Australian Ethical pursues opportunities to influence better management by companies of their impacts on people, animals and the environment i.e. to increase positive and reduce negative impacts. This may include influencing through private engagement, voting, public praise or criticism, shareholder resolutions and divestment. We regularly review priorities in these areas, taking into account current social, animal and environmental needs and opportunities for Australian Ethical to make the biggest difference.
Our engagement approach recognises that:
- Engagement is an opportunity to build our own understanding of companies and related social and environmental problems and solutions, and with that understanding for us to better exercise our influence for positive change.
- Investors' powers of engagement and divestment are complementary. Engagement will be more productive when there are consequences for unsuccessful engagement.
- There is a role for both private and public engagement.
- The power of engagement can be enhanced through collaborations with other investors, companies and civil society organisations. These can range from formal, tightly coordinated collaborative engagements to more loose alignments and information sharing.