Please explain why you do not engage directly and do not require external managers to engage with companies on ESG factors.
Galliard’s SSA investments are primarily U.S. Government Guaranteed, U.S. Agency, and U.S. based Municipalities. Our engagement process is evolving, but at this time we do not currently engage with the U.S. Government. Given the size and liquidity of the U.S. Government debt market, the impact of our investments is an insignificant component of the market. Additionally, our client and Stable Value contract guidelines frequently require a minimum in U.S. Government.