Introducing RIAA’s Sustainability Classifications

Since 2005, RIAA’s Certification Symbol has differentiated responsible investment products from the rest of the market, directing investors towards quality products underpinned by reliable, fit for purpose investment processes. In 2024, RIAA launched the Sustainability Classifications initiative that builds on RIAA’s Responsible Investment Certification Program. The initiative introduces three classifications: Responsible, Sustainable, and Sustainable Plus. For a comprehensive definition and assessment methodology, see here.

The classifications differentiate RIAA certified funds based on their responsible investment approaches, claims, processes, stewardship programs and disclosures. They focus on the approach that funds take in considering ESG factors and the degree to which sustainability is addressed or targeted.

What are the potential benefits for financial product issuers?

Competitive advantage: In today’s market, the diversity of investment products can be overwhelming. RIAA’s Sustainability Classifications cut through the complexity and allow your product to be differentiated, attracting a growing segment of investors who prioritise sustainable and responsible investments.

Pioneering responsible investment standards:  Position your products and services as pioneers in responsible investment, contributing to the maturation of the industry in Australia and Aotearoa New Zealand. This leadership role can influence the sustainability of finance and contribute to positive outcomes with a focus on more impactful and effective practices.

Global interoperability: Sustainability standards are rapidly evolving globally. RIAA’s Sustainability Classifications’ interoperability with key global standards promotes accessibility which can further support brand recognition.* This not only positions products to compete with global funds locally but may also make it attractive to international capital, showcasing a commitment to global best practices.

*While we rely heavily on international classifications and labelling systems we make no representation that our classifications meet the requirements of other regimes.

Interested in getting certified? See our Product Certification page to find out more or email enquiries@responsibleinvestment.org.

What are the potential benefits for retail investors / consumers?

Differentiating certified products: RIAA’s Classifications can serve as a compass, allowing investors to identify the varying degrees of consideration given to sustainability factors within each investment product.

Making informed choices: The transparency and clarity offered by RIAA’s Classifications empowers investors to make well-informed investment decisions. By offering critical information about each product’s approach to aligning capital with achieving a healthy society, environment and economy, it better enables investors to align their investments with their values.

Greater confidence and trust: RIAA’s Classifications provide investors with a basis to trust the sustainability of products certified under the initiative, a reputable and leading program since 2005. Being the most popular voluntary fund labelling certification program of its kind in Australia and Aotearoa New Zealand, this stamp of credibility is particularly valuable for individuals seeking to invest responsibly, in a way that reduces the risk of funds greenwashing.

Already have a RIAA certified product?

General advice warning:

The content on this website is provided by Responsible Investment Association Australasia Ltd (ACN 641 046 666, AFSL 554110). For more information refer to our Financial Services Guide. Certain content provided may constitute a summary or extract from the offer document of a financial product. Any general advice has been provided without reference to your investment objectives, financial situation or needs. If the advice relates to the acquisition of a particular financial product for which an offer document (such as a product disclosure document) is available, you should obtain the offer document relating to the particular financial product and consider it before making any decision whether to acquire the product. Past performance does not necessarily indicate a financial products’ future performance. To obtain information tailored to your situation, contact a financial adviser.