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A review of the UK StewardshipCode2020 should prompt evolution rather than revolution, according to industry experts, who want to see refinement aimed at further improving outcomes. The post UK StewardshipCode to Benefit from Fine-tuning appeared first on ESG Investor.
In 2015, the group also submitted its first application to the Financial Reporting Council’s (FRC) UK StewardshipCode. “An An approved StewardshipCode status is basically a baseline entry to pitch for institutional business around responsible investment,” Crossman explained.
Best practice As a Financial Conduct Authority-regulated asset manager, LPPI has maintained its UK StewardshipCode signatory status for the past three years. Deakin is a strong advocate of the code. Importantly, the 2020code’s definition of stewardship is broader than the traditional concept of engagement. “It
Proposals to bolster sustainable finance in Europe include recommendations for a new region-wide stewardshipcode. But there are few telling indicators to be found in the long-awaited 2024 Target Disclosures Report , published this week by the NetZero Asset Managers (NZAM) initiative.
The concept of assessing what effective stewardship should look like was first introduced by the FCA in 2019 in a joint effort with the Financial Reporting Council (FRC), setting the groundwork which helped define what the minimum expectations should be for financial services firms investing on behalf of clients and beneficiaries.
Stewardship is widely considered one of the most effective tools in an asset owner’s toolbox to ensure companies are prioritising ESG-related issues, such as mitigating the effects of climate change. . “ The DWP pointed to the IIGCC’s NetZeroStewardship Toolkit as a useful resource.
DP23/1, released in February, focused on the capabilities needed by FCA-regulated firms to support both economy-wide transition to netzero and sustainable business models more broadly. We want to continue to engage actively on these topics.”
According to figures published by The Global Sustainable Investment Alliance in 2021, Japan’s total sustainably invested assets stood at US$42,874 billion in 2020, representing a more than fivefold increase from 2016. These long-held principles of sustainability have filtered down to the world of investment. Significant progress.
As well as Statements of Investment Principles or Implementation Statements required by the UK’s Pensions Regulator, which require reporting on fund managers’ stewardship activities, trustees must ensure their funds are managed and report in line with the recommendations of the Task Force on Climate-Related Disclosures.
While 88% of asset managers disclosed their votes publicly (up from 55% in 2020), 42% failed to publish their rationale for votes against shareholder resolutions, the report said. Transparency is improving, but slowly.
In terms of drivers of geographic distinctions, he cited the recently strengthened UK StewardshipCode as one reason why European firms generally outperformed their US counterparts on clarity of voting policy. Digging into the data.
Resource-rich – While Shell’s plan came under renewed scrutiny, the path to credible netzero transition by corporates has taken a number of steps forward internationally and in Europe in recent weeks. But it was the energy transition’s impact on mineral-rich developing countries that was in focus for some at COP29.
The country is also upping its game on stewardship, with New Zealand’s inaugural StewardshipCode launching last year with 17 signatories, says Simon O’Connor outgoing CEO of RIAA. “The Code was developed collaboratively by the industry and responds to our unique context in New Zealand,” he says.
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