Liontrust Responsible Capitalism Report 2021 - Flipbook - Page 21
EFFECTIVENESS OF BODIES OVERSEEING LIONTRUST’S GOVERNANCE
Governance
component
What it did in 2022
Board
Met four times in 2022; received updates
from the Head of Responsible Capitalism;
Head also worked with the Board on
stewardship related topics (reporting, net
zero, ESG integration, etc). One NED
dedicated to Responsible Capitalism and
Chair of the Board (who attended the RCC
meetings) as well as support from all NEDs.
CEO, CFO/COO Provided strategic direction and tone
from the top. Increased resourcing to help
achieve Responsible Capitalism strategy.
Effectiveness with regard to Responsible
Capitalism & stewardship
Successful
Ways in which it could improve
More frequent reports to the Board could
be provided by the Head of Responsible
Capitalism.
Successful oversight of Responsible
Capitalism in terms of considered feedback
and requests. High level of interest and
support for Responsible Capitalism.
Include Responsible Capitalism in
communications as evidence is provided.
Successful
Effective in communicating to the business
the importance of Responsible Capitalism
as part of Group strategy.
Management
Committee
(“ManCo”)
Had oversight of compliance with
regulations in the jurisdictions in which the
entities operate.
Have a regular update from Responsible
Capitalism.
Successful
Successful – the group remained compliant
in 2022.
Responsible
Capitalism
Committee
(“RCC”)
Met four times in 2022. Approved the
Group’s signatory status for NZAMi,
updated policies, and support for various
PRI and CDP-related activities.
Responsible
Capitalism team
Restructured in April 2022. Focused on
evidencing ESG integration by investment
teams, signing up to NZAMi, reporting,
updating policies, and continuing with
proxy voting administration.
Regulatory
Change Forum
Focused on keeping the business up to
date with ESG-related regulatory change
and implementation
Successful
Successful – the group has made
considerable progress in 2022 in moving
the Responsible Capitalism strategy
forward.
Successful
Successful in clarifying the message around
Responsible Capitalism and in working
with the investment teams to support their
processes. Progressed net zero plans for
the Group and reported on the Group’s
related activities in 2022.
Successful
Successful implementation of phase 2 of
SFDR, coordination of engagement on the
FCA’s Sustainable Disclosure Requirements
and Investment Labels Consultation Paper
Portfolio Risk
Committee (PRC)
Work to reduce key person risk in terms
of executing the Responsible Capitalism
strategy.
Ensured each investment team abided by
its investment process.
Successful
Assemble messages around Responsible
Capitalism that the Group can deliver to
clients to help evidence what Liontrust is
doing in this space.
Continue to be led by experts who
understand the changes in the regulation
and any resulting impact on the Group
longer term.
Ensure dedicated ESG related components
for each team are discussed along with
performance and risk parameters.
Successful – enhanced oversight of ESGrelated elements of investment processes;
implemented new ESG-related reporting.
Responsible Capitalism Report 2022 - 21