OUR ACTIVITIES
Responsible investment underpins all investment decisions taken in respect of the Fund. As our delegated investment manager, LPPI is required to comply with the principles of both the UK Stewardship Code and the UN Principles of Responsible Investment. We promote the active use of ownership rights to protect and enhance shareholder value over the long term. We do this primarily through voting and engagement.
VOTING
Through the investments managed by LPPI, the Fund has a financial interest in listed companies across the globe. To ensure effective and consistent use of the voting rights that come with this ownership, voting is undertaken centrally by LPPI rather than being delegated to individual managers.
LPPI works with an external provider of governance and proxy voting services and receives voting recommendations in line with an agreed voting policy. This policy promotes risk mitigation and long-term shareholder value creation by supporting responsible global corporate governance practices. The voting policy is reviewed and updated on an annual basis to reflect emerging issues and trends. Records of LPPI’s voting can be viewed by clicking here.
ENGAGEMENT
We believe in working in partnership to magnify the voice and maximise the influence of investors as owners. In order to gain the attention of companies, we must join other investors sharing similar concerns. We do this primarily through:
- Membership of representative bodies including the Local Authority Pension Fund Forum (LAPFF)
- Joining or signalling support for investor initiatives that are in line with our Responsible Investment Policy
- Participation in wider lobbying activities when appropriate opportunities arise.
PROGRESS REPORTS
The LPFA receives quarterly updates from LPPI to monitor the progress being made in the implementation of our Climate Change Policy and Responsible Investment Policy.