Smith & Williamson are signatories to the United Nations supported Principles for Responsible Investment and the UK Stewardship Code. As such this means that we are Responsible Investors, so we seek to invest our client portfolios in businesses that operate in a responsible manner. In practice this means that we incorporate the Environmental, Societal and Governance (ESG) issues, as well as financial issues when building a portfolio, and we use stewardship (active ownership including voting) to encourage firms to improve their ESG reporting and strategic thinking, so that all relevant factors are properly considered when assessing risk and reward. What it doesn’t mean is that we are imposing our own values on our clients. As bespoke discretionary managers clients are free to tilt their portfolios to their own constraints.
COP26: the implications for investors
The stakes were high for COP26, amid grim warnings that the human race was at two minutes to midnight on tackling climate change. It marked the start of the ‘decisive decade’: scientists have made it clear that drastic changes need to be made in the next ten years to limit global warming to 1.5˚.
Human capital is indeed capital
COVID-19 crisis brought human capital into the spotlight for investors. Human capital is one of the essential assets a business needs to produce the goods and services it sells. It is also an important determinant of the value of companies’ intangible assets and hence of their overall value.
Fast fashion and the legacy of a pandemic
03/03/21 - 2020 proved devastating for countless communities, industries and nations. The fashion retail sector has been hit hard, facing store closures and a drop in customers as more and more people were plunged into economic uncertainty. Notable casualties have included Oasis, Warehouse, TM Lewin, Edinburgh Woollen Mill, M&Co, Peacocks, Jaeger and, of course, Arcadia, owner of the Topshop brand. The Centre for Retail Research has estimated that UK retail administrations this year will have affected over 95,000 employees.
The UN Sustainable Development Goals
Responsible Investment Policy
S&W Voting Policy
S&W SRD II Engagement Policy
TS&W Sustainability Disclosure policy
Carbon Pricing Primer
Is COVID-19 the end of Responsible Investing?
30/04/2020 - Over the past few years Responsible Investing, often known as (Environmental, Social and Governance (ESG), has surged in popularity, with more investors wishing to influence positive change with their money. The wider investment industry came to understand that more responsible companies are likely to still be trading in the long-term. However, for every trend there are critics.