We engage globally to deliver positive change.
The world is facing a climate emergency, which could have drastic consequences for markets, companies and LGIM’s clients’ assets. As a result, in 2016 LGIM launched its Climate Impact Pledge, under which it assesses, scores and engages with companies key to the energy transition, to help them address this era-defining challenge.
LGIM has mapped about 1,000 companies worldwide, in climate-critical sectors, against key indicators. Using quantitative and qualitative measures, LGIM assesses them under a ‘traffic light’ system, drawing on independent data providers and LGIM pioneering climate modelling.
These metrics then inform LGIM’s engagements. It will take action against companies that fail to demonstrate adequate climate commitments, through voting rights across its entire book and investment decisions within some LGIM funds. It will celebrate successes, too.
The ESG impact report is a quarterly publication produced by LGIM’s Investment Stewardship team to provide an update on their engagement activities and the outcomes, as well as future plans.
Active ownership means striving to create sustainable value for LGIM clients.
The LGIM Active Ownership report details how LGIM’s Investment Stewardship and Investment teams exercised voting rights and engaged with companies, policymakers and other stakeholders to deliver positive change on topics including net-zero emissions, ethnic diversity and gender diversity.
Key risk: The value of an investment and any income taken from it is not guaranteed and can go down as well as up, you may not get back the amount you originally invested.