September 27, 2013
Eurosif, the pan-European network for the national forums for sustainable investment, published today a report “Shareholder Stewardship: European ESG Engagement Practices”. In the paper, Eurosif concludes that active engagement delivers value creation and is becoming more integrated into the traditional investment process. Data collected by the association shows that engagement, being one of the fastest growing responsible investment strategies, now covers almost EUR 2 trillion in assets under management in Europe. GES is case-profiled in the publication with Emerging Market Engagement.
Within Emerging Market Engagement GES targets those emerging markets companies which have a large ESG gap; that is high ESG risks as well as low preparedness and performance. Currently, GES engages with more than 120 companies in all major emerging markets focusing on the most material ESG risks and opportunities, with the purpose to narrow down the ESG gap.
GES dedicates substantial resources to building a relationship with the companies and engaging in a constructive and results-driven way. In 2012, GES visited 75 emerging market companies in face-to-face meetings. In between the onsite meetings, GES conducts conference calls to follow up with recommendations for improvement.
The Eurosif report stresses along the same line that “(…) regardless of the motivation of the investor, industry experts note that one of the keys to constructive company dialogue is developing a business case for change and presenting actionable demands to companies.”
Full report can be downloaded here
For further information, please contact:
Palle Ellemann, Client Manager Denmark and Product Manager