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Three years earlier, Rathbones had signed up to the Principles for Responsible Investment (PRI), which he had helped develop. As part of that, we looked at the stewardship area and concluded we should be doing more of it.” There is almost an industrial machinery around stewardship reporting.”
The review factored in the implications of UK market abuse regulations and developments in competition law in major jurisdictions. Manning said the TPT’s guidance would provide support and input for investors’ sustainability-related stewardship activities. “If
All surveyed schemes, collectively representing £150 billion AUM, said they were targeting UN Sustainable Development Goals relating to climate action. According to recent study of 650 UK occupational pension funds by investment consultants Mercer, only 35% of schemes conduct a stewardship assessment of investment managers at least annually.
But far fewer (13%) are disclosing the impacts of all their portfolios on people and planet, with around half reporting a commitment to divest or reduce holdings or refuse to purchase new debt from “problematic companies”.
The Financial Conduct Authority’s decision to halt the development of an effectiveness metric undermines systemic stewardship, says Gustave Loriot-Boserup, Founder of Compass Insights. Following this work, the UK StewardshipCode 2020, which we still use today, was published. A – Stewardship.
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 (..)
“There’s been a lot of grumbling from investment managers about vote reporting requests from pension funds in particular,” he said. Samantha Chew, Stewardship Lead at Aegon UK, which is unable to consider divestment of its largely passively-managed portfolio, said poor transparency and timeliness of vote reporting were two longstanding barriers (..)
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 Net Zero Stewardship Toolkit as a useful resource.
C) “could incentivise the wrong behaviours” and result in schemes merely divesting the achieve alignment, rather than trying to engage to transition assets. The consultation response was coupled with stewardship guidance to help trustees to more aggressively challenge asset managers on their voting.
While this tells the story of a dynamic and maturing market, professionals are finding it difficult to stay informed of developments. If divesting from harmful industries, communicate this publicly. The evidence here is clear: collaboration should play a central role in investors’ stewardship practices. No man is an island”.
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