The exercise of voting rights is a key part of our sustainability strategy, which aims to manage both traditional and ESG-related risks and contribute to the financial success of investments.
Zurich Invest Ltd uses the voting rights policy as part of ESG integration. It is therefore of great importance, as it enables us to fulfil our fiduciary duties to our customers and to comply with regulatory provisions.
First, fulfilment of the fiduciary duty to guarantee the financial security of our customers. Second, compliance with regulatory provisions in order to meet statutory requirements. In addition, exercising voting rights can influence strategic decisions at the companies in which our financial instruments are invested.
A central focus of exercising voting rights is compliance with the provisions of the Paris Agreement.
Shareholders transfer their voting rights to third parties, who participate in general meetings and make decisions on their behalf. The aim of exercising voting rights is to encourage companies to make responsible decisions and to create long-term value for their shareholders.
Shareholders can exercise their voting rights in the following ways: via general meetings, letters, emails or electronic voting via online platforms. To allow the exercise of voting rights, Zurich Invest Ltd is coordinating with consultancy company Institutional Shareholder Services (ISS), an expert in this field.
We are working with voting rights consultants ISS on the exercise of voting rights and using their framework guidelines. Building on this foundation, we have established other criteria based on our three sustainability principles.
Our voting rights policy focuses on good corporate governance, integration of climate factors, sustainability in terms of the UN-PRI and general standards for sustainable investment (SRI).
