We work with asset owners to improve the accountability of their asset managers on social issues

We work with asset owners to improve the accountability of their asset managers on social issues

Although asset owners sit at the top of the investment chain, establishing accountability from their asset managers on labour-related issues – the “S” in "ESG" - is among the major challenges faced by trustees striving to responsibly steward workers’ capital.

Asset managers have, to varying degrees, articulated commitments to ESG that should establish a framework for responding to social issues raised by asset owners regarding investee companies. Yet one of the "missing links" in the investment chain is the accountability of asset managers to asset owners.

Our asset manager accountability initiative examines asset managers’ policy interventions, shareholder engagements and proxy voting records, uncovering discrepancies between discourse and action on social issues. We extend this focus on asset manager accountability to the matter of costs and fees in the investment chain. Our report on pension fund cost transparency highlights efforts by trade unions and trustees in four countries to shed light on opaque costs incurred by pension funds through the use of cost transparency templates.

We support asset owners and unions in raising social issues with asset managers through our trustee leadership network and our shareholder activism working group.

unsplash-logoChris Liverani