The Wales Pension Partnership (WPP) has appointed Robeco to run its voting and engagement services following a comprehensive procurement process.
As part of the selection, Robeco will develop and frame a voting policy to be implemented across all of the Local Government Pension Scheme (LGPS) pool's £5bn active equity portfolio. It will also work on structuring engagement principles and undertaking engagement activity on behalf of the pool.
Robeco will also assist with integrating best practice into WPP's investment process and decision-making framework, and provide ongoing training and reporting to the pool and its constituent authorities.
As of 31 December, the WPP managed around £5.3bn of assets on behalf of eight local authority funds: Cardiff, Clwyd, Dyfed, Gwynedd, Powys, Rhondda Cynon Taff, Swansea, and Torfaen.
WPP joint governance committee chairman Councillor Peter Lewis said: "We believe that responsible investment, alongside proactive management of ESG issues, should result in better outcomes for WPP's stakeholders.
"The appointment of Robeco is evidence of the WPP's continued delivery of the commitments made in its responsible investment policy and its vow to exercise its voting rights in line with the interests of its stakeholders, engaging with investee companies to enhance the long-term value of the constituent authorities' investments within WPP."
Robeco UK head Peter Walsh added: "Winning this mandate builds on our solid traction in the LGPS sector and I am proud of the confidence that WPP has placed in our longstanding experience in sustainable investing.
"We look forward to a long and productive partnership. Together we aim to drive positive, sustainable change by leveraging on our extensive engagement and voting expertise."
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