Guidance

This paper outlines what voting principles are, why they are needed, how voting principles can align with Active Ownership 2.0 (the PRI’s framework for more effective stewardship). It also explains how voting principles can be developed and applied to govern shareholder resolutions.

Use this resource for the following Actions of Impact Management:

• Implement: Develop and apply high-level principles to govern voting on shareholder resolutions.

Informed by interviews with asset owners and investment consultants, and data on industry practice, this report outlines common approaches and challenges to incorporating ESG considerations and sustainability outcomes in new or existing investment mandates.

Use this resource to:

• Strategy: Explore how and to what extent asset owners can consider ESG factors when developing and designing investment mandates. Understand common approaches and challenges to incorporating ESG considerations and sustainability outcomes in new or existing investment mandates.

A framework that incorporates financial materiality and sustainability performance calibrated to progress on sustainability outcomes. This resource also considers sources of data needed to complete this picture across entities such as companies, governments and global institutions and activities.

Use this resource to:

• Identify: Identify current and forward-looking information that assesses the range of sustainable risks and opportunities.
• Measure, assess and value: Assess and interpret a company’s sustainability performance and alignment in the context of long-term sustainability goals and thresholds.

This paper sets out how investors wanting to pursue sustainability outcomes may need to adjust how they make a divestment decision or formulate an overall approach to divestment.

Use this resource to:

• Implement: Understand how to make a divestment decision or to formulate an overall approach to divestment in order to pursue sustainability outcomes.

This discussion paper details the current approaches that infrastructure investors are adopting to consider the Sustainable Development Goals as part of their investment approaches.

Use this resource to:

• Identify: Identify outcomes caused by, contributed to and linked to their infrastructure investors, in relation to the SDGs.
• Implement: Understand the methods by which infrastructure investors can achieve desired SDG outcomes. Ensure that outcomes in line with the SDGs are integrated into infrastructure investment processes.

Active Ownership 2.0 is a framework for the more ambitious stewardship needed to deliver against beneficiaries’ interests and improve the sustainability and resilience of the financial system.

Use this resource for the following Actions of Impact Management:

• Implement: Shape sustainability outcomes by engaging in more effective and assertive stewardship activities.

The Principles for Responsible Banking (PRB) provide target-setting guidance on topics such as Resource Efficiency & Circular Economy, Biodiversity, Financial Health & Inclusion, Climate and Gender Equality.

Use this resource for the following Actions of Impact Management:

• Set targets and plan: Set targets in line with the requirements of the UN Principles for Responsible Banking.

The Due Diligence for Responsible Corporate Lending and Securities Underwriting provides a common global framework for financial institutions to identify, respond to and publicly communicate on environmental and social risks associated with their clients. Its aim is to advance human rights and positive outcomes for people through investor stewardship.

Use this resource for the following Actions of Impact Management:

• Implement: Cease, prevent or mitigate negative impacts, and provide for or cooperate in remediation where appropriate.

The Guidance provides practical support to enterprises seeking to implement of the OECD Guidelines for Multinational Enterprises, through plain language explanations of its due diligence recommendations and associated provisions.

This is a cross-cutting resource, meaning that it supports the internal impact management process as a whole, rather than one or a few of the Actions of Impact Management.

The Protocol sets out the UN-convened Net-Zero Asset Owner Alliance Alliance’s approach to target setting and reporting. The first edition of this Protocol focused on the period 2020–2025. This second edition also outlines the ambition towards 2030.

Use this resource to:

• Set targets and plan: Set science-based targets on financed emissions using short-term targets for a 1.5 degree Celsius aligned, net-zero world by 2050.