Stewardship

LGPS & Stewardship
Stewardship

Stewardship

The publication of the new LGPS Regulations and Guidance has introduced an important new narrative
The publication of the new LGPS Regulations and Guidance has introduced an important new narrative

The Guidance identifies the importance of long-term investment interests requiring high standards of governance and responsible investment

 

In addition, the new Guidance requests that administering authorities should become signatories to the Stewardship Code and regulation 7(2)(f) requires every administering authority to formulate a policy that increases awareness and promotes engagement to reflect their stewardship responsibilities.

 

LAPFF fully supports the position set out in the Regulations and Guidance that poor governance impacts on shareholder value, and that active stewardship by pension funds has value for long-term success of the companies they invest in. Hand in hand with proxy voting, effective monitoring and engagement on the ‘full agenda’ by pension funds can identify problems.

 

This enables long-term shareholders to exert positive influence, through promoting strong governance, risk management and increasing accountability as well as driving improvements on environmental, social and governance (ESG) issues.

Stewardship Publications

LAPFF