Sustainable Investing

We believe the active consideration of environmental, social and governance (ESG) factors in the investment analysis and decision-making process enhances our ability to meet the long-term objectives of our funds and provides greater insight into investment risks across time frames. Proxy voting and engagement with the companies in which we invest is fundamental in driving positive portfolio outcomes. We believe in being transparent in our approach and progress.

Our sustainable investment approach

We have a well-established model for integrating ESG factors, including integration into the investment process through investment manager selection and mandates, engagement and proxy voting, reporting, advocacy and research. In certain cases we may also exclude certain activities and companies from our investible universe on the basis of ESG risks and/or client preferences.

This activity is undertaken within the investment team supported by dedicated ESG service providers and asset consultants including Hermes Equity Ownership Services and Regnan — Governance Research & Engagement.

Download the Advance Sustainable Investment Approach to find out more.

Reporting to the PRI

BT Financial Group (BTFG) has been a signatory to the Principles of Responsible Investment (PRI) since 2007. BTFG undertakes a range of reporting, including annual reporting to the PRI, a public version of which can be found below. A significant component of the BTFG PRI response relates to the activities of Advance.

Reporting on engagement and proxy voting

We are active owners and undertake engagement with companies and proxy voting to drive positive portfolio outcomes. Refer to the Advance Sustainable Investment Approach and the BT Financial Group Stewardship Policy to find out more about our approach.

We use a combination of engagement approaches, but primarily engage through Hermes Equity Ownership Services (EOS) for global shares and Regnan – Governance Research & Engagement (Regnan) for domestic shares. Reporting on their engagement activities is provided below.