We exclude companies with confirmed violations of international norms and conventions, where the service provider and ourselves have had to give up with engagement due to lack of progress.
At the end of 2019 none of the portfolio companies screened by external provider for us were on the Exclusion List. In the universe that we are following at the external provider, there were 35 companies on the Disengage (exclusion) List.
The portfolio managers are enabled to engage with companies on issues that we find to be unsustainable and in conflict with our principles of RI. The portfolio managers will then decide, on a case by case materiality basis, whether it will be in the best interest of our clients to continue the engagement process or to sell the investments if we believe they are not committed to changing to sustainable business behaviour.