Invesco is committed to adopting and implementing responsible investment principles in a manner that is consistent with our fiduciary responsibilities to clients. A key part of this effort is our 2017 Investment Stewardship & Proxy Voting Annual Report and our 2016 Corporate Social Responsibility Report.
We are signatories to the UNPRI, UK Stewardship Code and Japan Stewardship Code. In 2016, the FRC (Financial Reporting Council) began tiering signatories and Invesco Perpetual was assessed as Tier 1 for our robust process and adherence to stewardship code principles. You can find a copy of Invesco’s PRI Transparency Report at www.unpri.org.
Our support for responsible investment comprises the following five areas:
Environmental, Social and Governance (ESG), evaluation, screening and integration
ESG considerations are factors, among many, that may be considered as part of a robust fundamental research process.
Research, resources and training
Our teams have access to a wide range of information, including the ESG-related practices of companies worldwide.
Engagement with our portfolio companies
Our investment teams may question or challenge companies about ESG issues that could have an impact on future value.
We believe the voting of proxies should be managed with the same care as all other elements of the investment process.
Invesco recognizes its responsibility to help sustain a healthy, clean environment for future generations.
Learn more about our commitment to responsible investing.
Invesco is committed to adopting and implementing responsible investment principles in a manner that is consistent with our fiduciary responsibilities to clients. Invesco supports the Principles for Responsible Investment (PRI) and recognizes the importance of considering environmental, social and governance (ESG) issues as part of a robust investment process.
In June 2013, Invesco became a signatory of the UNPRI (United Nations Principles for Responsible Investment). The PRI is the largest and leading global responsible investment network of investment managers and asset owners in the industry. Invesco joins several other peer organizations in our support of the PRI initiative and material ESG topics.
The PRI is based on six key principles that serve as a foundational framework for large diversified investment managers to establish a well-articulated and supportive approach to ESG issues.
As part of our commitment to these Principles for Responsible investment:
US$57.1bn AUM in ESG integrative approaches/responsible investment in 10 investment centres across 19 strategies.
Increase of 12% in ESG AUM from 2016, including US$3.7bn converted to ESG and US$1.0bn in new accounts and products.2
Exclusionary screening, values-based exclusion, norms-based screening, best-inclass, thematic, and full ESG integration.
Invesco’s controversial weapons policy covers an additional US$147bn, including US$63bn which began excluding controversial weapons in 2017.3
9 Responsible Investment staff across three regions with 14 years’ average experience.
Works in close coordination with the 9 member Global Proxy Services team.
Local governance support staff of 16.
A dedicated IT team of 3 members support the Invesco proxy portal.
Invesco leverages multiple ESG vendors: ISS, GL, IVIS, Ethix, Vigeo Eiris,
Morningstar, Nikko Research Centre, MSCI and Sustainalytics.4
Providing deep ESG research: governance services, proxy research,
business involvement screening, controversial weapons research,
engagement services, carbon metrics, fund ratings, ESG research and ratings.
Delivering ESG data to our global network of more than 700 investment professionals.1
Identify ESG opportunities for improvement.
Signatory to the PRI, UK Stewardship Code and Japan Stewardship Code.
A+ rated by PRI in 2017 for Strategy & Governance, including a 43% increase in PRI assessment score from 2015.
Invesco Perpetual assessed Tier 1 by FRC since 2016.
Identified as an ESG Leader among brokers and asset managers in North America.6
Invesco has a deep engagement practice and active ownership platform.
Invesco Quantitative Strategies leverages Vigeo Eiris, an ESG leader, for targeted engagement, letter writing, and screening.
Involvement in industry organisations:
– Company Reporting and Auditing Group
– Financial Reporting Council – AQR Committee
Deep conviction, investor-led and investordriven with 24/6 coverage globally.
Proprietary Proxy Voting Platform.
Voted 99.6% of 18,000 meetings, 80,000 ballots, and 210,000 proposals
in 72 unique markets.
64% increase in our support of environmental proposals.
Supported 44% of shareholder proposals and 42% of activist campaigns.
Voted against 15% of director-related proposals.
In 2017, Invesco Real Estate has six strategies rated as "Green Star" with
three of the strategies ranked 1st in their respective peer groups.
Finalist for CIO’s inaugural Industry Innovation Award for ESG in 2017.
43% of Invesco’s funds rated by Morningstar have a sustainability rating of “High” or “Above Average”.7
Development of white papers and pieces promoting responsible investment:
– Proxy voting: The hallmark of active ownership
– Responsible investing and active ownership
– Sustainable Factor Investing
– China green bonds
– SRI… isn’t that what we have been doing all this time?
Participation in industry organisations:
– PRI ESG Advisory Committee
– PRI SDG Working Group for Active
– Deep Data Delivery Standards
– UKSIF Board of Directors
1 As of 30 September 2017.
2 US$51.1bn as of 30 September 2016.
3 For further information regarding Invesco’s Controversial Weapons Policy please go to invescomanagementcompany.lu.
4 As of 31 December 2017.
5 Voting from 1 July 2016 to 30 June 2017.
6 Ranked 3rd among 20 brokers and asset managers in North America with
top 4 considered ESG leaders.
7 258 of 594 as of 30 September 2017.