For mutual funds managed by Pictet Asset Management entities: proxy voting is based on ISS Sustainability policy. The policy covers 100% of equity holdings for actively managed strategies and Swiss index strategies & 90% of the passively managed strategies. Holdings within the 90% AUM threshold are defined once a year (typically in December) by the Index Team but can be updated more frequently in case of material deviations This threshold typically represents 50% by no of companies.
For liquidity reasons, voting rights are not exercised in share blocking markets (eg Argentina, Germany, Portugal, Sweden and Norway). Index funds where execution costs may exceed 0.5bp are carved out.
Pictet Asset Management does not usually assume the role of an activist investor and does not initiate shareholder resolutions or shareholder groups. However, Pictet Asset Management may consider supporting the submission of shareholder resolutions initiated by third parties. Shareholder resolutions that are on AGM/EGM agenda are evaluated based on their own merits and are supported when they would improve the company’s corporate governance or business profile at a reasonable cost.