As part of our environmental, social and governance (ESG) engagement process, we typically interact with multiple stakeholders, including company boards and management teams, regulators, other industry participants, clients, civil society and activists. Our engagements have a common objective: to achieve the best possible outcomes for our clients. We have grouped our engagements into five broad categories, as shown in Table 1, while Table 2 offers a summary of the engagements we had in 2024 and the issues we raised.
Keeping the long-term view front of mind
While we engage proactively on environmental and social matters, governance engagements remain the most frequent. These engagements are undertaken with the intent to achieve outcomes we consider to best protect and/or enhance the value of our clients’ investments. Studies have shown that companies with stronger governance practices typically perform better on environmental and social metrics. We firmly believe in advocating for alignment between a company’s executive incentives and the interests of long-term shareholders. This encourages companies to focus on long-term sustainability.