Engagement Process

The Storebrand Group believes in exercising our rights as shareholders. We employ two main ways of doing this, either through voting at shareholder meetings or direct company engagement by expressing our views, in writing or orally, to the company's management, advisers or Board of directors.

Both methods can be very effective in addressing ESG concern and provide complementary signals to companies on where we stand on important issues.

The decision to engage with companies is based on our assessment of the significance of a particular matter, holding size, scope to effect change and opportunities to collaborate with other investors.

The Storebrand Group will consider engagement with companies in the following cases:

  • Serious or systematic breaches of human rights
  • Corruption and bribery
  • Serious environmental and climate damage
  • Companies with a low sustainability rating in high risk industries
  • Company strategy or performance differing substantially from that previously communicated
  • Governance issues such as:
  • Replacement of directors
  • Equity issuance and dividend policies
  • Remuneration of key personnel
  • Transactions between related parties
  • Diversity issues
  • Improve ESG reporting

In relation to climate change, the Storebrand Group has signed the Montréal Pledge and the Portfolio Decarbonisation Coalition and is thus committed to reducing the carbon footprint of our investments over time.

For some of our funds, due to the nature of their investment style, the carbon footprint may vary substantially over time. We are, however, committed to working with our holdings to reduce their carbon footprint and operate more efficiently over time. Climate change plays a key part in our monitoring of companies and we often engage with those we consider lagging in their efforts to reduce their carbon footprint and encourage them to improve.

Engagement alternatives

If the outcome of engaging with companies fails to meet our expectations, the Storebrand Group may consider other actions. If the company is on our observation list, we will make an exclusion assessment. For other companies, our actions may include:

  • Expressing our views publicly
  • Proposing resolutions at the company’s Annual General Meeting
  • Requesting an Extraordinary General Meeting

The Storebrand Group may engage in collaboration with other investors where we believe this to be in the best interests of our unit holders.

When working with other investors to influence companies, the Storebrand Group is always mindful of conflicts of interests and of being put in an insider position.

Related Content

Active Ownership

Results of our work on active ownership

Document Library

Storebrand's Engagement Forum

Storebrand's Engagement Forum supervises, selects and prioritizes all engagement initiatives. It is also a place where active ownership and engagement best practice is discussed. It includes financial analysts as well as ESG analysts and the head of Storebrand Asset Management. The forum reports to Storebrand Asset Management's board.

A fund having performed well in the past is no guarantee for future returns. Other factors with an impact on how a fund may perform in the future include market developments, the fund manager's performance, the fund's risk profile, and management fees. When the shares a fund is invested in decline in value, it may lead to negative returns.