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Andrea Tweedie, Head of Stewardship at the Financial Reporting Council, highlights progress to date and calls for ‘good, bad and ugly’ feedback ahead of the upcoming review. The new codes substantially raised expectations for how money is invested on behalf of UK savers and pensioners,” said Tweedie.
Clearing’s present danger – Financial market infrastructures are waking up to climate risks, even as some central banks are scaling back their work in this area. Another long-awaited announcement came from the UK’s Financial Reporting Council (FRC), which confirmed the start of its StewardshipCode 2020 review.
Transparency on corporates’ decarbonisation strategies could require review of SRD II or introduction of European stewardshipcode. Europe’s regulatory framework should be adjusted to better support shareholder engagement efforts and give investors more oversight of portfolio companies’ climate transition progress, according to industry experts. (..)
Enhanced resourcing Maanch’s Engagement Tracker platform was launched in June 2022, initially developed in collaboration with Swiss private bank UBP to trace the impact of engagements over time and monitor escalations that can support investment decision-making. The code currently counts 289 signatories, collectively accounting for £50.3
“This is a significant hiring slowdown, perhaps indicating that stewardship and engagement is an area that managers are willing to cut as they face more challenging times financially,” the report mentioned.
This followed the final report of the Productive Finance Working Group, formed by HM Treasury, the Bank of England and the Financial Conduct Authority to encourage more investment in long-term less-liquid assets, widely seen as offering a wider range options for investors looking to support the low-carbon transition.
Earlier this month, US proxy advisory firm Glass Lewis recommended that investors vote against remuneration plans at banks Barclays and Standard Chartered. . Investors are looking to vote against excessive executive remuneration. .
A recent Financial Conduct Authority (FCA) discussion paper asked for feedback on possible regulatory change needed to support collaborative engagement and systemic stewardship, while the Financial Reporting Council is due to lead a review of its StewardshipCode. Also speaking at the Stewardship Summit, Mark Manning , Strategic Policy Advisor on (..)
Some Asian economies have established greater consistency and transparency, such as through introducing TCFD-aligned (Taskforce on Climate-related Financial Disclosure) regulations in Singapore, Hong Kong and Malaysia, or sustainability reporting and stewardshipcodes in Taiwan and Japan. .
Mark Allison , Leader of Merton Council, and Sophia Morrell , a Director at UK Finance, a trade association for the UK’s banking and financial services industry, have been appointed to the London Pensions Fund Authority (LPFA) Board. The LPFA is a defined-benefit LGPS with over 93,000 members, 124 active employers and £6.9
Indeed, all GFANZ sub-sectors have been cautious since Republican politicians targeted banks and asset managers last year. For certain, the exercise adds to the workload of the Financial Reporting Council, which is also undertaking reviews of both the UK StewardshipCode and UK Corporate Governance Code.
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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