This report shows public data only. Is this your organisation? If so, login here to view your full report.

BNP Paribas Asset Management

PRI reporting framework 2017

Export Public Responses
Pdf-img

You are in Direct - Listed Equity Active Ownership » (Proxy) voting and shareholder resolutions

(Proxy) voting and shareholder resolutions

Overview

LEA 17. Voting policy & approach

New selection options have been added to this indicator. Please review your prefilled responses carefully.

17.1. Indicate whether your organisation has a formal voting policy.

17.2. Indicate what your voting policy covers:

17.4. Provide a brief overview of your organization’s approach to (proxy) voting.

Voting at assembly general meetings is a key component of the ongoing dialogue with companies in which we invest on behalf of our clients and forms an integral part of BNPP AM’s investment process. We are committed to ensure consistent exercise of voting rights associated with shares held in Undertakings for the Collective Investment of Transferable Securities (UCITS), Alternative Investment Funds (AIF), foreign investment funds and investment mandates, where proxy voting has been delegated to us.

17.5. Provide an overview of how you ensure your voting policy is adhered to, giving details of your approach when exceptions to the policy are made (if applicable).

1. GOVERNANCE AND VOTING PRINCIPLES

We believe that good corporate governance creates the framework ensuring that a corporation is managed in the long-term interest of shareholders. Therefore BNPP AM expects all corporations in which we invest to comply with high corporate governance standards.

Voting at assembly general meetings is a key component of the ongoing dialogue with companies in which we invest on behalf of our clients and forms an integral part of BNPP AM’s investment process. We are committed to ensure consistent exercise of voting rights associated with shares held in Undertakings for the Collective Investment of Transferable Securities (UCITS), Alternative Investment Funds (AIF), foreign investment funds and investment mandates, where proxy voting has been delegated to us.

A document "Governance and voting policy" explains what we expect of public companies and how we carry out our ownership responsibilities.

The policy outlines our key governance and voting principles, describes our proxy voting process, and set guidelines that highlight, for each item, best practices and issues that may trigger an "oppose" or "abstain" vote.

In applying our voting guidelines, we take into account specific circumstances as they relate to individual companies. Our policy and guidelines are reviewed annually in order to reflect the evolution of corporate governance codes and market practices.

This document is available on our website : http://www.bnpparibas-ip.com/en/corporate-social-responsibility/our-economic-responsibility/our-responsible-investment-and-esg-policy/

 


Process

LEA 18. Typical approach to (proxy) voting decisions

18.1. Indicate how you typically make your (proxy) voting decisions.

Approach

Based on

18.2. Additional information.[Optional]

While proxy voting provider are used to help us on the analysis of general meeting, BNPP AM’s will take each voting decision for every general meetings internally with no outsourcing in order to serve its client’s best interests.


LEA 19. Percentage of voting recommendations reviewed (Not Applicable)


LEA 20. Confirmation of votes (Private)


LEA 21. Securities lending programme (Private)


LEA 22. Informing companies of the rationale of abstaining/voting against management

New selection options have been added to this indicator. Please review your prefilled responses carefully.

22.1. Indicate whether you or the service providers acting on your behalf raise any concerns with companies ahead of voting

22.2. Indicate whether you and/or the service provider(s) acting on your behalf, communicate the rationale to companies, when , you abstain or vote against management recommendations.

22.3. Additional information. [Optional]

The process of dialogue with companies can be engaged on our own initiative or on the request of the issuer and is concentrated on our main holdings, based on our asset under management.

The dialogue with the companies we invest in and that are listed in the main French index (CAC40) is systematic. For the others securities, we engage in dialogue on a case-by-case basis.

The goals of our engagement are:

Outside general meeting season:

  • Promote a constant dialogue with companies
  • Communicate our voting policy to promote good corporate governance and to prepare the next general meeting of the issuer

During general meeting season:

  • Obtain additional information on voting proposals
  • Express our concerns about specific resolutions in contradiction with our voting policy

Depending on specific circumstances, the dialogue may lead to a modification or withdrawal of resolutions from the issuer before the general meetings, or additional information that prompted a change of vote.

We do not contact companies if we do not have issues to raise, of if we consider that we won't have any influence on the company (e.g. controlled companies).


Outputs and outcomes

LEA 23. Percentage of (proxy) votes cast

23.1. For listed equities where you and/or your service provider have the mandate to issue (proxy) voting instructions, indicate the percentage of votes cast during the reporting year.

Votes cast (to the nearest 1%)

90 %

Specify the basis on which this percentage is calculated

23.2. Explain your reason(s) for not voting certain holdings

23.3. Additional information. [Optional]

Our voting scope is made of companies for which aggregated holding positions meet at least one of the three following conditions:

 Represent 90% of accrued total of our stock positions

 Consist in 1% or more of the company market capitalization.

 Ad hoc demand

The choices of the shares for which we exercise the voting rights aim at both concentrating our efforts on positions held in a wide proportion in our assets under management, and participating to shareholders' meetings of companies in which our collective investment schemes hold a significant part of the capital.


LEA 24. Proportion of ballot items that were for/against/abstentions

24.1. Indicate if you track the voting instructions that you and/or your service provider on your behalf have issued.

24.2. Of the voting instructions that you and/or third parties on your behalf issued, indicate the proportion of ballot items that were:

Voting instructions
Breakdown as percentage of votes cast
For (supporting) management recommendations
82.4 %
Against (opposing) management recommendations
12 %
Abstentions
5.6 %
100%

24.3. Describe the actions you take after voting against management recommendations.

          In 2016, our opposition was mainly concentrated on three topics: financial operations, executive pay and board election. We may engage with a company following the AGM on a case-by-case basis, depending on the issue raised at the AGM.
We wish to stress out that, we do not hesitate to vote against proposals, i.e. in 2016, we did not support nearly 18% of the resolutions.
        

24.4. Additional information. [Optional]


LEA 25. Shareholder resolutions (Private)


LEA 26. Examples of (proxy) voting activities (Private)


Communication

LEA 27. Disclosing voting activities

27.1. Indicate if your organisation proactively discloses information on your voting activities.

provide URL

27.2. Indicate if the information disclosed to the public is the same as that disclosed to clients/beneficiaries.

27.3. Indicate the voting information your organisation proactively discloses to the public.

Indicate how much of your voting record you disclose

Indicate what level of explanation you provide

27.4. Indicate how frequently you typically report voting information to the public.

27.5. Indicate the voting information your organisation proactively discloses to clients/beneficiaries.

Indicate how much of your voting record you disclose

Indicate what level of explanation you provide

27.6. Indicate how frequently you report voting information to clients/beneficiaries.

27.7. Describe any other differences in the information being disclosed. [Optional]

An annual 'Update Report' is published providing an overview of proxy voting activities and engagement. Voting records of individual agenda items at company meetings can be obtained on request.

27.8. Additional information. [Optional]


Top