Q1 2022 spotlight on

Spotlight

ESG AND DATA: THE NEED FOR CONSISTENCY

We assess the need for global consistency and guidelines on sustainable investment.

Highlights from Q1 2022

  • We voted at
    241
    Annual General Meetings
    +
    84
    Extraordinary General Meetings
    on behalf of our clients
  • We engaged with
    31
    issuers
    for the purpose of raising ESG concerns or seeking further information
  • Examples of engagement with companies included matters such as:

    • supply-chain management
    • climate change
    • human capital management
    • food and nutrition
    • compensation
    • diversity
    • board effectiveness
    • disclosure
    • strategy
 

Voting profile: Q1 2022

During the quarter, we exercised our clients’ voting rights at a total of 325 shareholder meetings.

Across all regions, votes were instructed against management recommendations on 570 separate resolutions, which equated to 54% of the 325 meetings.

1 In favour of management on all resolutions.
2 Against management on one or more resolutions.
Including abstentions and withhold votes where there was no option to vote against.
3 Took no action owing to share blocking.

0

took no action3

149

in favour of management1

0

abstained

176

against management2

Key issues of concern

ESG quality reviews

We conduct quality reviews analysing the separate ESG aspects of all companies our global sector analysts are considering recommending for investment. These quality reviews are undertaken by our responsible investment team who award an ESG rating score out of 10. Each quarter key issues of concern are identified and are closely monitored by our responsible investment analysts.

Emerging-market companies’ continued timidity in disclosing their approaches and targets in relation to corporate social responsibility and sustainability matters.

US executive compensation arrangements not being aligned sufficiently with performance.

US company auditors serving for multiple decades.

Article amendments which would limit or reduce shareholder rights.

Quality

Important information

Your capital may be at risk. The value of investments and the income from them can fall as well as rise and investors may not get back the original amount invested.

Any reference to a specific security, country or sector should not be construed as a recommendation to buy or sell investments in those countries or sectors. Please note that portfolio holdings and positioning are subject to change without notice.