APG requires its external managers to monitor and report on compliance with our Exclusion Policy. In addition, external managers are required to complete an annual survey that includes questions on Responsible Investment (RI). Through this survey managers are asked to describe changes in and examples of their RI policy, initiatives and collaboration, governance of RI, integration of ESG issues and engagement activities
APG has developed a methodology which compares the approach to RI of different listed equity external managers to their peers, which can also track improvements from one year to another. This methodology was introduced in 2013 and has been used annually ever since. As a result of the annual questionnaire, several external managers have shown interest in working with APG on improving their RI policies and practices.
APG has developed and uses advanced ESG processes to be able to integrate ESG considerations in the investment selection and monitoring for alternative assets. APG pays attention to the underlying manager's ongoing compliance with its own RI framework and would also expect to be informed about any changes to an external manager's RI policies. Managers in Real Estate and Infrastructure are required to participate in the GRESB or GRESB Infra benchmarks.