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Sustainable Investment Report Q3 2022

Read about our latest engagement and voting activity, including how we're engaging with companies on their climate transition plans.

10-19-2022
Sustainability

Read Schroders Sustainable Investment Report Q3 2022 here

A message from Schroders' Head of Sustainability Strategy Hannah Simons:

Balancing the E and the S

The urgency surrounding the action needed to tackle climate change has been front and centre over the last few years. This quarter we look at what we can expect from COP 27 and also the postponed biodiversity COP 15. At Schroders, in order to protect and enhance the value of our clients’ assets, we focus our engagement activity on understanding how our investments are adequately prepared for the risk climate change poses. We have previously discussed our climate engagement and escalation framework, which outlines our expectations of investee companies.

Importantly, net zero commitments are only the first step; backing these commitments up with tangible, specific and timebound action is key. This quarter, Carol Storey, our climate engagement lead, discusses how we evaluate the transition plans of our investee companies in order to assess the tangible action they are taking.

With climate often dominating the sustainability agenda, social risks and opportunities cannot be forgotten. Stephanie Williams, Sustainable Investment Analyst, and Katie Frame, Active Ownership Manager, explain how investors can engage with companies on the issues of conflict and modern slavery. We also take a look at our 2022 Schroders Institutional Investor Study on page 10, which found that governance and human rights were the top active ownership focus areas for institutions globally. Our latest survey covering retail investors has also been published, details of the findings are available here.

Sustainability analyis in practice: our Sustainable Investment Reports can be found here

This quarter we cover:

Active Ownership In Practice

  • How we're engaging companies on their transition plans
  • Modern slavery in conflict

  • How we’re pushing Apple on sustainability reporting

Sustainability Insights

  • Schroders Institutional Investor Study 2022
  • A spotlight on biodiversity commitments

  • What to expect from this year's climate and nature COPs

  • MyStory: Alfen and what’s behind the energy transition

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Important information

The views and opinions contained herein are those of Schroders’ investment teams and/or Economics Group, and do not necessarily represent Schroder Investment Management North America Inc.’s house views. These views are subject to change. This information is intended to be for information purposes only and it is not intended as promotional material in any respect.

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Please consider a fund's investment objectives, risks, charges and expenses carefully before investing. The Schroder mutual funds (the “Funds”) are distributed by The Hartford Funds, a member of FINRA. To obtain product risk and other information on any Schroders Fund, please click the following link. Read the prospectus carefully before investing. To obtain any further information call your financial advisor or call The Hartford Funds at 1-800-456-7526 for Individual Investors.  The Hartford Funds is not an affiliate of Schroders plc.

Schroder Investment Management North America Inc. (“SIMNA”) is an SEC registered investment adviser, CRD Number 105820, providing asset management products and services to clients in the US and registered as a Portfolio Manager with the securities regulatory authorities in Canada.  Schroder Fund Advisors LLC (“SFA”) is a wholly-owned subsidiary of SIMNA Inc. and is registered as a limited purpose broker-dealer with FINRA and as an Exempt Market Dealer with the securities regulatory authorities in Canada.  SFA markets certain investment vehicles for which other Schroders entities are investment advisers.

For illustrative purposes only and does not constitute a recommendation to invest in the above-mentioned security/sector/country.

Schroders Capital is the private markets investment division of Schroders plc. Schroders Capital Management (US) Inc. (‘Schroders Capital US’) is registered as an investment adviser with the US Securities and Exchange Commission (SEC).It provides asset management products and services to clients in the United States and Canada.For more information, visit www.schroderscapital.com

SIMNA, SFA and Schroders Capital are wholly owned subsidiaries of Schroders plc.