Shareholder Activism
We hold shares in some of the world’s biggest companies to enable us to engage with directors and directly advocate for change.
Engaging with investors to hold company boards to account
Companies have a huge impact on the world around us and it has never been more important for investors to use their shareholder power to advocate for change. Whether this is asking for workers to be paid the living wage or requesting clarity on climate commitments, shareholders can demand better of the companies they support.
Annual general meetings (AGMs) are run by companies to bring together their shareholders, generally once a year, and these provide us, investors, and engaged members of the public the opportunity to directly challenge company Boards where efforts to reduce harm to society are too slow.
We work with some of the biggest investors to encourage positive engagement with the companies they support and when needed, we ask our supporters to join us at AGMs to speak directly to those in power.
Voting matters
Active ownership by investors is central to responsible investment - and voting is a vital tool at an investor's disposal. It is a key way for the asset management sector to influence companies on social and environmental issues.
And proxy voting works.
Research from BlackRock - the world's largest asset manager - confirmed that shareholder proposals that received majority support from investors were implemented 94 per cent of the time.
But investors are still not using this powerful tool enough when it comes to environmental and social challenges. We expect more from investors.
Shareholder resolutions
Shareholder resolutions are another powerful tool at an investor's disposal. Filing a resolution at a company allows investors to escalate engagement on a particular issue. It sets out set out clear, detailed asks for companies, and what investors expect from them.
By filing a resolution, an investor ensures an issue is put firming on the agenda for a company. It forces the company to publicly respond to the investors' asks.
Yet our research shows investors are still reluctant to co-file resolutions. We want to see more investors take this important action.