In total 73 Dutch pension funds with globally invested assets of €1,180bn on Thursday signed a covenant pledging to invest their money in a socially responsible way.

The covenant is known as an IRBC agreement and involves partnerships between businesses, government, unions and NGOs to prevent exploitation, animal suffering and environmental damage.

‘Pension funds invest the money earned by hardworking Dutch people… but we want to do more than provide them with a good pension,’ said Shaktie Rambaran Mishre, chairman of the Dutch pension federation. ‘We also want them to be able to enjoy a clean, safe world.’

‘Through our investments we can exert influence on companies and they way in which they deal with people, animals and the environment.’

The covenant will allow the signatories to identify problems as well as tackle them and is meant as an addition to funds’ own responsible investment strategies.