Our governance and responsible investment policies are based on well-established corporate governance principles, supplemented by the team's expertise and experience. Our Global Corporate Governance & Responsible Investment policy summarises the overall principles we expect companies to adhere to from an ESG perspective worldwide. The policy sets out our broad principles on board structure, shareholder rights, remuneration, sustainability including climate change, audit and risk management. These policies are continually evolving and reviewed regularly to reflect the changing corporate landscape and regional differences.
Our Global Corporate Governance & Responsible Investment policy is supplemented by region-specific expectations for major developed markets (UK, North America, and Japan) which set out local contexts to the way companies should be governed.
Supplementing these policies we also have a separate climate change policy, and new separate policy documents providing more detail on LGIM’s approach to engagement, voting and the integration of ESG.
The Global Corporate Governance & Responsible Investment policy and the additional supplementary policies are approved by the LGIM Board Corporate Governance Committee. Policies are reviewed annually and updated when required.
Our policies form the starting point for our engagement, voting, integration and product development strategies. This includes company engagement, as well as forming the basis for engaging with governments, regulators and stakeholders.
In applying the policies to current and future products, these may differ in application within the individual funds, reflecting the wide range of mandates, asset classes and strategies we offer and manage.