Liontrust Responsible Capitalism Report 2021 - Flipbook - Page 23
Governance and investment in systems, processes,
research and analysis
Liontrust’s governance teams continue to invest in systems to enhance
the Group’s ability to provide the best possible service to clients.
These include enhancements to the Group’s internal IT platforms to
ensure the Group can report on data and topics in which clients
and stakeholders are interested (such as emissions and diversity).
In 2022, extensive planning and scenario testing was undertaken
to determine which, if any, IT systems could be enhanced. Also in
2022, discussions began on the best way to amalgamate ESGrelated information to more efficiently evidence the ESG integration
work that Liontrust’s investment teams undertake (as appropriate).
Work on this continues.
In terms of research and analysis, Liontrust supports its investment
teams by purchasing research from brokers and other providers
to enhance the investment analytics undertaken by the Group’s
investment teams. This research (and expense) is reviewed annually
to ensure the teams are receiving the most appropriate research for
their needs.
In 2022, Liontrust’s Responsible Capitalism team undertook
analysis of ESG research providers (considering ESG data
collection, analysis and reporting capabilities) as part of its due
diligence on its third-party research providers. The team examined
the capacity of multiple third parties to analyse and report on fund
carbon emissions as well as on other, varied, aspects relating to
ESG issues. This work continues in 2023.
Governance enables stewardship
Liontrust’s governance structure, oversight, and focus on Responsible
Capitalism create an environment in which stewardship and ESG
integration can thrive. As stated above, the Group’s executives and
Board fully support Responsible Capitalism. There are checks and
balances in place to ensure that Responsible Capitalism-related
policies are followed and that the investment teams adhere to their
investment processes, including the elements of ESG integration,
where applicable. All of these components enable and support the
investment teams’ voting their proxies and engaging on material areas,
as appropriate. Liontrust reports annually on its Responsible Capitalismrelated activities through a number of various reports, including this
publication, the Group’s TCFD, CDP and PRI submissions.
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