Bates College
PA-9: Committee on Investor Responsibility

Policy on Environmental, Social and Governance Considerations

The Endowment’s strategic asset allocation is constructed to properly balance the need for liquidity,
growth and/or preservation of purchasing power, and tolerance for risk. The primary criterion for the
selection of the Endowment investment is to maximize return within defined risk parameters, which in
turn, maximizes the financial support for the College. In addition, Bates is committed to balancing the
financial objectives of the Endowment with the social and environmental priorities of the broader Bates
community. The Investment Committee and CIO will consider social, environmental and governance
impacts when selecting Investment Managers across all asset classes. The Investment Committee and
CIO welcome input from student or faculty groups in assessing the priorities of the Bates community
with regard to environmental, social and governance issues.

There is to be a sub-committee which shall determine if, and when, sufficient evidence is presented to
challenge the operative assumption that acquisitions and holdings in the portfolio conform to the
guidelines.

Members of the CIR are taken from our board investment committee -

Ava Clayton Spencer, J.D., President; ex officio
Lewiston, Maine

Michael Weston Bonney, B.A.; Chair
Boston, Massachusetts

Mary Henderson Pressman, B.A.; Vice Chair
New York, New York

Lisa Brennan Barry, M.S.; Secretary
Chevy Chase, Maryland

Stuart Bradley Abelson, M.B.A.
Gloucester, Massachusetts

Chris Gerard Barbin, B.A.
Winnetka, Illinois

H. Scott Bierman, Ph.D.
Beloit, Wisconsin

Andrea Conklin Bueschel, Ph.D.
Chicago, Illinois

Ann Elizabeth Bushmiller, J.D.
Washington, District of Columbia

William Charles Carey, B.A.
Lincoln, Massachusetts

Darrell William Crate, M.B.A.
South Hamilton, Massachusetts

Gregory Albert Ehret, M.B.A.
Boston, Massachusetts

Geraldine Meeks FitzGerald, B.A.
New York, New York

Scott David Freeman, M.B.A.
Needham, Massachusetts

Marjorie Northrop Friedman, J.D.
Park City, Utah

Stephen Mark Fuller, M.B.A.
Freeport, Maine

John Davies Gillespie, M.B.A.
Guilford, Connecticut

Christopher Joseph Gorayeb, J.D.
New York, New York

Erik Ola Jarnryd, M.B.A.
Concord, Massachusetts

David William Longdon III, B.A.
Brooklyn, New York

Mark David Mandel, M.B.A.
Dover, Massachusetts

Paul Marks, B.A.
Shanghai, China

Dervilla Mairin McCann, M.D.
Winthrop, Maine

Jamie Peter Merisotis, B.A.
Indianapolis, Indiana

Judith Burns Miller, B.A.
Old Greenwich, Connecticut

John Prescott Murchison III, M.S.
Los Angeles, California

Carol Lind Rattray, M.B.A.
New York, New York

John T. Rossello Jr., B.B.A.
Holliston, Massachusetts

Jeremy Michael Sclar, B.A.
Brookline, Massachusetts

Richard L. Smith, Ph.D.
Lexington, Massachusetts

Emma Alden Sprague, B.A.
Washington, District of Columbia

William Floyd Sweat, M.B.A.
Dundee, Oregon

Garth A.L. Timoll, M.B.A.
San Francisco, California

Quoc Kinh Tran, M.B.A.
Kentfield, California

Lisa Marie Utzschneider, M.P.A.
New York, New York

Jean Patricia Wilson, M.S.
Falmouth, Maine

Last year, our CIR put forth a statement on divestment for Bates:

Investment
Bates believes that incorporating the long-term risks of climate change into
the fundamental work of managing the endowment leads to stronger and
more durable investment results. Consistent with the college’s principled
and pragmatic approach to sustainability efforts on campus, Bates has
similarly considered environmental principles when investing the college’s
endowment.
Since 2015, the college has halved its investment in traditional fossil
fuel-based energy companies from more than six percent to three percent
of the endowment, following a steady plan to reduce exposure over time.
We have achieved this through a number of actions, including liquidating
our public energy-focused funds, allowing our private energy partnerships
to wind down, electing to transition alternative investments into a
fossil-fuel-free share class, and screening our bond portfolio to eliminate
oil, gas and coal holdings.
Going forward, Bates has formalized efforts aimed to further reduce
endowment holdings in fossil fuel related companies. Specifically, Bates will:
• Instruct managers of separately managed equity accounts to sell all stocks
of fossil fuel companies, such as oil, gas, and coal, and to refrain from
purchasing these types of securities in the future.
• Elect “fossil fuel-free” share classes of alternative investments whenever
available.
• No longer commit to new investments in private fossil fuel extraction,
exploration, and production funds. The college’s last commitment in this
area was made in early 2017, and the college’s involvement with these
investments will end as they wind down.
• Actively seek to add renewable resource-focused investments (wind, solar,
and other green-specific investments) to the endowment.
We believe these actions are consistent with the college’s efforts to
incorporate environmental implications into our behaviors and activities on
campus. Furthermore, we believe these actions reflect our commitment to
act globally and responsibly to combat the climate crisis.