meaningful outcomes for farming communities.

"We are delighted to welcome Morgans Financial as a Rural Aid Patron. Their genuine commitment to rural Australia and their long-standing support of farmers aligns strongly with our purpose," Hutton said.

"Together, we can continue providing timely assistance, strengthening connections and ensuring farmers and their families have access to the support they need, when they need it most."

Sheahan added the organisation was proud to deepen its advocacy efforts to empower regional communities.

"Morgans has always valued the contribution of Australia's farmers and the vital role they play in our economy and communities," Sheahan said.

"Through our support of Rural Aid and initiatives such as Big Dry Friday, we have seen the impact that practical assistance and community connection can have for farmers and their families during challenging times.

"We are honoured to become a patron and continue supporting rural Australia. We look forward to working with Rural Aid to help deliver meaningful outcomes for farming communities across the country."

The BLF also picked Amundi Asset Management, BNP Paribas Asset Management Europe, Geode Capital Management and State Street Global Advisors Singapore to help manage the Global Climate Transition Passive Infrastructure Securities strategy.

Each fund manager will be allocated US$400 million ($571m) from the Labor Pension Fund, US$100 million ($143m) from the Labor Insurance Fund, and US$100 million ($143m) from the National Pension Insurance Fund. The mandate term will last five years.

The fund managers will use the FTSE Global Core Infrastructure ex China TPI Climate Transition Index as their benchmarks, targeting companies with forward-looking climate transition management capabilities.

Through a passive investment approach, the BLF said the mandate aims to participate in the global infrastructure market at a relatively lower cost, while serving the dual objectives of supporting companies in advancing structural transition and capturing investment growth opportunities.

The fund managers will also aim to achieve the long-term objectives of the Labor Funds and the National Pension Insurance Fund, which are to consistently earn stable returns.

"This mandate aligns with international trends by focusing on climate transition infrastructure, combining stable income characteristics with structural growth in electricity demand. It aims to strengthen the balance of alternative investments within the overall portfolio, enhance diversification, and simultaneously support corporate transition while capturing investment growth opportunities," the BLF said.

This is against the backdrop of the rapid development of artificial intelligence (AI), cloud computing, and the digital economy, investment opportunities in related infrastructure have been expanding. "Such assets typically feature stable cash flows, essential demand, and resilience to economic cycles, which help generate long-term returns while enhancing portfolio defensiveness. In addition, under the global energy transition trend, power and related infrastructure are gradually shifting toward low-carbon development," the agency said.

In March, the BLF put out a tender for its global passive fixed income investment mandates under the Labor Pension Fund and the National Pension Insurance Fund, seeking four external managers. Each fund manager will be entrusted with US$300 million ($428m) from the Labor Pension Fund and US$100 million ($143m) from the National Pension Insurance Fund. This mandate totals US$1.6 billion ($2.3bn) and will also span five years.

🌿 Can committing just 1% of revenue help businesses drive meaningful environmental impact?

❓ Question: Can a relatively small commitment of 1% of annual revenue create measurable environmental outcomes, strengthen business performance and help companies embed sustainability into their long-term strategy?

✅ Answer: According to Kate Williams, chief executive officer of 1% for the Planet, the answer is yes - provided businesses treat environmental giving as a core operational expense rather than a discretionary donation. The organisation encourages members to commit at least 1% of annual revenue, not profits, to vetted environmental causes every year, regardless of business conditions. This approach is designed to integrate environmental responsibility directly into corporate strategy, planning and financial decision-making.

Founded in 2002, 1% for the Planet connects businesses with environmental partners across four key impact areas: just economies, resilient communities, rights to nature, and conservation and restoration. Member companies can direct their contributions according to their own sustainability priorities, while the organisation verifies and certifies their commitments.

🌟 One of the key insights from the discussion is why the 1% figure has endured for almost 25 years. Williams explains that 1% is both psychologically accessible and financially meaningful. It feels achievable for most organisations, yet when applied to annual revenue rather than profit, it becomes a substantial long-term commitment that can fund significant environmental initiatives.

🌟 The strongest area of support among members is resilient communities, which accounts for roughly 40% of certified contributions. Williams says this reflects growing recognition that environmental issues are fundamentally linked to people and communities. Businesses increasingly want their sustainability efforts to deliver both environmental and social outcomes, particularly as climate impacts become more visible.

🌟 Climate-related causes are receiving increasing attention. Climate adaptation attracted approximately $25 million in certified giving during 2025, representing around 22% of all contributions certified by the organisation. Renewable energy funding also experienced significant year-on-year growth, highlighting the increasing focus companies are placing on climate solutions.

🚩 One challenge is maintaining sustainability commitments during periods of economic pressure. Businesses globally are dealing with cost-of-living pressures, margin compression and uncertain economic conditions. In these environments, environmental spending can be perceived as an additional cost rather than a strategic investment.

🚩 Another challenge is demonstrating commercial value. Williams notes that organisations must be able to link environmental commitments to tangible business outcomes such as customer loyalty, brand differentiation, talent attraction and employee retention. Without a compelling business case, sustainability initiatives may struggle to gain long-term support from leadership teams and stakeholders.

🌟 To address these concerns, 1% for the Planet emphasises flexibility. Companies can contribute through cash donations, products or professional services. For example, a marketing agency may provide pro bono services to a non-profit partner, allowing businesses to maintain commitments even in years when cash budgets are constrained.

🌟 Williams also highlights the long-term strategic view. She argues that business viability ultimately depends on a healthy environment and functioning communities. Framing sustainability investments through this lens helps organisations move beyond short-term financial pressures and focus on long-term resilience and value creation.

⚠️ Looking ahead, one area of opportunity is the technology sector. Despite technology companies often generating significant revenues and strong margins, Williams says the sector remains underrepresented within the organisation's membership. She sees substantial potential for technology firms to play a larger role in funding environmental initiatives as stakeholder expectations continue to evolve.

⚠️ The organisation is also continuing to invest in its global community of members. Through events, peer networks and ongoing support, businesses can share ideas, refine their giving strategies and learn from others facing similar sustainability challenges. According to Williams, participation is designed to be an evolving journey rather than a one-off commitment.

💡 Why it matters:

As sustainability expectations expand beyond emissions reductions and reporting requirements, businesses are increasingly being asked what direct contribution they are making to environmental and social outcomes. Models such as 1% for the Planet aim to move environmental responsibility from the margins of corporate strategy into core business operations. By linking environmental giving to revenue rather than profits, organisations can create more predictable and accountable funding streams while potentially strengthening customer relationships, employee engagement and long-term business resilience.

🎙️ Sources:

• Kate Williams, chief executive officer, 1% for the Planet

• Michelle Baltazar, host, The Greener Way 

⏱️ Timestamps:

00:00 - Why 1% of revenue became the benchmark

01:30 - How 1% for the Planet works

03:10 - The rationale behind revenue-based giving

05:00 - Trends in environmental funding and impact areas

06:00 - Why resilient communities receive the most support

07:00 - Climate adaptation and renewable energy funding growth

09:00 - Maintaining commitments during economic pressure

10:00 - The business case for environmental giving

12:00 - Flexible contribution models and in-kind giving

13:00 - Opportunities in the technology sector

15:20 - How businesses can join 1% for the Planet

16:20 - Community-building and member support

Link: https://www.onepercentfortheplanet.org/

🌿 We record on Gadigal Land and pay our respects to the traditional custodians of country and elders past and present.

Last year, Insignia Financial struck a deal with SS&C to outsource about 1300 staff who worked in its master trust business to the fund administrator as part of its cost-cutting drive. Insignia's staff working in administration, technology and digital teams officially moved to SS&C in July 2025.

While SS&C began the major restructure to integrate the workforces of the two businesses, Finance Sector Union (FSU) had secured a 12-month firing freeze of the roles.

FSU said, however, as soon as the moratorium on the job losses lifted, SS&C has made a portion of the staff redundant. The union noted all the jobs in the initial round of redundancies will be performed at SS&C Technologies' Thai and Indian operations.

"The remaining Australian staff will undergo a selection process to determine who stays and who will be in line for future redundancies," FSU said.

Insignia Financial's Shadforth and Bridges financial advice business will also axe 59 staff with their jobs also going to the Philippines.

FSU has lodged a dispute with SS&C and Insignia Financial and said it will escalate the matter to the Fair Work Commission if needed.

"Offshoring is a cancer that continues to spread across the entire Australian finance sector," FSU national president Wendy Streets said.

"It puzzling to think that SS&C Technologies bought half off Insignia Financial last year to get a toehold on Australian finance and now, less than a year later, they are abandoning this country in favour of Asian countries known for their poor pay and conditions."

Streets added the FSU will not relent until the companies are held to account for treating Australian workers like "pawns in a fruitless global chess game".

The real question is: can investors afford to stop pricing real-world risks and externalities into decision-making?

Here are six takeaways from RI Europe 2026 and our own RI roundtable event.

1. New challenges, new opportunities: recognising system-level risk 

Climate scenarios are not forecasts, they are intended to allow us to think creatively and ask out-of-the-box questions. Participants at the roundtable demonstrated this nimble reasoning style when discussing the future through a system-level approach. For example, attendees asked to what extent are informal and out-of-office economies like construction and agriculture exposed to extreme heat and flooding? Questions like this help clarify and emphasise the interconnectedness of underlying systems that companies rely on (economic, environment, social).

As such, a system-level or 'whole-of-economy' perspective is gaining traction. This approach recognises systemic risks rather than focusing onrisks specific to companies in scope. Systemic risks are not just ESG in nature and include other risks like AI, cyber security and geopolitics. For large asset owners with diversified portfolios and exposed to big chunks of the economy, this is highly relevant.

Ultimately, a system-level perspective cascades from beneficiaries to asset owners to asset managers. While asset managers still appear somewhat fragmented, asset owners are increasingly clear, and confident, about their role in shaping public policy discourse. While scenario analysis alone is not good enough to embed in strategic asset allocation and methodologies, narrative-based approaches can be more useful for systems approaches. This was supported by roundtable participants as a highly encouraging development.

2. Opportunity loss vs opportunity cost: reframing ROI

One approach is to view physical risk as 'savings of investment' rather than return on investment (ROI), shifting the focus to avoided losses rather than opportunity cost. Interestingly, the drivers of action differ: asset owners tend to respond to lived experience (e.g. extreme weather events) while asset managers are more often driven by client demand.

A practical, financially grounded framework discussed is an asset-class-agnostic approach that addresses the following aspects:

• How the asset generates revenue
• How climate affects that revenue generation
• The likelihood and degree of vulnerability
• The level of adaptation and resilience in place

As participants demonstrated at our roundtable, exploring how physical risk manifests across asset classes is a future-forward conversation. The direction of travel is unambiguous: we must integrate physical risk with at least the same urgency as climate mitigation.

3. Mandates and reporting: from intent to implementation

A core sentiment echoed amongst attendees, which cannot be overstated, is the importance of explicit client mandates. Clear intentionality must be matched with appropriate incentives, particularly when it comes to stewardship and advocacy. Without this alignment, expectations on value-added risk remain under-recognised and under-resourced.

Attendees also discussed the future of sustainability reporting and the importance of being more specific, deepening links to financial statements, and assurance. Addressing EU standards, reporting should be bi-lingual and seek alignment (e.g., 'one report to rule them all'). On the upside, the roundtable noted that corporates are beginning to adopt sustainability reporting voluntarily, including in the US.

4. Labels and outcomes: shifting language

One development that garnered attention at the roundtable is increasing ESG integration in unlabelled funds. Companies may continue to apply rigorous ESG analysis and stewardship, but without attaching obvious sustainability labels and therefore potentially unwanted additional scrutiny.

At the same time, there is a move to reframe the narrative in more tangible, real-economy terms. Instead of jargon-heavy phrases like 'climate transition', language is shifting to concepts clients more readily recognised and that are less triggering for some parts of society in an increasingly polarised world - such as 'energy security' and 'economic resilience'.

Participant consensus was that clients and beneficiaries respond most strongly not to abstract metrics, but to clear examples of real-world impact. Case studies - demonstrating how engagement has influenced company behaviour, reduced risk, or created long-term value - are often more powerful than percentages or scores.

This shift reflects a broader realisation: communication matters as much as methodology. If ESG is to maintain credibility, it needs to be explained in clear, accessible terms that resonate with different audiences.

5. Greenhushing: the risks of downplaying ESG

'Green hushing' is one of the latest buzzwords around how responsible investment is communicated. It's a phrase describing companies that continue to integrate ESG considerations but deliberately tone down claims, labels or disclosures because increased scrutiny at regulatory, political or reputational level can feel like a trap. Stepping away from ESG language does not remove underlying risks - it simply makes risk harder to see. In practice, we are seeing fewer bold claims and more subdued language, even when underlying processes remain strong.

Roundtable participants drew parallels with the WWII era, when asbestos was widely regarded as a safe, versatile and practical material for everyday applications. The deadly 'magic mineral' was only fully banned in 1999 in the UK, despite ongoing scientific investigations, including a landmark report in 1928, that officially linked asbestos exposure to debilitating lung scarring. In a similar way, ESG analysis identifies and exposes hidden risk before it crystallises and causes harm.

Ignoring externalities can seem beneficial in the short term, as in the case of the lucrative mineral asbestos. Cheap to mine and with heat, fire, and chemical-resistant properties, asbestos fuelled the industrial revolution. Cost was low, returns appeared strong, and economic complexity was reduced. But the bill inevitably arrived: the long-term economic consequences of asbestos proved devastating and far outweighed the initial industrial benefits. In less extreme cases in today's environment, costs may come in the form of regulatory penalties, stranded assets, litigation, or reputational damage.

Roundtable participants showed how this dynamic is currently playing out in the tech sector. Major technology companies that have rapidly grown are now being sued in court. Jurors recently found that both Meta (owner of Instagram, Facebook and WhatsApp), and Google (owner of YouTube) intentionally built addictive social media platforms. These examples illustrate that risks once viewed as peripheral are increasingly being recognised as having financial impact.

6. The enduring value of in-person networks: future discussions

From our lively and engaging roundtable experience it was clear that nothing quite replaces the depth of connection that comes from in-person interaction, whether formal sessions or informal conversations over coffee (or a vegan sausage roll). With ESG communication becoming more grounded in real-world outcomes, these in-person moments enable more candid exchange, faster alignment, and richer strategic thinking.

Looking ahead, there remains cautious optimism from all the discussions we had. We think that this reinforces that Responsible investment and ESG are not dead; if anything they are becoming more embedded.

We thank all the participants for their contributions to a lively discussion.

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Speaking to FS Sustainability, Northern Trust head of digital assets innovation for Asia Pacific Alvin Chia said the carbon credit use case presented in the project depicted a huge opportunity for the local market should tokenisation become more mainstream.

Explaining, Chia said when acquiring carbon credits, the lack of transparency and robustness via the current model is far from efficient and creates a void for fraudulent activities.

"We observed that the voluntary carbon market has historically been dependent on fragmented record keeping, ranging from private databases to, in some instances, manual processes. That creates operational inefficiencies and increases the risk of duplicate claims when governance is weak," Chia said.

"What we can promise is the immutability of the data on our blockchain. Every change is time-stamped, traceable and attributed, giving market participants a transparent view of an asset's lifecycle while strengthening governance and reducing risk.

"Market participants can access key information about a credit in real-time, providing great visibility into provenance, ownership and transaction history. That level of transparency is the core of our value proposition to enable greater institutional participation."

Although Chia predicts only around 10% of Northern Trust's assets under custody will be some form of digital assets by 2035, the digital market adoption will only continue to grow.

"Investors are focusing on some of the more topical areas like AI, but when they start to realise there is a lot going on in digital assets that pique their interest, their engagement increases," Chia explained.

"I'm sure this technology will garner significant interest from the secondary market as well. We are excited to see that come to life."

He also highlighted the push for tokenisation of carbon credits can help bring forth the ESG agenda and help develop a more sustainable society and is currently being realised among the more innovative jurisdictions, stressing that Australia should advance with the technology swiftly if they do not want to be left behind.

"One of the markets that we have seen the active tokenisation of assets includes Hong Kong, where the government have issued multiple tranches of green bonds on chain, and that has been very well received by the local stakeholders. We believe that the bond markets will be the one that will quickly move on chain in the future," he added.

"In Australia, we want to help educate the market in different ways, so when a transaction happens, we can handle them in the best way possible. If the Australian market evolves, allowing tokenised securities trading in the future, we will be there to support them."

Companies would be able to defend themselves if they can demonstrate they took reasonable steps to prevent modern slavery.

"This will ensure companies which have adequate processes and steps in place are afforded appropriate protections," Attorney-General Michelle Rowland said.

"Upcoming consultations will help inform the details of the proposed offence and enforcement options to further ensure the reforms are practical, effective and fit for purpose, including consideration of a deferred prosecution agreement scheme and remedies for victims."

Australian Human Rights Institute director Justine Nolan has said the current Australian Modern Slavery Act raises awareness in educating people on the problem but has fallen short in following through and being effective.

Nolan noted it has become more about ticking a box and getting the processes in place rather than being impact or outcome focused.

The government also intends to introduce civil penalties and associated enforcement powers to address non-compliance with existing obligations under the law.

The government will complement the reforms with practical guidance and education initiatives to assist companies to better identify, manage, and remediate modern slavery risks in their supply chains.

"Australians rightly expect that the products they buy are not made on the back of modern slavery, which is why the Albanese Government is delivering a legislative framework with teeth," Rowland said.

"The proposed changes will introduce greater accountability, leveling the playing field for the majority of Australian businesses already doing the right thing."

The reforms will also encourage effective risk management while maintaining a practical and proportionate framework for business, Rowland added.

Last month, over 100 signatories including institutional investors, businesses and unions sent a letter to the Attorney-General advocating for reform to address underlying risks in modern slavery.

Investors such as Australian Ethical, Colonial First State, Future Group, IFM Investors, and more came together to call on the government to ensure the reform is both "meaningful and pragmatic".

The Responsible Investment Association Australasia (RIAA) welcomed the reforms and said it looks forward to participating in upcoming consultations to ensure the reforms are practical, efficient and effective.

"Modern slavery is not only an ethical concern but also a material business and investment risk. Investors increasingly understand that modern slavery poses significant regulatory, legal and financial risks to investments," RIAA said.

"Companies connected to forced labour or exploitation face risks to long-term business sustainability, reputational harm and legal and regulatory scrutiny. In this context, unmanaged modern slavery risks can undermine business resilience, credibility, and access to capital."

RIAA added institutional investors play a vital role in identifying, assessing and addressing modern slavery risks across portfolios and supply chains.

"Responsible investors will be key to the success of the proposed reforms and to ensure Australia's modern slavery regime delivers better outcomes for people affected by exploitation," RIAA said.

The Business Council of Australia (BCA), however, said the addition penalties prioritise paperwork over fixing the problem and will significantly add to the already substantial red tape burden faced by business.

"Modern slavery has no place in Australian business, and we take the responsibility seriously to stamp it out," BCA chief executive Bran Black said.

"The BCA supports the current Act; however, the priority should be practical guidance and effective implementation of existing reporting requirements, not the imposition of vastly more red tape to Australia's already staggering compliance burden."

Black added: "Undermining a robust system with a hastily conceived new offence doesn't help end modern slavery. The priority should be implementing the existing framework properly, not creating a new offence that raises more questions than it answers."

The consulting firm unveiled Sustainability Fusion, a framework, digital tool and advisory offering developed in collaboration with the Aspen Institute to help chief sustainability officers and chief financial officers evaluate sustainability projects using the same financial metrics applied to other capital investments.

The framework aims to bridge the gap between sustainability and finance by translating environmental initiatives into measurable impacts on revenue, costs and risk, allowing executives to better assess investment decisions.

Deloitte Consulting sustainability fusion co-lead Bill Marquard said organisations were under growing pressure to demonstrates the commercial value of sustainability programs.

"Organisations need this framework now more than ever as sustainability and finance leaders are increasingly expected to quantify sustainability investments," Marquard said.

"When sustainability and finance are equipped to speak the same language, they're able to unlock cost savings, reduce risk and generate new commercial pipelines seamlessly."

To support the framework, Deloitte has also launched an AI-enabled web-based evaluator that allows businesses to assess individual sustainability investments and identify where enterprise value can be created across the organisation.

The framework was developed through workshops hosted by Aspen Institute's Business and Society Program and informed by a working group of more than 25 representatives from corporates, non-government organisations and independent advisors.

Aspen Institute sustainability programming lead Felicia Davis said the initiative was designed to help organisations connect sustainability ambitions with financial decisions making.

"This collaboration with Deloitte builds on insights from our network to help organizations move from intention to action, aligning sustainability investments with the financial realities that drive business decisions," Davis said.

Deloitte Consulting sustainability fusion co-lead Laura Bryce said sustainability leaders required better tools to communicate value rather than additional reporting metrics.

"When organisations can clearly articulate the financial value of sustainability investments, they can make decisions with greater confidence, move more quickly on priorities, and build competitive advantage in an increasingly dynamic business environment," she said.

The performance was a result of strong rollover activity and growing super guarantee (SG) contributions in its super business, as well as sound investment returns and organic flows generated over the period.

Net flows for super over the three months was $196 million, which follows the final transition of members to the GROW platform, reactivation of employment platform acquisition channel and improving digital marketing performance, while new member momentum has also lifted in the second half, Australian Ethical said.

Meanwhile, the launch of Australian Ethical Growth Opportunities Fund in March, alongside the Clean Energy Finance Corporation's (CEFC) $125 million investment have provided "a degree of resilience" against the anticipated higher-than-usual redemptions in advised and direct channels during a period of market volatility, it said.

"During the period, we have continued to see strong demand for our approach to investing, with new super member joins increasing in the second half of the year. We have also seen demand growing for our newly launched Growth Opportunities Fund," Australian Ethical managing director John McMurdo said.

"The diversification and resilience of our business model continues to allow us to grow, even in periods of market stress."

Australian Ethical saw negative flows in retail and wholesale investment of $26 million in the quarter, as client capital activities also resulted in negative FUM movement of $8 million.

However, McMurdo noted the final quarter's $650 million investment performance allowed the ethical manager to finish the financial year strongly.

"The new FUM milestone is a pleasing result given the substantial economic and market challenges of FY26," McMurdo continued.

"The decision to build out our investment team and diversify asset classes over recent years, was rewarded in what has been a challenging year for many fund managers, with Australian Ethical achieving positive returns across most of our portfolios, and net-inflows into core product categories."

For the full year, Australian Ethical recorded positive retail and wholesale net flows of $491 million and institutional net flows of $173 million, partially offset by the previously disclosed inorganic institutional outflow associated with the Australian Unity Bank mandate.

The CEO Pay in ASX200 Companies report highlights the growing influence of US-domiciled companies listed on the Australian share market.

American Chris Hulls, the chief executive of GPS tracking app Life360, topped the rankings with realised pay of $47.7 million in the 2025 financial year. Hulls stepped down as chief executive in August 2025.

He was followed by American-born ResMed chief executive Mick Farrell on $35.2 million and News Corporation's Australian chief executive Robert Thomson on $33.6 million.

As US-based executives dominated the upper end of the pay table, the study found remuneration levels among Australia's largest companies remain comparatively restrained.

The median realised pay for ASX100 chief executives rose 4% in FY25 to $1.83 million - but remains below the record median of $1.95 million recorded in 2012.

"The focus of Australian investors and boards has meant that ASX CEO pay levels have generally avoided the runaway increases we've seen elsewhere," ACSI chief executive Louise Davidson said.

"It also means that where CEOs appear in the highest paid list, their companies will generally have delivered strong performance over the long term, although there can be notable exceptions."

The highest-paid Australian-based chief executive in the ASX200 was Sigma Healthcare chief executive Vikesh Ramsunder, who entered the top 20 for the first time following Sigma's merger with Chemist Warehouse.

Macquarie Group chief executive Shemara Wikramanayake came in fifth with $30.4 million.

Seven Australian company chiefs featured among the top 20 highest paid for a third consecutive year.

ACSI's research also found bonus outcomes remain resilient. The median ASX100 chief executive received 70.7% of their maximum bonus opportunity in FY25.

Aside from the pandemic-affected FY20 period, median bonus outcomes have remained between 60% and 77% of maximum levels for the past 11 years.

ACSI executive manager of stewardship Ed John said investors should remain alert to remuneration trends.

"Investors cannot become complacent, with clear evidence that CEO bonuses continue to be a 'given' in Australia's largest companies," he said.

"This year investors will need to remain vigilant to ensure that we do not see the inflation in CEO salaries or a pay breakout that we see in markets like the US."

As for golden parachutes, termination payments for ASX100 chiefs cost shareholders $18.6 million in the last financial year, driven by more and higher payments.

The increase in average payments from roughly $1.4 million to $2.2 million was largely due to FY25's single large payment of $5.88 million to former Rio Tinto chief executive Jakob Stausholm.

The report said falling battery costs are helping insulate the market from global energy shocks.

The 2025-26 GenCost Final Report found battery storage continues to deliver significant cost reductions, while demand for gas turbines driven by the rapid expansion of artificial intelligence data centres in the United States is pushing up the cost of gas-fired generation.

Australia's national electricity market generation prices have already eased to around $104 per megawatt-hour in 2025 from a peak of $189/MWh in 2022, with electricity futures indicating prices could decline further to between $80/MWh and $90/MWh by 2030.

CSIRO chief energy economist and GenCost project leader Paul Graham said battery storage was increasingly becoming the preferred source of flexible generation.

"As battery costs continue to fall and gas technology costs rise, batteries are increasingly becoming the preferred flexible generation technology in the near term," Graham said.

"However, GenCost modelling finds gas technologies will still play a limited but important role in helping firm the electricity system, contributing around 3-7% of generation by 2050."

The report projects solar photovoltaic and onshore wind will account for 93% of Australia's electricity generation by 2050 under a least cost net-zero pathway, supported by hydro, storage, transmission and flexile generation including gas and hydrogen.

It also found while some fossil fuel technologies, including new black coal generation could appear cost competitive in isolation, they would require more expensive emissions reductions elsewhere in the economy to meet Australia's climate targets.

Gramham said geopolitical tensions as well as the increased need for energy to support AI infrastructure were creating uncertainty for energy markets.

"Each year GenCost, with the help of stakeholders, seeks to understand how electricity technology markets are changing. The impacts of the Iran war and data centre demand for gas turbines are currently the strongest drivers of uncertainty," he said.

AEMO executive general manager of system design Nicola Falcon said the report continued to provide "trusted, independent insights that support planning for Australia's future electricity system."

This follows the release of the draft report in December last year, when CSIRO and AMEO similarly concluded renewables backed by storage remained Australia's cheapest source of new electricity generation. The final report retains that conclusion while incorporating stakeholder feedback, updated market data and new modelling tools to improve transparency.

EIC provides private debt to assist companies transitioning to a low carbon economy, while also ensuring energy security.

Nuveen said the partnership is a landmark commitment to finance the buildout of critical infrastructure that supports the clean energy economy and promotes energy security for the United States and abroad.

The investment focus will include renewable power generation, energy storage, industrial decarbonisation, energy efficiency solutions and circular economy investments.

The partnership will also invest in the onshoring of infrastructure supply chains to support domestic US manufacturing jobs and the build-out of artificial intelligence and the digital economy.

"The demand for new energy, power, and digital infrastructure has never been greater. The rapid expansion of artificial intelligence, the onshoring of manufacturing and industrial supply chains, and the broad electrification of the economy are collectively creating a generational need for new infrastructure investment," Nuveen Energy Infrastructure Credit global head Don Dimitrievich said.

"We believe private credit is uniquely positioned to play a leading role in financing that buildout while also achieving positive sustainable outcomes. We are thrilled to work with CalSTRS as a long-term partner to scale strategies that seek to deliver strong risk-adjusted financial performance while also investing in communities and businesses to make energy more readily accessible and clean for all stakeholders."

CalSTRS said the partnership aligns the long-term nature of sustainable infrastructure credit with its plan's core mandate of generating attractive risk-adjusted returns for California's more than one million public-school educators while also delivering positive sustainability results and reducing or avoiding emissions.

"This investment with Nuveen EIC aligns with our long-term outlook and mission to provide a secure retirement for our members," CalSTRS investment director Nick Abel said.

"We believe sustainable infrastructure credit requires specialists' expertise to originate, underwrite and structure bespoke capital solutions. Sustainable infrastructure credit also represents an important allocation for CalSTRS as we seek to generate strong risk-adjusted returns and contribute to a cleaner, more resilient, and affordable clean-energy economy."

The SME Industrial Decarbonisation Fund has been designed to help small-to-medium sized Australian manufacturers reduce their direct greenhouse gas emissions by switching from fossil fuel-powered processes to electric alternatives.

The merit-based fund operates on a first come, first serve basis, and are available to project sizes between $400,000 and $1 million, while projects with a co-investment amount less than $200,000 will be considered on a case-by-case basis, AMGC said.

The initiative will help to upgrade or replace equipment and processes, train workforce, attain updated certification or compliance and share successful deployment across the manufacturing industry through knowledge sharing activities.

Under the co-investment environment, applicants are responsible for the remaining 50%, or more, of eligible project expenditure, and they cannot use funding from other local and state government initiatives to cover the remaining percentage not covered by the fund.

Projects must also clearly demonstrate a pathway to achieving commercial viability and the ability to deliver a measurable reduction in emissions, AMGC said.

The fund will be open for applications until 31 December 2027, and it is expected to close on 31 March 2028.

The software giant said the rise was primarily driven by the expansion of its data centre infrastructure and pausing the use of renewable energy certificates.

Non-additional, unbundled renewable energy certificates (RECs) are tradeable credits purchased separately from physical electricity.

Microsoft said it ceased purchasing the certificates in a bid to refocus funds on more long-term, higher-impact investments across carbon reduction, carbon removal, and clean electricity procurement.

"While this decision increases our reported emissions in the near term, it enables us to increase the development of new carbon-free energy (CFE) rather than relying on certificates alone," Microsoft said.

"We believe this change will create more long-term sustainability benefits. Growth-related emissions pressure was expected. The more important signal is where that pressure is concentrated."

While Scope three emissions remains the largest share of Microsoft's footprint overall, Scope two emissions rose sharply from just 2% to 13% in the year. Scope two covers indirect emissions from purchased electricity, steam, or cooling whereas Scope three includes all other indirect value chain emissions, such as supply chain production.

"This development underscores the growing role energy systems play in shaping environmental outcomes and why advancing CFE remains critical to long-term progress," it said.

"While Scope three remains the largest share of our footprint overall, we continue working with suppliers to advance decarbonisation across our value chain."

Microsoft highlighted it has achieved its milestone of matching 100% of its annual electricity consumption with renewable energy in 2025.

"Matching our datacentres' electricity usage with CFE is an important tool for reducing the emissions associated with our operations," Microsoft said.

"As demand for AI and cloud services grows, expanding access to CFE while improving how that energy is used is critical to reducing overall impact."

The new role expands his responsibilities as the timberland investment manager looks to grow its global portfolio of forestry and nature-based assets.

Barbara, who joined the firm in September 2024, will immediately assume responsibility for leading Cambell Global's worldwide timberland investment activities, including investment origination, due diligence, transaction execution and divestments. He will continue to serve as head of Australia while joining the firm's executive team, investment committee and price forecast team.

Based in Sydney, Barbara brings more than two decades of experience in forestry and nature-based investing. Before joining Campbell Global, he was a founding employee of New Forests, where he held senior leadership positions including chief commercial officer and director of business development.

Through his career, he has led investment origination and execution across Australia, New Zealand, Asia, North America and Africa, focusing on timberland, land, carbon and other nature-based assets.

Cambell Global chief executive Angela Davis said Barbara's appointment reflected both his leadership and industry experience.

"We are delighted to recognize Michael's leadership and expertise with this well-deserved appointment," Davis said.

"His deep industry experience and commitment to sustainable investment will continue to advance our platform and capabilities globally."

The appointment comes as institutional investors continue to increase allocations to natural capital strategies, with timberland and carbon assets gaining prominence as long-term portfolio diversifiers and sources of sustainable returns.

Cambell Global said Barbara would oversee the firm's global acquisition strategy as it continues investing across international forestry markets.

🌿 Can carbon recycling turn industrial emissions into profitable products?

❓ Question:

Can captured carbon dioxide be transformed into valuable commercial products, and could this help heavy industries such as cement, steel and mining accelerate their path to net zero while creating new business opportunities?

✅ Answer:

According to Sophia Hamblin Wang, co-founder and chief operating officer of MCi Carbon, carbon dioxide should no longer be viewed as a waste product. Instead, it can become a feedstock for new industrial materials, creating a commercial incentive for companies to capture emissions rather than release them into the atmosphere.

MCi Carbon was founded in 2013 to commercialise a process known as mineral carbonation, which permanently locks CO₂ into mineral products that can be used across industries including cement, plasterboard, refractories, paper and construction materials. The company's vision emerged from research highlighting mineral carbonation as a viable long-term carbon storage solution, but at the time there were few examples of the technology being deployed at scale.

🌟 A major milestone was recently achieved with the opening of what MCi Carbon describes as the world's first fully integrated carbon refinery in Newcastle. The demonstration facility can permanently store approximately 2,500 tonnes of CO₂ each year while producing around 10,000 tonnes of low-carbon materials for industrial use.

🚩 One challenge highlighted in the discussion is the ongoing uncertainty around climate policy frameworks. While governments and corporations have broadly committed to net zero by 2050, many of the regulatory mechanisms needed to support large-scale decarbonisation are still evolving. Carbon markets, emissions trading schemes and standards continue to develop across different jurisdictions, creating uncertainty for climate technology companies seeking to scale globally.

🚩 Another challenge is convincing industrial companies to adopt new technologies at scale. Heavy industries have traditionally faced limited commercially viable options for reducing emissions, particularly in sectors such as steel, cement and chemicals where emissions are difficult to eliminate. Success depends not only on environmental performance, but also on economics, operational integration and customer demand for lower-carbon materials.

🌟 One of MCi Carbon's differentiators is that its business model does not rely solely on carbon credits or emissions trading schemes. The company has designed its technology to generate revenue through the sale of valuable products created from captured CO₂. In some cases, customers are interested purely in removing emissions from their operations, leading to what Sophia describes as "carbon removal as a service".

🌟 The technology is also designed as a "bolt-on" solution that can be installed alongside existing industrial facilities. By locating operations close to major emitters, MCi Carbon can take captured CO₂ and convert it directly into useful materials, lowering barriers to adoption for industrial customers.

⚠️ Looking ahead, Sophia believes the next 18 months could be a pivotal period for industrial decarbonisation technologies. As pressure grows for heavy industries to reduce emissions and more governments establish climate transition frameworks, demand for commercially viable carbon utilisation technologies is expected to increase significantly. The company is also exploring opportunities linked to sustainable finance, including green bonds and infrastructure-style investment models.

💡 Why it matters:

Heavy industries account for a significant share of global greenhouse gas emissions, yet they remain among the hardest sectors to decarbonise. Technologies that can transform captured carbon into commercially valuable products offer a potentially powerful alternative to treating emissions solely as a compliance or waste-management problem. If successful, carbon recycling could help industries reduce emissions, unlock new revenue streams and accelerate progress towards net zero while creating entirely new markets for low-carbon materials.

🎙️ Sources:

• Sophia Hamblin Wang, co-founder and chief operating officer, MCi Carbon

• Michelle Baltazar, host, The Greener Way podcast

⏱️ Timestamps:

00:00 - Introduction to carbon recycling and industrial decarbonisation

01:30 - Why MCi Carbon was founded

04:15 - Building a carbon refinery in Australia

07:10 - Global investors and strategic partners

10:15 - Europe and Japan expansion plans

11:45 - Regulatory uncertainty and net-zero frameworks

13:00 - Carbon removal as a service explained

14:10 - Opportunities in steel, cement and heavy industry

15:15 - Future growth, green bonds and scaling commercial plants

16:00 - Why the next 18 months will be critical

🌿 We record on Gadigal Land and pay our respects to the traditional custodians of country and elders past and present.

Cyan Ventures, a specialist sustainability firm, has launched the Green Fuels Accelerator (GFA), which will provide tailored regulatory, technical, commercial and finance advisory support to de-risk projects and unlock domestic low carbon fuel supply.

Under the GFA, Cyan Ventures has selected its first seven Australian LCLF projects to fast-track toward financial close and commercial production.

The seven selected projects span conversion technologies and integrated feedstock-to-fuel facilities across Queensland, New South Wales and Western Australia.

"The benefit of a thriving domestic sustainable aviation fuel (SAF) industry is clear. What's missing is the targeted support to get early-stage projects across the line - the financing structures, the offtake agreements and the regulatory guidance that turns potential into production," Cyan Ventures managing partner Fraser Thompson said.

This week, Brisbane Airport has made SAF accessible via Viva Energy Australia's refurbished storage tank. The completion of the refurbishment was also achieved through the ARENA funding.

ARENA chief executive Darren Miller said: "Australia has the potential to manufacture our own low carbon liquid fuels. We have abundant feedstocks, strong research capability and growing demand from sectors like aviation. What's needed now is the support to help promising projects navigate the final steps to commercial scale."

"The Green Fuels Accelerator is about closing that gap and providing the targeted support needed to move projects from concept to construction and build Australia's resilience to fuel shocks," Miller added.

While some of the projects selected are converting non-food biomass and waste streams into bio-oil others are building blending terminal and large-scale refinery to carry out the production.

Published in the Journal of Business Ethics, the paper by UTS associate professor Gordon Menzies and professor Isa Hafalir revisits the long-established principal-agent model, suggesting fixed salaries can outperform incentive contracts when employees have a genuine commitment to honesty.

The researchers argue excessive reliance on incentives may inadvertently weaken trust by signalling employers expect dishonest behaviour.

"For decades economic theory has often treated people as if they will only do the right thing in organisations when incentives force them to," Menzies said.

"This research is especially timely for debates about performance pay, executive incentives, professional standards, compliance culture and trust in institutions."

The study builds on Menzies' public lecture at the University of Oxford examining lessons from the global financial crisis and questioning whether traditional economic assumptions accurately reflect how people behave in organisations.

According to the researchers, the principal-agent model, widely used to justify executive bonus structures since the 1980s, assumes employees will not tell the truth unless incentivised to do so. Their revised model instead recognises many people value honesty alongside financial reward.

"In many business situations, people are neither perfectly self-interested nor perfectly trustworthy. Our model captures that more realistic middle ground," Menzies said,

"A key implication is that offering an incentive contract can itself send a signal of distrust. That can discourage honesty, reduce trustworthiness and create a downward spiral where even more incentives are needed."

The findings also help explain why fixed salaries remain prevalent across professions such as medicine, law and financial advice, where ethical judgement client trust is central to service delivery.

"Doctors, lawyers and other professionals are note just service providers responding to price signals. Their work depends on duties of loyalty, care and truthfulness," Menzies said.

"The persistence of salaried professional roles is not an accident. It reflects the very economic value and economic value and economic efficiency of trust, judgement and moral responsibility."

The transaction aligns with EQT's focus on investing behind the infrastructure underpinning global demand for artificial intelligence (AI) and supporting energy security, it said.

The firm plans to support Copia's management team in scaling the platform, advancing priority development projects, and expanding its integrated campuses strategy throughout the US.

Copia develops integrated energy campuses, with over 2.6 gigawatts (GW) of energy generation and storage assets in operation or under construction and is actively developing over 9GW of grid-connected data centres supported by Copia, as well as over 25GW of solar and storage and 7GW of natural gas generation assets.

EQT said the platform's integrated model provides firm, grid-connected power in markets where interconnection queues have become a key hurdle, while supporting ratepayer affordability.

The acquisition also expands EQT's portfolio of AI infrastructure in the US, including EdgeConneX, Zayo, Cypress Creek Energy and Scale.

EQT head of infrastructure Americas Alex Darden said the rapid adoption of AI is driving investment in infrastructure assets like data centres and energy, which is expected to reach into the trillions of dollars over the coming years.

"The rapid adoption of AI is transforming infrastructure demand, making energy an increasingly critical enabler of digital infrastructure. Copia has built a differentiated platform at the intersection of these two themes, and we believe it is exceptionally well positioned for long-term growth," Darden said.

"We look forward to partnering with the management team to accelerate development, scale the platform, and help build the infrastructure that will support the next generation of AI."

Copia Power chief executive Ray Henger added: "We are excited to partner with EQT as we enter Copia's next phase of growth."

"Since our founding, we have focused on solving one of the most important challenges facing the US power market: bringing generation, transmission and large-scale load together in a way that accelerates delivery for customers and utilities.

"EQT's deep infrastructure experience and long-term perspective bring the ideal partner as we continue to scale our platform and develop the energy infrastructure needed to support AI and electrification."

The transaction is subject to customary conditions and approvals and is expected to close by the end of 2026.

The appointments, announced by Climate Change and Energy Minister Chris Bowen, take effect from July 18. O'Gorman succeeds outgoing chair Justin Punch, who has led the agency since July 2020.

The board refresh also includes the appointment of Lara Olsen and Kobad Bhavnagri as directors, while existing board members Ruby Heard and Dean Travers have been reappointed for further terms. Long-serving director Stephen McIntosh will step down.

Acting chief executive Zoe von Batenburg said the appointments come at a pivotal time for Australia's cleaner energy transition.

"ARENA plays a critical role in accelerating the development and adoption of renewable energy technologies, and strong leadership at the board level is essential to us delivering on this mission," Batenburg said.

She said O'Gorman's experience across clean emergency investment and public policy, together with O'Leary's financial and sector expertise, would strengthen the agency's governance.

"We're delighted to have a female chair and deputy chair leading the board for the first time in ARENA's history," she said.

Von Batenburg also welcomed the addition of Olsen and Bhavnagri, saying they would bring "additional expertise and fresh perspectives to support the agency's work in accelerating Australia's transition to net zero emissions."

O'Gorman joins with experience spanning sustainable investment, climate policy and clean technology, having held positions with the World Bank, the Clean Energy Finance Corporation and the Australian Government. She also co-founded the McKell Institute Queensland.

O'Leary is a senior manager director at Macquire Asset Management and previously led its global agriculture and natural assets business, overseeing decarbonisation initiatives and nature-based investment strategies.

Meanwhile, Bhavnagri joins from BloombergNEF, where he spent 16 years analysing the global energy transition, while Olsen brings executive experience from Tesla, South East Water and Boston Consulting Group.

Vin Batenburg also acknowledge the contribution of Punch and McIntosh.

"I would like to acknowledge the significant contribution of outgoing chair Justin Punch and director Stephen McIntosh, who have helped guide the agency through a period of growth and impact and have been instrumental in shaping AREAN's strategic direction," she said.

QRIF II secured a total of £587 million ($843m) in investor commitments, beating its £500 million ($718m) fundraising target.

QRIF II invests in infrastructure that supports the UK's Clean Power 2030 targets, a roadmap set by the government to have 95% of the energy system powered by clean sources, as well as Ireland's goal of shifting 80% of its electricity from renewable energy by that year.

QRIF II is Quinbrook's fifth managed fund and builds on the strategy of its inaugural Renewables Impact Fund ("QRIF"), which closed in 2023.

Quinbrook managing director and UK regional lead Keith Gains said as the UK and Ireland continue to make meaningful progress towards their energy transition goals, investor demand for infrastructure assets that deliver both resilience and decarbonisation continues to grow.

"With QRIF II, we have expanded our strategy into areas where we see strong long-term demand and supportive policy frameworks, including grid stability infrastructure in Ireland and the decarbonisation of commercial transport in the UK. These investments are underpinned by long-term contracts and essential-service characteristics, which we believe are critical to delivering stable investor returns while supporting economy-wide decarbonisation," he said.

Some of the fund's key investments are the Mallard Pass Solar Project, a 373 megawatts direct current (MWdc) solar development in England's East Midlands and Project Norton, a 65MW solar and 41MW battery storage facility in Stockton-on-Tees. Construction on both projects is expected to commence later this year.

To date, Quinbrook has invested $2.3 billion (£1.2bn) of equity capital in projects and businesses operating in the UK and Ireland.

In June, the firm appointed Tim Horneman as Australia region leader, formalising responsibility for local investment activities and operations as it expands across key energy transition markets.

This marks the first time climate transition uncertainty will influence how much banks can borrow against corporate bonds pledged in monetary policy operations.

The new 'climate factors', which took effect on June 15, are designed to protect the ECB's balance sheet from potential losses arising from the transition to a low carbon economy by reducing the vale assigned to corporate bonds issued by companies deemed more exposed to climate related risks.

The changes complement the ECB's existing collateral risk controls, including the valuation haircuts, by incorporating forward-looking climate risks that may not be captured in historical market data.

"Climate factors complement existing risk control measures by protecting the ECB's balance sheet against unexpected climate transition shocks," ECB economists Dirk Broeders and Daniel Gybass said.

The central bank said climate change presents unprecedented financial risks, with shifts in climate policy, technology and consumer behaviour capable of rapidly affecting companies' profitability and asset values.

Under the revised framework, bonds issued by companies with higher greenhouse gas emissions, weaker decarbonisation strategies or less comprehensive climate disclosures will receive larger valuation reductions. Longer-dated securities will also attract higher adjustments because they are considered more vulnerable to future transition risks.

The ECB said the framework uses a two-step methodology, assessing each issuer's exposure through a combination of sector-level transition risks, company-specific emissions and disclosure data, and the remaining maturity of the bond before converting those assessments into a climate adjustment factor.

For example, a corporate bond valued at €100 with a standard 10% haircut and a climate factor of 0.987 would allow a bank to borrow €88, instead of the €90 under the previous framework.

The central bank said the immediate impact on banks is expected to be limited because borrowing levels remain low and corporate bonds account for a relatively small share of collateral pledged in refinancing operations.

The ECB said sectors including utilities, materials and transportation are expected to receive the largest climate-related adjustments due to their greater exposure to transition risks, while software and consumer services are generally expected to attract smaller reductions.

The Governing Council will review the climate factors regularly to reflect improvements in climate data, regulatory developments and advances in risk assessment methodologies.

The new Tasmania Natural Asset Trust (TNAT) is an afforestation and natural capital platform to be managed by Gresham House Asset Management (GHAM), with investments from the CEFC, Aviva Investors and Gresham House.

The cornerstone asset for the platform is a 21,745 hectare property in northern Tasmania Rushy Lagoon, a site designated under the Convention on Wetlands of International Importance (the Ramsar Convention).

CEFC said this will create local jobs and inject significant capital into the regional economy while generating high integrity Australian Carbon Credits Units (ACCUs) and protecting an important Ramsar wetland.

CEFC head of natural capital Heechung Sung said: "This critical investment converts degraded farmland into a production model that will boost the Australia's forestry industry, create local jobs, support sustainable timber production, introduce sustainable grazing and protect the unique environment."

The project is expected to create more than 190 new jobs over the life of the project and produce approximately five million tonnes of timber and 3.2 million ACCUs.

"It is a demonstration of the power of institutional capital to drive economic development for regional communities while also supporting decarbonisation and positive environmental outcomes," Sung said.

The project will combine commercial softwood plantations on low productive land with large-scale conservation and ecological restoration and sustainable grazing. The Radiata Pine trees produced by the project are expected to be processed locally by Tasmanian-based sawmills and supplied into the Australian market.

This is expected to provide a major boost to Tasmania's forestry industry and alleviate some of Tasmania's wood supply pressures and help divert harvesting away from native forests, CEFC said.

"We think it will be a great example of how our investment activity can deliver long-term investment outcomes, whilst having a positive and real-world benefit on the surrounding habitat and within local communities," Aviva Investors director of natural capital at and co-portfolio manager of the Carbon Removal Fund Greta Talbot-Jones said.

"Working with the CEFC and Gresham House, alongside local land and development partners in Tasmania, gives us clear, direct reporting lines which are vitally important in helping to deliver on our financial and sustainability ambitions to create positive change and long-term value."

According to Clean Energy Investor Group's (CEIG) Clean Energy Investor Outlook report for 2026, support among surveyed investors has slipped from 69% to 58% in the last year.

More than three quarters (77%) of Australia's largest clean energy investors believe the investment landscape has deteriorated over the past 12 months and highlighted a "significant gap" between Australia's renewable energy ambitions and investor confidence, with only 8% believing Australia is on track to reach 82% renewables by 2030 under current settings.

Meanwhile, transmission buildout delays are now the biggest challenge facing renewable energy investment and the highest policy priority for investors over the next three years - overtaking planning approvals.

Investors are yet to see meaningful improvements at project level, CEIG said, as grid-side constraints, including connection delays, curtailment and congestion continue to dominate the delivery bottleneck.

In state rankings, which is part of the report, NSW remains the clear leader for renewable energy investment, followed by Queensland, Western Australia and Victoria.

Commenting, CEIG chief executive Richie Merzian said investors are looking for clear signals from Australian governments on faster transmission, coal closures, streamlined approvals, and competitive tax settings, reiterating the significance of recent CGT changes.

"Australia has been a top clean energy investment destination, but that confidence in our country is waning and trending down. Over three quarters of our clean energy investors say the Australian landscape has worsened in the last year. This needs to be addressed with action," Merzian said.

"Investors are losing patience with a system that isn't delivering at pace, and creating additional barriers, like the proposed Capital Gains Tax on existing international clean energy investments.

"It's no wonder less than one in ten investors see Australia meeting its 2030 clean energy target."

He also noted data centres can drive the next wave of investment, as an overwhelming 92% of investors believe growing demand will have a positive impact on unlocking clean energy investment.

"However, data centres must not be used as an excuse to delay coal power closures, which investors want to see retired on time," he added.

"Investors are ready - the handbrake is the system. Without coordinated action to address project delivery bottlenecks and restore certainty, Australia risks losing available clean energy capital to competing markets. And that's bad news for household electricity bills."

Under the Capacity Investment Scheme (CIS), a new pilot will support First Nations communities to co-own renewable energy projects and to share in the income they generate.

The CIS aims to accelerate investment in renewable energy generation, such as wind and solar facilities, as well as clean, dispatchable capacity, including battery storage.

"This initiative aims to deliver stronger, long-term economic and social outcomes for Traditional Owners and First Nations communities," DCCEEW said.

Since the first CIS tender, the government has encouraged developers to work with First Nations communities through equity ownership, revenue-sharing arrangements and energy offtake agreements.

"Many successful projects have done this, however, feedback showed that more targeted action was needed so more communities can participate in these clean energy projects," DCCEEW said.

"In response, a new First Nations Set Aside pilot has been introduced in CIS Tenders nine and 10. The pilot will be reviewed, and improvements may be considered for future tender rounds."

To qualify, DCCEEW said proponents must commit with First Nations partners to one of the following: at least 5% equity; revenue sharing equal to 5% equity; and a mix of equity and revenue sharing equal to 5% equity.

Stakeholders including government agencies, industry, finance, peak bodies and First Nations organisations have welcomed the pilot as a positive step, DCCEEW said.

The commission said the revised standards will reduce administrative burdens for European Union (EU) businesses while maintaining high-quality disclosures.

The changes are part of EU's Omnibus I simplification package, which streamlines sustainability reporting and reduces the number of companies in scope of the Corporate Sustainability Reporting Directive (CSRD).

The package aims to simplify EU rules and boost competitiveness and unlock additional investment capacity.

"The revised ESRS are shorter and clearer, add new flexibilities, and streamline key processes," the European Commission said.

"They reduce the number of mandatory datapoints by over 60% and the total number of datapoints by over 70%. These changes are expected to reduce reporting costs by more than 30% per company, in line with the commission's target of reducing burdens associated with reporting requirements by 25%."

The commission had taken feedback from stakeholders in May and said the targeted adjustments will help further ease the reporting burden without undermining the CSRD's policy objectives.

For smaller companies outside the scope of the CSRD, the commission said the voluntary reporting standard provides a single, proportionate reference framework for sustainability reporting companies.

"It will make it easier for companies not covered by the CSRD to respond to specific requests for sustainability information from large financial institutions and companies," it said.

"It also establishes a value chain cap, meaning that companies subject to the CSRD cannot require companies in their value chains to provide more information than what is covered by the voluntary standard."

The act revising the standard will now be transmitted to the European Parliament and the Council of the EU for scrutiny.

The commission said the measures will apply once the scrutiny period of two months, which can be prolonged by a further two months, is over.

ESRS cover environmental, social, and governance issues, including climate change, biodiversity and human rights. They provide information for investors and other stakeholders to understand the sustainability-related risks to which companies are exposed and their impacts on people and the environment.

Scientific Beta was established in 2012 by the EDHEC-Risk Institute, an academic institution in the field of fundamental and applied research for the investment industry. Scientific Beta is known for its research capabilities and its suite of smart beta, climate, and enhanced cap-weight indices.

The firm was acquired by SGX in 2020 and has approximately 40 full-time employees based primarily in Nice as well as London, Singapore and Sydney.

"This acquisition will accelerate our strategy to deliver scalable, research-driven, and cost-effective index solutions to institutional investors globally," ISS STOXX president and chief executive Gary Retelny said.

"It strengthens our ability to meet the growing demand for systematic, rules-based strategies that are undergirded by world-class research, for institutional investors across the globe."

STOXX general manager Axel Lomholt noted asset owners are increasingly seeking strategies that combine academic rigor with real-world implementation at scale.

"Bringing Scientific Beta into STOXX strengthens our ability to meet this demand, offering clients seamless access to advanced factor research, robust portfolio construction, and scalable index implementation within a single, integrated platform," Lomholt said.

"The addition of Scientific Beta and its highly talented team underscore our commitment to delivering differentiated indexing solutions, grounded in industry leading research, that enhance our clients' investment processes."

SGX Group said the divestment positions Scientific Beta for its next phase of growth and under new ownership it will be well-equipped to advance its research-driven capabilities and expand global reach.

SGX Group head of global financial markets Ng Yao Loong said: "We are pleased to transition Scientific Beta to a new owner well-positioned to scale its capabilities and distribution."

Financial Standard is owned by ISS Market Intelligence, which is part of ISS STOXX. 

Lemvig Biogas is Denmark's largest thermophilic biogas facility, and the facility processes manure, organic waste and residual industrial products to generate renewable energy for the local community in Lemvig.

The acquisition follows an expanded capital commitment from APG Asset Management, acting on behalf of Dutch pension fund ABP, which will support BioticNRG's growth ambitions across both the UK and Europe.

The initial commitment supported the successful portfolio acquisitions of 10 anaerobic digestion sites, six green waste composting facilities, and adjacent infrastructure since 2024.

Palisade Real Assets and APG have also expanded the BioticNRG mandate to include European bioenergy assets, creating a dedicated investment strategy focused on opportunities across key European markets.

"We are excited to expand the APG mandate in the UK and into Europe with our first European acquisition. This transaction combines our operational expertise and long-term institutional capital with the outstanding track record of Lemvig Biogas management. and represents a significant step in the continued growth of the BioticNRG fund," Palisade Real Assets chief executive Stephen Burns said.

Lemvig Biogas chair Niels Bjerre added: "We are pleased to have found a buyer with solid experience in operating biogas plants and with a long-term perspective. It has been important for us to ensure a solution where the plant continues to operate with consideration for the local community and is further developed with the aim of accepting even more livestock manure from the municipality."

APG senior portfolio manager infrastructure Iulia Grosu said investing in biogas and biomethane continues to offer promising solutions to mitigate climate change, reduce waste, and provide renewable energy solutions.

"The BioticNRG collaboration with the Palisade Real Assets team continues to fit ABP's commitment to the energy transition, while securing attractive returns for its participants," Grosu said.

"The UK build out of BioticNRG combined with the subsequent first steps into Europe with the acquisition of Lemvig Biogas are fully aligned with our long-term vision for sustainability. We look forward to the further growth of the BioticNRG platform."

The company lifted its interim dividend to 3.8 cents per share, fully franked, taking the annualised payout to 7.6 cents per share, a 5.6% increase on the prior year. Based on its closing share price on July 7, the annualised dividend yield stands at 5.7%, or 8.1% including franking credits.

The increase marks the eleventh consecutive annual dividend rise since Future Generation Australia listed in 2014. The company said its profits reserve of 41.8 cents per share provides around 5.5 years of dividend coverage.

Future Generation Australia chair Phillip Lowe said the result reflected the strength of the company's investment strategy and unique business model.

"Future Generation Australia's long term investment portfolio performance has enabled the board to increase the fully franked interim dividend to 3.8 cents per share," Lowe said.

"The increased dividend demonstrates the strength and sustainability of the company's model, delivering value for shareholders while supporting social impact partners working to improve outcomes for Australia's most vulnerable children."

Since inception, the portfolio has delivered annualised returns of 9.1%, outperforming the S&P/ASX All Ordinaries Accumulation Index by 0.9%, per annum, while doing so with less volatility than the broader market.

Future Generation chief investment officer Lee Hopperton said the fund's manager selection process and portfolio construction helped deliver strong long-term returns while managing risk.

"We are pleased to have outperformed the market since inception. Our diversified portfolio of leading active fund managers, selected by the experienced Investment Committee, is designed to reduce concentration risk and volatility while generating attractive risk-adjusted returns," Hopperton said.

The portfolio is managed by 16 active fund managers and has significantly lower exposure to Australia's largest listed companies than the benchmark, with the top 10 stocks accounting for just 16.6% of the portfolio compared with 45.3% of the index.

Future Generation also maintained its philanthropic focus, with fund managers continuing to waive management and performance fees, enabling the company to donate 1% of net assets annually to Australian charities without reducing shareholder returns.

The company said it has now donated $100 million to charitable organisations since inception, supporting programs focused on vulnerable children, youth mental health and improving economic outcomes for women.

🤖 Can good AI governance help companies become long-term winners?

❓ Question:

How are Australian company boards approaching artificial intelligence, and can strong AI governance help companies create long-term value while managing emerging risks?

✅ Answer:

Artificial intelligence is rapidly becoming an investment issue rather than simply a technology issue. According to Sue Lyn Stubbs, associate director in sustainable investing at Fidelity International, investors are increasingly assessing not only whether companies are adopting AI, but how effectively boards are governing its implementation.

To better understand the state of AI governance in Australia, Fidelity engaged with 31 ASX-listed companies across sectors including financials, healthcare, technology and real estate. The research focused on five areas: strategy and value creation, board oversight and skills, risk and controls, governance and ethical AI, and workforce impacts.

One of the key findings was that many companies remain in the early stages of AI adoption. Fidelity's assessment framework, based on Microsoft's AI maturity model, required an additional category "Stage Zero" to classify companies that were not yet actively implementing AI. Most organisations currently sit between experimentation, pilot programs and early operational use.

🚩 One of the key governance red flags was a disconnect between executives and boards. In some cases, CEOs described ambitious AI strategies and extensive use cases, while boards appeared significantly more conservative in their understanding of AI opportunities. This mismatch raised questions about strategic alignment and whether AI investments were being directed effectively across the organisation.

🚩 Another concern was the absence of clearly defined "no-go" areas for AI. While many boards acknowledged potential risks, few could clearly articulate where AI should not be used, particularly in sensitive areas such as workforce surveillance or customer decision-making that could create biased outcomes. As AI becomes more embedded across organisations, investors are likely to expect stronger guardrails and clearer accountability.

🌟 Despite these challenges, the research highlighted several examples of emerging best practice. Leading companies are investing in AI talent, building internal capability, expanding workforce training and, in some cases, incorporating AI-related measures into employee incentive programs. Some companies are also engaging directly with regulators and policymakers on the future development of AI governance frameworks.

From an investment perspective, Stubbs believes strong AI governance could become an important indicator of long-term success. Drawing comparisons with previous technology disruptions, she argues that companies that can adapt their business models, embrace change and govern emerging technologies effectively may be better positioned to create sustainable shareholder value.

⚠️ The report also challenges the common assumption that "human in the loop" oversight is enough to manage AI risks. While human review remains important, there is a growing risk that employees become overly reliant on AI-generated outputs. Boards may eventually need additional layers of monitoring and control to manage potential errors, compliance issues and unintended consequences. Meanwhile, the growing use of unauthorised AI tools by employees, sometimes referred to as "shadow AI", presents another governance challenge for organisations seeking to protect intellectual property and manage operational risk.

Ultimately, the research suggests that investors should view AI governance as more than a compliance exercise. A board's ability to oversee AI effectively may provide valuable insights into whether a company can adapt, compete and thrive in a rapidly changing business environment.

💡 Why it matters:

Artificial intelligence is reshaping industries, workforces and business models at an unprecedented pace. While much of the public discussion focuses on productivity gains and innovation, investors are increasingly concerned with governance, accountability and risk management. Companies that can successfully balance AI opportunity with strong oversight may be better positioned to create long-term value, while those that fail to establish appropriate guardrails risk operational, reputational and strategic setbacks.

🎙️ Sources:

• Sue Lyn Stubbs, associate director, sustainable investing, Fidelity International

• Michelle Baltazar, executive director of media, FS Sustainability

⏱️ Timestamps:

00:00 - Why AI governance matters for investors

02:05 - Researching AI adoption across 31 ASX companies

04:59 - Understanding AI maturity and Stage Zero

07:33 - Red flags and governance gaps

11:39 - Examples of emerging best practice

15:25 - Linking AI governance to long-term value creation

17:51 - Why "human in the loop" may not be enough

19:50 - The risks of shadow AI

21:25 - What boards should focus on next

Link: Insights from Fidelity International's 2025 Australian AGM season AI governance survey

🌿 We record on Gadigal Land and we pay our respects to the traditional custodians of country and elders past and present.