We engage and are an active shareholder in Regnan, who ensure we maintain high Environmental, Social and Corporate Governance standards.
Regnan represents institutional investors with the objective of driving and facilitating ESG practices in the companies in which they invest – further undertaking research and engaging companies on ESG issues.
Regnan’s research insights are applied to both our ESG product range and mainstream funds, as well as enabling us work with other institutional investors on a coordinated approach to market integrity.
Pendal considers this initiative important in our leadership of ESG principles in funds management and maintains board representation in Regnan.
Regnan’s key areas of focus
Regnan worked with 41 of the top 200 ASX-listed companies in the year to June 30, 2020. More than half were engaged multiple times in the pursuit of positive change. Regnan held in-depth discussions with those charged with governance. More than 75 per cent were face-to-face meetings or video conferences. This included meetings with board members and management.
The most-discussed topics were:
• Climate change
• Effective disclosures — monitoring of ESG issues and uptake of the integrated reporting framework
• Social matters — driven by increased complexity in issues such as political lobbying, oversight of brand capital, issues of cultural heritage and stakeholder relations.
• Human capital
We saw evidence of progress in 96% of our active engagements during the year.