London CIV’s stewardship priorities remain committed to three key stewardship themes identified in 2021: climate change (intensifying focus on biodiversity), diversity and inclusion (including human rights), and tax and cost transparency (within the broader theme of principles of governance), according to the pool’s RI and stewardship outcomes report.
Biodiversity is also being added to the framework in the responsible investment policy.
Alison Lee, responsible investment manager and the report’s author, said: “These priorities were chosen due to their significant financial impact and the potential influence we can exert.”
London CIV undertook a major review of its headline responsible investment policy in early 2022. The policy is supported by more detailed climate and stewardship policies.
London CIV’s Responsible Investment Reference Group (RIRG) provides an important sounding board for its responsible investment activity.
Gus Loriot, RI manager and London CIV’s resident ESG expert, said: “We believe that an economically efficient, sustainable global financial system is a necessity for long-term value creation.
“While our primary goal is to help our clients with meeting their pension commitments, this will only be possible by managing ESG risks and opportunities for our funds and supporting a financial system fit for the future.
“Such a system will reward long-term, responsible investment and benefit the environment and society as a whole. We regard it as part of our fiduciary duty to encourage long-term sustainable growth and maximise the economic health of companies.”
The full London CIV Responsible Investment and Stewardship Outcomes Report 2023 is available on its website: londonciv.org.uk/stewardship