In view of the large number of companies in which SSPF has investments, the policy will be implemented in steps. - First, shares managed by Shell Asset Management Company followed by externally managed shares;
- Geographical location: developed markets followed by emerging markets;
- Market capitalisation: large caps followed by small caps;
- Materiality: priority is given to companies in which SSPF has the greatest exposure or a relatively large stake;
- Investment category: only shares for the time being; later also (corporate) bonds, real estate, private equity and other alternative investments.
In the long term, the Pension Fund will endeavour to exercise its shareholder vote in all companies in which it invests, wherever possible. If necessary, it will engage in a dialogue with the management of companies without seeking publicity. The Pension Fund favours remote voting over being present at shareholders’ meetings, and will not exercise any shareholder rights with regard to Royal Dutch Shell plc. |
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In order to achieve this the Pension Fund uses a specialised service provider with which it agrees a clear modus operandi. The Pension fund remains in control at all times. The objectives for 2008 are: - To conclude an agreement with an engagement services provider;
- To determine, in consultation with the service provider:
- corporate governance test criteria based on existing criteria and on other principles relating to Global Compact;
- the companies that will be actively monitored in 2008;
- an action plan to expand the number of these companies;
- the possibilities for establishing a limited exclusion policy, preferably in (international) industry context, if companies act clearly in breach with legislation and agreements; - To sign the United Nations Principles for Responsible Investment.
The Pension Fund publishes quarterly reports on the execution of the policy on its website. |