This discussion paper is aimed to support Alliance members and other asset owners in exercising their fiduciary duty by advocating for climate policy action – through their asset managers – that aligns with the asset managers’, and their underlying portfolio companies’, stated commitments to mitigate climate change.

Specifically, the Alliance outlines key principles for assessing:

  • asset managers’ own climate policy engagement activities, and 
  • asset managers’ stewardship of their investees’ policy engagement activities.

The Alliance also advises asset owners to integrate this assessment into their selection, appointment, and monitoring (SAM) processes of asset managers.

The best practices are organised into four themes, each featuring a key principle covering governance, alignment, stewardship practices, and transparency.