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Europe’s Next Big Step

Chris Hall

Supervisory authority ESMA is calling for EU-wide stewardship code to hone and standardise investors’ engagement efforts and disclosures. There’s also the stewardship code introduced by the European Fund and Asset Management Association (EFAMA), which was first adopted in 2011.

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Government Delay of ARGA Leaves FRC Toothless

Chris Hall

In March 2021, the BEIS published a consultation calling for an increase in audit firms’ accountability to shareholders, an expanded scope to include non-financial information such as ESG risks, and announced the development of ARGA. The consultation received over 600 responses, with the majority proving supportive of the new regulatory body.

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Voting Policies Offering Asset Owners Closer Scrutiny

Chris Hall

However, the funds, data and analytics provider also found that asset managers are being increasingly transparent in advance of voting, through stewardship reports, more granular policy statements and more specific voting guidance. It remains to be seen what will happen in the coming proxy year.