News March 2022 FRC encouraged by investors embracing the spirit of the UK Stewardship Code

FRC encouraged by investors embracing the spirit of the UK Stewardship Code

10 March 2022

The FRC has today published an updated list of signatories to the UK Stewardship Code. This now includes successful applicants who submitted their report at the end of October 2021. The FRC received 105 applications which was substantially more than expected, of which 74 were successful. This takes the number of signatories to 199[1], including asset managers with £33 trillion in global assets under management[2]. It is a positive sign that so many investors and service providers want to demonstrate their commitment to effective stewardship.
 
There was an encouraging level of applications from organisations that were previously unsuccessful. Many have addressed the feedback given by the FRC and have provided better quality reporting of their stewardship activities. In November 2021, the FRC published Effective Stewardship Reporting: Examples from 2021 and expectations for 2022 which contained guidance on good practice reporting. The FRC encourages all signatories and applicants to read this for information on how to improve critical areas of reporting including reporting on market-wide and systemic risks, non-listed equity, outcomes and engagement. 
 
Mark Babington, Executive Director of Regulatory Standards, said:
 
“We are pleased that many previously unsuccessful organisations have provided stronger and better tailored explanations on how they apply the Code to more effectively demonstrate their stewardship activity and outcomes. We commend those that have embraced the spirit of the Code and responded to our feedback by substantially reviewing their approach to provide clear, comprehensive and outcome-based reporting.”
 
Following wide engagement with stakeholders the FRC has decided not to differentiate (or tier) signatories to the Code from 2022. Asset owners, investment consultants and investment managers felt that standard to become a Stewardship Code signatory is already high and that the FRC should focus on encouraging more of the market to reach this standard.  The deadline for submitting annual stewardship reports and any new applications will be the 30th of April 2022.

New additions to the list of Stewardship Code signatories:

Aikya Investment Management Limited
Amati Global Investors Limited
ATLAS Infrastructure
Avon Pension Fund
Baring Asset Management Limited
Barnett Waddingham LLP
BMO Global Asset Management
Border to Coast Pensions Partnership Ltd
Buck Consultants (Administration & Investment) Limited
Cambridge Associates Ltd
Capita Pension Solutions Limited
COMGEST GLOBAL INVESTORS, S.A.S
Cumbria Local Government Pension Scheme
Devon County Council Pension Fund
DHL Group Retirement Plan
Dundas Partners LLP
EdenTree Investment Management Limited
Edinburgh Partners Ltd
Epoch Investment Partners
Fisher Investments Europe, Limited
Fulcrum Asset Management LLP
Goldman Sachs Asset Management
GuardCap Asset Management Limited
Guinness Asset Management
Harding Loevner
Hayfin Capital Management LLP
Insight Investment
Intermediate Capital Group PLC
Isio Group Ltd
J Stern & Co
Jaguar Land Rover Pension Trustees Limited
Lazard Asset Management
Lincolnshire County Council Pension Fund
Local Pensions Partnership Investments Ltd
London Borough of Lambeth Pension Fund
Lothian Pension Fund
Minerva Analytics Ltd
Morgan Stanley Investment Management
Neuberger Berman Europe Limited
Ninety One plc
Nomura Asset Management U.K. Limited
Panarchy Partners
Payden and Rygel
Pensions & Investment Research Consultants Limited (PIRC Limited)
PGIM Fixed Income
PIMCO Europe Ltd
Polar Capital LLP
Premier Fund Managers Limited
Principal Global Investors (Europe) Limited
Pyrford International Ltd.
Quinbrook Infrastructure Partners Limited
Rathbone Brothers Plc
Rothschild & Co Wealth Management UK Limited
Russell Investments
Schroders
Seven Investment Management
Smith and Williamson Investment Management LLP
State Street Global Advisors
Storebrand Asset Management
T. Rowe Price
Tesco Pension Trustees Limited and Tesco Pension Investment Limited
Teviot Partners LLP
The Board of the Pension Protection Fund
The Co-operative Pension Scheme (Pace)
TOBAM
Trinetra Investment Management LLP
Troy Asset Management Limited
TT International Asset Management Ltd.
UK Government Investments Limited
Unigestion (UK) Ltd
Wales Pension Partnership
Wesleyan Assurance Society
Western Asset
WHEB Asset Management

 
[1] Up from 125 in September
[2] Up from £21 Trillion in September