We aim to offer advisers and their clients sustainable investment choices and challenge companies we invest in to behave more sustainably and responsibly.
We’ve set out our Responsible Investment and Stewardship Framework, supported by Stewardship and Exclusions polices. They guide our decisions on how we invest, how we select fund managers, and how we challenge the managers of companies we invest in on our customers’ behalf to improve the way they operate.
Challenging the companies we invest in to make positive changes in their business practices is at the heart of how we manage investments to create sustainable benefits in the long term for our customers, the economy, the environment and society. By doing this, we aim to protect and maximise our customers’ investments in the long term.
We won’t invest in companies that fail to meet our strict standards and we’re selling our investments in the worst offenders in areas like coal production or controversial weapons manufacturing.
We’re one of the first signatories to the 2020 Stewardship Code. The Code sets a high standard for those investing money on behalf of UK savers. Signatories must demonstrate how they’ve acted on their policies and made an impact.
We are inaugural members of the Occupational Pensions Stewardship Council, which aims to promote and facilitate high standards of stewardship of pension assets.
We’ve carried out independent research to better understand our customers’ views on responsible investment, their priorities and needs, so we’re better able to support them.
We set out to address environmental risks in our investments, as well as offering our customers the potential for better returns. Our solution was to create an innovative climate transition fund, with our investment partner BlackRock, which favours companies making the most progress on lowering their carbon emissions and improving water and waste management. The fund gives our pension savers access to the global stock market but with significantly better climate impact.
Scottish Widows Responsible Investment and Stewardship Report
Our first annual Responsible Investment and Stewardship Report outlines the progress we made in 2020 to deliver on our plans to benefit our customers’ investments and broader society.
Responsible Investment Q&A
In this short Q&A, Head of Pension Investments Maria Nazarova-Doyle outlines our approach to responsible investment.