Time for shareholders to speak up on climate

Given the growing costs of climate change, it is more important than ever for shareholders to support climate resolutions this AGM season.

Shareholders play a crucial role in reducing greenhouse gas emissions and climate-related risks. As part of the investment process, shareholders frequently engage with portfolio companies seeking to improve corporate climate readiness and reduce climate emissions.

Shareholder engagement tools include active dialogue, filing of shareholder resolutions where necessary, voting on resolutions and even escalation to the board level where companies remain non-responsive.

See also: What Amazon’s AGM revealed about shareholders’ ESG priorities

By using these engagement tools, including voting in favour of climate-related resolutions, investors can underscore their expectation that issuing companies take responsibility for aligning their full value chain emissions with global climate goals.

At the time of writing, investors were poised to vote on As You Sow climate proposals at Travelers, Mosaic, Exxon and Chevron.

Read the full comment in ESG Clarity’s June 2023 digital magazine

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