We expect the companies we invest in to implement sound governance policies. In our view, that includes actively opposing management proposals when necessary. In fact, our track record shows that we do so more often than the average large asset management company does.
Given our strategic priorities around sustainability, we usually support climate-related proposals including those calling for climate-aligned or ‘Paris’-aligned climate change lobbying. We also give our backing to deforestation-related proposals.
We oppose board elections or the approval of financial statements when companies did not disclose their CO2 emissions and have executive compensation packages that are unreasonable in the context of executive pay and that of the median worker.
As a future maker, we intend to use our votes to send a strong signal to companies regarding our expectation for governance and their role in the energy transition, securing environmental sustainability and safeguarding equality and inclusive growth.
- Watch Stewardship – Our approach to sustainable investing with Jane Ambachtsheer, global head of sustainability
- For long-term profitability, inclusive growth matters
- Board diversity matters, so let’s have more
- Focusing on the ‘S’ in ESG – How disclosure and action can aid diversity
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Any views expressed here are those of the author as of the date of publication, are based on available information, and are subject to change without notice. Individual portfolio management teams may hold different views and may take different investment decisions for different clients. This document does not constitute investment advice.
The value of investments and the income they generate may go down as well as up and it is possible that investors will not recover their initial outlay. Past performance is no guarantee for future returns.
Investing in emerging markets, or specialised or restricted sectors is likely to be subject to a higher-than-average volatility due to a high degree of concentration, greater uncertainty because less information is available, there is less liquidity or due to greater sensitivity to changes in market conditions (social, political and economic conditions).
Some emerging markets offer less security than the majority of international developed markets. For this reason, services for portfolio transactions, liquidation and conservation on behalf of funds invested in emerging markets may carry greater risk.