Responsibility in action
Evidence of our track record on engagement, voting and advocacy
True engagement and advocacy takes time, expertise and dedication. Many asset managers talk a good game; few do it well. What does it require on a day-to-day basis to achieve and sustain integrity in stewardship?
The power of engagement
Returns
7.1%
Assets
$1.45tn
Objectives
1,041
Governance
27%
Companies
81%
Voting: Coverage
128,101
Voting: Resolutions
22,716
Voting: Themes
134
Source: Federated Hermes as at 31 December 2023.
Creating impact through the SDGs
Our SDG Engagement Equity and SDG High Yield Credit capabilities seek outperformance through impact. Through engagement, they focus on helping companies improve to support delivery of the Sustainable Development Goals (SDGs).
SDG-driven engagement in 2023
SDG Engagement Equity
SDG Engagement High Yield Credit
Collaborating for change
As engagers, we aim to catalyse initiatives, create and strengthen relationships, heighten ambitions and accelerate progress on achieving sustainable outcomes for all stakeholders. In doing so, we recognise that companies ultimately deliver change supporting the delivery of the SDGs.
Women in STEM
Sustainable land use
Employee wellbeing
Circular economy
Carbon-emissions reduction
Corporate governance
Human-capital management
Recycling and waste reduction
Cobalt supply chains
Renewable energy
Human rights
Water use
Collaborating for change
As engagers, we aim to catalyse initiatives, create and strengthen relationships, heighten ambitions and accelerate progress on achieving sustainable outcomes for all stakeholders. In doing so, we recognise that companies ultimately deliver change supporting the delivery of the SDGs.
Source: Federated Hermes as at 31 December 2023.
Advocating progressive policies
Our involvement in investment and sustainability organisations enables us to help shape the policy architecture governing markets in a way that supports the delivery of enduring, responsible wealth creation.
As a business, we are a member of
76
that focus on or support the integration of sustainability and investment.
Our people are on boards or committees of
21
of them, including…
Credit risk and ratings
Academic networks
Plastics
Water risk in agricultural supply chains
Global policy
Palm oil
Labour practices in agriculture supply chains
4
groups within the Institutional Investors Group on Climate Change we are a member of:
Sustainable finance
Policy
Investment aligned with the Paris Agreement
Property
Saker Nusseibeh, CBE, our CEO, Federated Hermes Limited, is in
advisory roles:
- Impact Investing Institute Advisory Council
- Value Reporting Foundation Council
- FCA-PRA Climate Financial Risk Forum
- United Nations Environmental Programme Financial Initiative (UNEP-FI) Steering Committee
- The 300 Club
- UN Business and Human Security Initiative Advisory Board
EOS at Federated Hermes Limited, our stewardship team, is an active contributor to policy formation. In 2023, it conducted:
responses (or their
proactive equivalents).
Seeking to do business the right way
Through actions in industry groups and consultations with regulators, we aim to contribute to an investment and financial system that works for all stakeholders.
Key elements of responsible investing
Which analytical tools and disciplines separate the best from the rest?
Our definitions
Seeking clarity on responsible investing? We provide the definitions that we stand by.
Want to know more about our focus on enduring, responsible wealth creation?