We require all managers to provide us with fossil fuel exposure information twice a year. This is used to measure progress against our divestment targets.
For additional manager monitoring, our consultant also collects firm and fund level data from managers in an ESG DDQ on issues related to responsible investment and ESG integration. This information informs decisions on individual managers and provides aggregated scores for our portfolio to monitor progress and has been used for targeted engagement with our managers discussing Responsible Investment.
During the period we also used third party ESG analytical tools to assess the underlying holdings of the fixed income and listed equity managers across our portfolio. This included ESG scoring across all three pillars, information on exposure to controversies, and carbon emission foot-printing of our portfolio.
All of this information helps us keep our own bespoke ESG scores on our managers, based on these various ESG attributes. These are in turn aggregated in the monitoring of our total portfolio held with external managers. We expect the portfolio to continue to shift in weight towards high scoring proactive managers given the ongoing emphasis on ESG, fossil fuel divestment and responsible investment in our Selection and Monitoring process.