Our engagement policy
METROPOLE Gestion has established a policy of engagement to encourage companies to improve their ESG performance.
Our engagement is expressed through:
- Exercising the voting rights attached to securities held in the portfolio, as part of a voting policy published on our website (under Regulatory Information).
- Direct dialogue with issuers as a means of detecting ESG risks and influencing the strategy of companies analysed.
The forms our engagement takes
METROPOLE Gestion takes action whenever it identifies ESG risks or opportunities for improvement in the companies in which it is invested.
Concretely, this engagement may take three forms: individual, thematic and/or collective engagement.
Individual engagement refers to action taken directly by METROPOLE Gestion by means of dialogue with companies and the exercise of voting rights on ESG resolutions.
Thematic engagement stems from studied reflection, conducted and reviewed annually, on specific themes (e.g. reducing carbon emissions, water consumption, waste recycling, etc.).
Collective engagement is pursued by means of joint/concerted action through international initiatives, investor groups or associations, with the aim of reinforcing influence on companies.
METROPOLE Gestion enacts its engagement by exercising voting rights on ESG issues, in accordance with its voting policy.
METROPOLE Gestion has set up an organisation to coordinate all the information necessary for the exercise of voting rights attached to securities held in those portfolios for which it has responsibility for the exercise of such rights.
METROPOLE Gestion’s approach is in principle favourable to resolutions on ESG issues put to the vote.
We also intervene in advance of shareholders’ meetings in order to address and possibly influence the content of proposed resolutions on the agenda, to ensure that it aligns with the interests of minority shareholders and complies with our principles of governance.
Whenever it deems necessary, METROPOLE Gestion reserves the right to put questions to companies, to refuse resolutions or to support external resolutions.
METROPOLE Gestion enacts its engagement through dialogue with companies during interviews with CSR managers and senior executives.
As part of the Responsible Value management process, METROPOLE Gestion makes some 450 company visits a year. Interviews are held at least once a year and on average three to four times a year for the companies held in our portfolio.
Such dialogue enables us to gain a clearer understanding of the company’s ESG issues and a deeper insight into the risks identified, to detect risks not identified during ESG rating, and to influence the direction of company strategy.
As part of this dialogue, METROPOLE Gestion encourages companies to show greater transparency on ESG matters, for example by publishing their ESG strategies, policies and results.
Our engagement policy and engagement report are available to investors.