Shareowner Activism
One of the characteristics that distinguishes many of the investment managers included in ESG Managers® Portfolios is their commitment to shareowner engagement. They view it as a way to improve the financial, environmental, social and governance performance of the companies in which they are invested.
The managers’ shareowner advocacy efforts are largely aimed at prompting those companies to minimize their ESG-related liabilities and to take advantage of ESG-related opportunities to create financial value for their shareholders.
Among the tactics the managers employ are:
- Voting shareholder proxies in accordance with ESG criteria
- Engaging management in dialogue on issues of concern such as ESG disclosure, executive compensation, worker safety, climate change and any number of others
- Initiating or supporting shareholder resolutions at annual stockholders meetings aimed at persuading companies to adopt higher standards of corporate responsibility
- Supporting public policy initiatives that promote greater corporate sustainability, transparency and accountability
