The purpose of the Responsible Policy is serve our customers interests by creating both competitive and sustainable returns.
Therefore, we integrate ESG considerations in all our investment practices, as we believe that management of environmental and social risks and well-functioning corporate governance is a precondition for an optimization of the risk-adjusted return.
The Group will, when necessary, seek to influence companies primarily through dialogue with the management of companies and secondarily through voting at annual and special general meetings and participation in nomination committees.
We encourage companies to respect international principles for corporate responsibility and collaboration within the investor community to the benefit of our customers and society in general.
In addition, we invest with respect to international principles for human rights, labour rights, the environment and anti-corruption - as described in the UN Global Compact, OECD Guidelines for Multinational Enterprises and UN Guiding Principles. Consequently, we strive to mitigate adverse impacts of our investment practices through appropriate due diligence, dialogue with companies or simply by refraining from investing in specific companies or assets.
The RI Policy covers four focus areas: (1) Screening & Exclusions, (2) Engagement & Initiatives, (3) ESG Integration and (4) Dialogue & Voting. It is applicable to Danske Invest funds, Danske Capital and Danica Pension products and to Danske Bank's pooled accounts where the Group manages the investment of customer funds. The RI Strategy also apply to the Danske Bank Group's own investments.
The investment restrictions of the RI Policy do not apply to funds-of-funds, structured products, individual securities or derivatives, institutional mandates, institutional funds or managed accounts.
When we recommend clients to invest in funds other than Danske Invest, we strive to select funds that are based on internationally recognized principles for responsible investing.
During 2016 we focused on increasing our active ownership activities which is reflected in the listed equity active ownership section of this report. Finally, we proceeded with the integration of ESG data on all actively managed investment products.