Question 3 - Ethical Investment (7.5 marks, 200 words) You are an adviser to an Australian superannuation fund Board that must act in the best financial interests of its members. The Board is being lobbied by a group of passionate climate activists to divest from gas producers on the basis it is irresponsible for a pension fund to be profiting from the damage gas is causing the climate. The Board asks for your advice on whether they should divest, noting that these companies represent 10% of the available investment opportunities. A) Assume your advice is to divest. What portfolio implications should you warn the Board about? B) Now assume your advice is not to divest. You prepare a report to the board that gives two reasons for the decision: fiduciary duty and stewardship. Briefly describe these two reasons