Overall Rating Gold
Overall Score 67.20
Liaison Jessica Thompson
Submission Date June 20, 2024

STARS v2.2

Northern Michigan University
PA-10: Sustainable Investment

Status Score Responsible Party
Complete 0.75 / 3.00 Jessica Thompson
AVP Sustainability
People Culture & Wellbeing
"---" indicates that no data was submitted for this field

Part 1. Positive sustainability investment

Total value of the investment pool:
114,755,451 US/Canadian $

Value of holdings in each of the following categories:
Value of holdings
Sustainable industries (e.g., renewable energy or sustainable forestry) 0 US/Canadian $
Businesses selected for exemplary sustainability performance (e.g., using criteria specified in a sustainable investment policy) 0 US/Canadian $
Sustainability investment funds (e.g., a renewable energy or impact investment fund) 0 US/Canadian $
Community development financial institutions (CDFIs) or the equivalent 0 US/Canadian $
Socially responsible mutual funds with positive screens (or the equivalent) 0 US/Canadian $
Green revolving funds funded from the endowment 0 US/Canadian $

If any of the above is greater than zero, provide:

A brief description of the companies, funds, and/or institutions referenced above:

As of June 30, 2023 the University had $114,755,451.00 in total investments (minus investments reported as cash equivalents). Details are available on page 38 of the NMU Financial Report 2022-2023 (attached). 


The total investment pool is less than the total endowment ($158,866,270.00) because the total endowment includes all of the investments plus cash, cash equivalents, restricted cash and other revenue (which was from a one-time real estate transaction). 


Details are available on page 37 of the NMU Financial Report 2022-2023


Percentage of the institution's investment pool in positive sustainability investments:
0

Part 2. Investor engagement

Sustainable investment policy 

Does the institution have a publicly available sustainable investment policy?:
Yes

None
A copy of the sustainable investment policy:
NMU_policy_1194.pdf

None
The sustainable investment policy:

Sustainability Northern Michigan is committed to promoting sustainable investments when selecting investments in the Endowment Fund. The Committee understands that sustainability aligns with the University’s core values and may consider sustainability when selecting investments. At the same time, maximizing the return on the Endowment Fund is the primary fiduciary responsibility.


To satisfy these priorities, the Board of Trustees has adopted the following guidelines: 1. The Endowment Fund will divest from direct or indirect ownership in companies involved in the extraction, production, and distribution of fossil fuels by 2028.


None
Does the institution use its sustainable investment policy to select and guide investment managers?:
Yes

A brief description of how the sustainable investment policy is applied:

The adopted policy is used with the University's endowment manager, CapTrust


Proxy voting 

Has the institution engaged in proxy voting, either by its CIR or other committee or through the use of guidelines, to promote sustainability during the previous three years?:
No

None
A copy of the proxy voting guidelines or proxy record:
---

None
A brief description of how managers are adhering to proxy voting guidelines:
---

Shareholder resolutions 

Has the institution filed or co-filed one or more shareholder resolutions that address sustainability or submitted one or more letters about social or environmental responsibility to a company in which it holds investments during the previous three years?:
No

Examples of how the institution has engaged with corporations in its portfolio about sustainability issues during the previous three years:
---

Divestment efforts and negative screens

Does the institution participate in a public divestment effort and/or have a publicly available investment policy with negative screens?:
Yes

A brief description of the divestment effort or negative screens and how they have been implemented:

Currently, Northern Michigan University has investments in eight funds associated with the fossil fuel industry, accounting for approximately 5% of NMU’s total investment portfolio. 


The Endowment Fund will divest 100% from direct or indirect ownership in companies involved in the extraction, production, and distribution of fossil fuels by 2028 - and aim for 97.5% divestment by December 2024.


Approximate percentage of endowment that the divestment effort and/or negative screens apply to:
5

Investor networks 

Does the institution engage in policy advocacy by participating in investor networks and/or engage in inter-organizational collaborations to share best practices?:
No

None
A brief description of the investor networks and/or collaborations:
---

Optional Fields 

Website URL where information about the institution’s sustainable investment efforts is available:
https://nmu.edu/finance/sites/finance/files/2023-10/NMU%20Financial%20Report%202022-2023.pdf

Additional documentation to support the submission:
NMU_Financial_Report_2022-2023.pdf

Data source(s) and notes about the submission:

As of June 30, 2023 the University had $114,755,451.00 in total investments (minus investments reported as cash equivalents). Details are available on page 38 of the NMU Financial Report 2022-2023 (attached). 


The total investment pool is less than the total endowment ($158,866,270.00) because the total endowment includes all of the investments plus cash, cash equivalents, restricted cash and other revenue (which was from a one-time real estate transaction). 


The information presented here is self-reported. While AASHE staff review portions of all STARS reports and institutions are welcome to seek additional forms of review, the data in STARS reports are not verified by AASHE. If you believe any of this information is erroneous or inconsistent with credit criteria, please review the process for inquiring about the information reported by an institution or simply email your inquiry to stars@aashe.org.