Driving Change: SSGA Rolls Out Sustainability-Focused Proxy Voting Framework
State Street Global Advisors (SSGA), one of the world’s largest investment managers, has introduced a new Sustainability Stewardship Service, marking a significant step forward in empowering institutional clients to sync their investments with key sustainability outcomes. The move stresses a growing demand for responsible investment practices, particularly in proxy voting and corporate engagement on environmental, social, and governance (ESG) matters.
Developed in response to feedback from institutional clients, the opt-in service provides a framework for engaging with companies and voting proxies through a sustainability-focused lens. The initiative is designed to cater to investors seeking deeper involvement in shaping sustainable business practices and was created in partnership with clients who prioritize sustainability in their investment decisions.
Available the world over to institutional separately managed account clients, the new service has already seen early adoption. SSGA confirmed that its European and UK fund ranges have chosen to match their proxy voting and engagement activities with the service’s sustainability principles.
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At the core of the Sustainability Stewardship Service is an emphasis on four priority areas: Climate Change, Nature, Human Rights, and Diversity. By focusing on these areas, SSGA intends to drive measurable impact and advocate for long-term value creation across its investment portfolios.
Karen Wong, Global Head of Sustainable Investing and Asset Stewardship at SSGA, stated, “In the ever-evolving sustainability landscape, investors need informed solutions to help them invest with confidence on behalf of their clients and members. The Sustainability Stewardship Service was developed in partnership with clients and will evolve through ongoing client input and research.”
Complementing the launch of this new service is the establishment of a dedicated Sustainability Stewardship team, tasked with implementing the service’s sustainability policy. The team will run targeted engagements with portfolio companies, participate in industry-wide sustainability discussions, and conduct in-depth research to guide strategy and practice.
To lead this critical initiative, SSGA has appointed Hannah Shoesmith as Managing Director, Head of Sustainability Stewardship. Shoesmith brings deep expertise in sustainable investing and corporate engagement, having previously held senior roles at Schroders and Hermes Investment Management.
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Ann Prendergast, Head of EMEA at SSGA, emphasized the company’s commitment to client choice: “At SSGA, we believe in providing choice. Our aim is to ensure that all our clients have the opportunity to build investment portfolios matched to their goals and preferences.”
With this launch, SSGA reaffirms its role as a leader in sustainable investing, offering tools and strategies that support clients’ investment objectives and drive progress on critical global sustainability issues.
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