Responsible Investing

Pendal has a proud heritage in responsible investment (RI) leadership, dating back many years.

Today we offer a range of innovative solutions specifically designed for RI-related needs — while also seeking to embed RI practices across all our active management practices.

We view effective management of our impact on the environment, community and stakeholders as critical to our continued ability to deliver sustainable value to clients, employees and shareholders.

To meet our fiduciary duties we consider the impact of environmental, social and governance (ESG) risks on the investments we make for clients.

Pendal has a team dedicated to the implementation of RI practices across the business.

We work closely with Regnan, a fully-owned sustainable investment manager and advisory. Regnan supports Pendal through research, engagement and advisory services. 

Regnan delivers innovative sustainable and impact investment solutions such as Regnan Global Equity Impact Solutions Fund and Regnan Credit Impact Trust.

More information: RI-related articles and podcasts from our portfolio managers and analysts at The Point

More information:

Pendal Australia Responsible Investment and Stewardship 2022 Annual Report

Pendal Australia Responsible Investment and Stewardship 2021 Annual Report

Pendal Group Climate Change Statement

Pendal Group Human Rights Statement

Pendal Australia’s Responsible Investment Philosophy and Approach document

Pendal Group Modern Slavery Statement

Environmental, Social and Governance integration

For many years Pendal has progressively factored ESG considerations systematically into our investment process across multiple asset classes.

This includes research, analysis and due diligence, covering issues such as climate change, human capital and ethical conduct.

We have seen first-hand the potential for ESG issues to affect value, for example by creating new investment opportunities in clean-tech solutions or through poor conduct impacting the finance sector.

The way a company handles ESG issues can provide insights into quality of management and resilience as a business.

Where ESG considerations may impact the financial performance of an investment, those factors are taken into account as part of our active investment processes — in the same way we consider other potential risk factors.


Stewardship, or active ownership, is a natural extension of Pendal’s active approach to investment management.

As responsible stewards of the capital entrusted to us, we undertake regular engagement with issuers and investee companies, exercising our voting rights in the best interests of clients.

You can read about our recent engagement activity here.

Through proxy voting and ongoing dialogue with investee companies and issuers, we manage risk, effect change and protect value over the long term.

We recognise our actions and decisions can influence the entities in which we invest, in turn affecting the environment, our stakeholders and the community. We have a duty and an interest in managing this influence.

Part of our stewardship activity includes working together with other investors — typically via a range of industry bodies and initiatives — to encourage greater uptake of RI practices in the financial services sector and to support the management of ESG risks and opportunities.

Read more on our industry representation here

Our Principles of Internal Governance and Asset Stewardship

View our Proxy Voting Policy here


Regnan is our fully-owned responsible investing business, specialising in research, engagement and advisory to support responsible investments.

Regnan expanded its capabilities into responsible investment funds management in 2020, backed by the considerable resources of Pendal Group.

The Regnan Global Equity Impact Solutions Fund invests in mission-driven companies we believe are well placed to solve the world’s biggest problems.

Managed by a four-person investment team based in London, the fund aims to outperform the broad global equity market over the long term by investing in companies that provide solutions for the growing, unmet sustainability needs of society and the environment.

Find out about

Regnan Global Equity Impact Solutions Fund

Regnan Credit Impact Trust — available only in Australia — invests in Australian fixed income securities, with a focus on impact bonds that generate social and environmental outcomes, alongside returns.

Both funds are distributed in Australia by Pendal Group.

While Pendal Group only assumed full ownership of Regnan in February 2019, we have a long history with Regnan dating back to 2001 through Pendal’s association with BT Financial Group.

The Regnan team of highly experienced analysts and consultants has an average of 16 years experience in responsible investment, providing services to support ESG integration, sustainability-themed and impact investing.

Pendal is one of a number of institutional investors represented in Regnan’s collective engagement program, which sees Regnan undertake outcomes-focused engagement with listed companies across a wide range of issues with the potential to affect financial value.

Regnan continues to offer services independently.

Visit Regnan’s website

Read more about how Regnan supports Pendal Group

Sustainable and Impact Investment Products

Pendal has a long history in managing dedicated strategies to meet clients’ ethical and sustainability criteria. We recently expanded our offering to impact investment strategies, through Regnan.

The first dedicated product, the Pendal Sustainable Balanced Fund, was launched by the Bankers Trust group in 1984 as the BT Australia Charities Trust.

Today, our suite of funds and tailored mandates meet the needs of the growing number of clients interested in investing in a manner consistent with their values or interest in sustainability.

Our sustainable funds use exclusionary screening to avoid certain activities or industries, and poor ESG performers. We also allocate capital to companies identified as sustainability leaders or those involved in industries that contribute to social and environmental needs.

Through its research and advisory, Regnan plays a key role in product design and shaping investment guidelines to ensure a true-to-label approach.

Our Sustainable series includes:

The above products have been certified by RIAA, meeting the strict criteria of the organisation’s Responsible Investment Certification Program. Visit for more information about the program and our certified products.

Pendal Sustainable Australian Fixed Interest Fund

An Aussie bond fund that aims to outperform its benchmark while targeting environmental and social outcomes via a portion of its holdings.

We also work with institutional investor clients to tailor mandates to meet the needs and interests of beneficiaries.

We have developed tailored mandates for clients including low-carbon portfolios and portfolios with faith-based exclusions. Find out more here.

PRI reporting and assessment

Pendal and our wholly-owned subsidiaries J O Hambro and Regnan are signatories to the Principles for Responsible Investment (PRI), the leading global investor network and proponent of RI.

We are committed to implementing the PRI’s Six Principles. These are a voluntary and aspirational set of investment principles that offer guidance on possible actions for incorporating ESG issues into investment practice.

The PRI requires signatories to provide annual disclosures on RI practices to demonstrate implementation and allow for assessment. Asset managers receive an assessment report.

The 2021 Summary Scorecard for Pendal Australia (see below) shows a solid standing in terms of our overall practices in governance and active stewardship.

You can download the full Assessment Report here and view the Transparency Report here.

2021 Summary Scorecard for Pendal Australia

Find out more

Read articles and listen to podcasts from Pendal portfolio managers and analysts at The Point

Contact a Pendal key account manager