The new program will offer eligible investors in certain institutional funds in the US and the UK a range of voting policies that will be applied to the voting of shares held in those funds. Voting policies offered as part of the new program will be made available to investors through Institutional Shareholder Services (ISS), a recognized independent proxy voting provider.
The voting guideline options are:
ISS Benchmark Policy
ISS Sustainability Policy
ISS Socially Responsible Investment Policy
ISS Catholic Faith-Based Policy
ISS Public Fund Policy
ISS Taft-Hartley Policy
ISS Board Aligned Policy (US only)
Our clients in separately managed accounts already have the ability to either vote their own shares directly or delegate proxy voting of their shares to our Asset Stewardship team. With the addition of this new program, investors in more than 40% of the index equity assets managed by State Street Global Advisors1 will have the ability – by the start of the 2023 proxy season – to make choices regarding how shares held in the funds and separately managed accounts they own are voted. Similar to separately managed accounts, shareholders of institutional funds that are eligible for the new program can also still choose to delegate their votes to our Asset Stewardship team.
Over time, we intend to expand investor directed voting choice to as many of our index equity assets under management as possible.
For funds where the ability to select a proxy voting policy to apply to the voting of shares held by the funds is not yet available, or for clients who want to continue to leverage our expertise, our Asset Stewardship team will continue to vote proxies for those funds and investors. No matter what option our clients choose, we remain committed to maximizing long-term shareholder value.
We take proxy voting and the stewardship of the assets we manage on behalf of clients seriously. We will continue to engage with portfolio companies to seek long-term value and mitigate risk to our clients’ portfolios through direction conversations, proxy voting and thought leadership.
1 As of September 30, 2022.
The information provided does not constitute investment advice and it should not be relied on as such. It should not be considered a solicitation to buy or an offer to sell a security. It does not take into account any investor’s particular investment objectives, strategies, tax status or investment horizon. You should consult your tax and financial advisor.
All information has been obtained from sources believed to be reliable, but its accuracy is not guaranteed. There is no representation or warranty as to the current accuracy, reliability or completeness of, nor liability for, decisions based on such information.
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Expiration Date: 12.31.23