EUROFIMA further strengthens its leading role as sustainable and responsible asset owner
EUROFIMA is glad to introduce its new engagement approach to the wider public. After several months of research, careful considerations and internal discussions, the new Investee Engagement Guidelines (IEG) have been prepared by the Treasury & Asset Management unit and approved by the Management Committee. The finalization of the IEG ensures the integrity of EUROFIMA’s three pillar ESG integration approach with a norm-based screening, ESG integration and engagement.
The IEG provide a detailed overview of EUROFIMA’s engagement approach towards the issuers it invests in and counterparties it deals with, scope and principles of engagements, as well as individual responsibilities of EUROFIMA staff. The document clearly defines two investee engagement objectives: the compliance with the fiduciary duty towards EUROFIMA’s shareholders and the commitment to the UN Principles for Responsible Investment (PRI).
“We are proud to have concluded the final step in our three-pillar approach with the finalization of the IEG. This again shows our strong commitment to being a sustainable and responsible investor, which is part of the holistic approach towards sustainability in EUROFIMA”, says EUROFIMA’s CEO Harry Müller.
The EUROFIMA staff involved in its investment activities will adhere to four main stewardship principles outlined in the document, which are:
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Principle 1 Monitoring: the Treasury & Asset Management unit, with support from other internal units, will regularly monitor its investee companies |
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Principle 2 Governance: the objectives and practical aspects of ESG engagement form the Investee Engagement Guidelines document |
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Principle 3 Transparency: the Investee Engagement Guidelines, as well as relevant reporting on engagement results, will be made publicly available |
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Principle 4 Best Practice: the portfolio managers can and should consider collaborating with other asset managers/asset owners/investment consultants to learn about their best practices regarding their engagement process |
Although engaging with investees is not a completely new activity for EUROFIMA, having the governing guidelines makes the whole process more structured, more efficient, and transparent. Most importantly, the IEG is another step that supports EUROFIMA’s position as a leading sustainable and responsible asset owner.
The Investee Engagement Guidelines are effective as of 1 January 2022.
For more information, please, contact Kristina Micic, Portfolio Manager & ESG Analyst: kristina.micic@eurofima.org