Liontrust Responsible Capitalism Report 2021 - Flipbook - Page 5
SCOPE OF THIS REPORT
This report covers all of Liontrust’s operations and investments for
1 January – 31 December 2022. This includes data on people,
climate, the Group’s investments and stewardship activities.
While the Responsible Capitalism 2022 report contained some
information from the first quarter of Liontrust’s 2022/23 fiscal year,
the Group releases this report for the purpose of being in a position
going forward to publish calendar year end reports containing
the Stewardship Code response. References to the responses for
the Stewardship Code principles are noted in the index (pages
129–131).
TERMINOLOGY AND DEFINITIONS
The areas of ESG and sustainability can be confusing in terms of terminology. While similar terms are not identical in meaning, the market
tends to use them interchangeably.
Throughout this Report, we use the terms “ESG”, “Sustainable Investment” and “Sustainability”. These are defined by Liontrust to mean:
ESG
Sustainable Investment
Sustainability
Environmental, social and governance
related risks and opportunities that could
have a potential impact on the returns
generated by the businesses in which we
invest for our clients. ESG is or will be
integrated into investment processes in a
clear and transparent way and applied
consistently.
Refers to the Liontrust Sustainable Future
funds which are managed according
to the Sustainable Investment team’s
investment process.
Investing or acting in a way that considers
the future ramifications of today’s actions;
these are Liontrust’s efforts to apply this
philosophy across its business.
EXECUTIVE SUMMARY
This report covers the group’s Responsible Capitalism activities during
the calendar year 2022. It also contains the Group’s response to the
Stewardship Code. As such, this report outlines Liontrust’s purpose,
values, strategy (and strategic pillars) and relates these to Responsible
Capitalism. The report contains information on Liontrust’s governance
structure, how the Group assesses its own risks, and focuses on how
Liontrust mitigates those risks to which it has greater exposure and
which also fall into ESG. There are details on Liontrust’s associations
and memberships during the year and how these enable the Group
to promote well-functioning markets.
As robust investment processes are central to how Liontrust manages
funds and portfolios, this report covers them, the engagements,
and the net zero commitments (as appropriate) of its investment
teams. Information detailing each team’s stewardship activities
(engagement escalation and proxy voting) are also included.
Responsible Capitalism runs across the Group’s business: information
on client services, its own employees, and the wider community
follows the investment section. References to the Stewardship Code
are included at the end of this report for quick reference.
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