IN FOCUS6-8 min read

Sustainable Investment Report Q3 2023

A snapshot of our voting and engagements from the third quarter, as well as details on active ownership in practice and our insights on topics including physical risks in the apparel supply chain and how our insurance linked-securities team analyse climate risk.

10-24-2023
Photo of flooded landscape

Authors

Sustainable Investment Team

Andy Howard, Schroders Global Head of Sustainable Investment:

Active ownership continues to be a key pillar of our strategy by which we create long-term value for our clients. This quarter we surveyed over 350 companies to understand how we can make our engagement most effective. As we head into the final quarter of the year, we also reflect on voting trends from 2023. Unsurprisingly, both environmental and social resolutions are becoming increasingly prominent on agendas, and we look at our approach to analysing the shareholder resolutions tabled.

We often collaborate with thought-leaders to produce investment-driven insights on the most material themes. This quarter, we co-authored two pieces of research, one focused on the value of human capital, and a second piece which was a successful collaboration with the team at Cornell University ILR on the prevalence of physical risk in apparel supply chains.

Over the past year, we have intensified our focus on impact investing. We mark our one-year anniversary of being a signatory to the Operating Principles for Impact Management (Impact Principles) with our external impact verification.

Furthermore, in this report, we take a look into the environmental performance of the UK water sector, AI and sustainability, as well as the work being undertaken in Schroders Capital on investing in climate insurance and how our Insurance-Linked Securities team analyse climate risk.

Voting and engagement at a glance

Our active ownership statistics from the quarter

Active ownership in practice

Effective engagement: what does it look like in practice?

The 2023 voting season in review

Human capital management: how people are our greatest asset

Looking through murky waters

Sustainability insights

AI revolution: what are the impacts?

Higher ground? Physical risk in apparel supply chains

How we're investing to insure vulnerable communities against the impacts of climate change

How we look at climate change in Insurance-Linked Securities

Our impact journey - huge progress; growth ahead

Read the full report here.

Subscribe to our Insights

Visit our preference center, where you can choose which Schroders Insights you would like to receive

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.

Authors

Sustainable Investment Team

Topics

Sustainability
Sustainability Reporting
ESG
Follow us

Please consider a fund's investment objectives, risks, charges and expenses carefully before investing.

The website and the content included is intended for US-based financial intermediaries (and their non-US affiliates) on behalf of those of their clients who are both (a) not “US persons” as that term is defined in Rule 902 under the United States Securities Act of 1933, as amended (the “1933 Act”) and (b) “non-United States persons” as that terms is defined in Rule 4.7(a)(vi) under the Commodity Exchange Act of 1936, as amended. None of the funds described herein is registered as an “investment company” as that term is defined in the United States Investment Company Act of 1940, as amended, and shares of the funds described herein have not been and will not be registered under the 1933 Act or the securities laws of any of the states of the United States. The shares may not be offered, sold or delivered directly or indirectly in the United States or for the account or benefit of any “US person.”

The information contained in this website does not constitute an offer to purchase or sell, advertise, recommend, distribute or solicit a subscription for interests in investment products in any Latin American jurisdiction where such would be unauthorized. The information contained in this website is not intended for distribution to the public in general and must not be reproduced or distributed, entirely or partially to any individuals who are not allowed to receive it according to applicable legislation. The investment products and their distribution may not be registered in Latin America, and therefore may not meet certain requirements and procedures usually observed in public offerings of securities registered in the region, with which investors in the Latin America capital markets may be familiar. For this reason, the access of the investors to certain information regarding the investment products may be restricted. Financial intermediaries and Advisors must ensure the information provided in this website is appropriate and suitable to the receiver’s domicile and jurisdiction and according to the applicable legislation.

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

Issued by Schroder Investment Management (Europe) S.A., 5 (“SIM Europe”), rue Höhenhof, L-1736 Senningerberg, Luxembourg. Registered No. B 37.799

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.

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

SIM (Europe), SIMNA, SFA and Schroders Capital are wholly owned subsidiaries of Schroders plc.