Issue - meetings
Voting and Engagement Update for Quarter Ending June 2018
Meeting: 18/09/2018 - Pension Board (Item 8)
8 Voting and Engagement Update for Quarter Ending June 2018 PDF 103 KB
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Minutes:
Bola Tobun, Investment and Treasury Manager presented a report which provided an update on the voting activities at Investors Meeting. The Pensions Board and Pensions Committee have previously agreed that the Fund should cast its votes at investor meeting in line with LAPFF voting recommendations. Members noted that there had been some discordant with the above request.
The Board noted that the LCIV had rejected the Stockholder Proposal for the Chair of the Board of Directors to be an independent director. The LCIV had advocated that the current position holder performance was good and that the Chair of the Board will continue to hold dual positions. Members commented that the LBTH LGPS was a large investor within the LCIV and that proposal should be adhered. Officers reminded members that the LCIV comprised of ‘pooled funds’ and was not a ‘separate mandate’ and that the majority view would be adopted.
Members raised questions on whether the LCIV were informed of LAPFF’s recommendation before voting and requested that Officers provide an update at the next Board. The Board held further discussions regarding voting patterns at Investors Meeting and noted that this factor could be considered when contracts are approaching for renewal.
Members noted that the LGIM had investments with Shell and had opposed the low carbon business resolution. The resolution was deemed as being ‘too prescriptive’. The LGIM has advised that it will continue to monitor its activities in alliance to the Paris Agreement. Members raised concerns over the above and commented that the London Borough of Tower Hamlets was committed to reducing their Carbon Footprint. Officers advised that the LGIM was a ‘Tracker Fund’ and sits outside the LCIV.
The Board requested that the Rio? Constitution be forwarded to Board Members.
RESOLVED
1. That Officers review voting patterns at Investors Meetings over a one year period and that findings are presented at a future Board. The report should also include information on any carbon reduction initiatives and proposals regarding remuneration. This report should be built in the annual cycle of meetings for both the Pensions Board and Pensions Committee.
2. That future reports regarding votes casted at Investors Meetings include a table which details how the votes were cast; the table should also have a separate column which gives reason for casting votes
3. That Officers ascertain whether Fund Managers are informed of LAPFF’s recommendation before votes are casted and that they report their finding at the next Board. and
4. The Officers forward the Rio Constitution? to Board Members.
Meeting: 13/09/2018 - Pension Board (Item 8)
8 Voting and Engagement Update for Quarter Ending June 2018 PDF 103 KB
Additional documents:
Minutes:
Meeting adjourned