Stewardship Asia Centre Launches New Edition of Singapore Stewardship Principles for Responsible Investors

The improved ideas have been based mostly on suggestions from {industry} contributors and burdened the significance of stewardship outcomes.

SINGAPORE – Media OutReach – 31 March 2022 – Stewardship Asia Centre (SAC) right now launched the second version of the Singapore Stewardship Ideas (SSP) for Accountable Buyers, updating practices to boost Singapore’s funding atmosphere.

The revisions have been pushed by a 10-member steering committee, supported by the Financial Authority of Singapore (MAS) and the Singapore Trade (SGX).

Singapore first launched the ideas in 2016, outlining practices associated to the core behaviour and actions related to stewardship to advertise energetic and accountable funding. Since then, capital markets have undergone profound developments as world issues intensified over the impression of economic investments on the financial system, society and the atmosphere. Stakeholders emphasised that traders ought to develop into higher stewards by demonstrating a real intent to ship sustainable efficiency and long-term worth to shoppers and beneficiaries, in addition to to think about environmental, social and governance (ESG) issues. The steering committee took under consideration the worldwide market developments in shaping the ideas. An {industry} survey was carried out in March 2021 to garner suggestions from the asset administration {industry} on their perspective of funding stewardship. This was adopted by an open session to acquire stakeholders’ suggestions on the draft of the up to date SSP in November 2021.

“We acquired suggestions from greater than 20 stakeholders. These suggestions have been considered to boost the ideas within the areas of inside constructions and governance, stewardship past listed corporations, and ESG issues. We urge the monetary companies and funding {industry} to undertake the up to date SSP and make a larger dedication in the direction of accountable funding,” stated Rajeev Peshawaria, CEO of SAC.

An as industry-led initiative, compliance to the ideas stays voluntary. Nevertheless, below the improved SSP, signatories are strongly inspired to submit proof of their stewardship efforts yearly to the secretariat of the steering committee.

Abigail Ng, Govt Director and Head of Markets Coverage and Infrastructure Division of MAS, stated: “MAS is supportive of SAC and the {industry}’s collective efforts in updating the Singapore Stewardship Ideas. Efficient stewardship requires a multi-stakeholder method by market contributors together with asset house owners, asset managers and repair suppliers. Accountable funding stewardship will help increase company governance requirements, drive constructive change and create sustainable long-term worth for all stakeholders – not only for the person firm or investor, but in addition for the broader financial system, atmosphere and society. That is consistent with MAS’ efforts to advertise sustainable financing in our monetary sector. We strongly encourage market contributors to develop into signatories of the SSP and to co-create sustainable enterprise worth in an atmosphere of fine governance.”

“SGX helps the up to date Singapore Stewardship Ideas for Accountable Buyers. Institutional traders, by way of their funding methods, play an necessary function within the allocation of capital to corporations. Institutional traders can form the practices of their portfolio corporations by way of energetic stewardship and their funding choices. That is particularly pertinent with the market’s elevated deal with ESG issues and outcomes. With institutional traders partaking actively with corporations, I hope SGX-listed corporations might be extra motivated in the direction of creating and sustaining long run worth,” stated Tan Boon Gin, CEO of Singapore Trade Regulation.

Business contributors, together with asset managers and asset house owners, welcome and assist the up to date ideas.

Amar Gill, Head of Funding Stewardship for APAC, BlackRock, stated: “The up to date SSP and its enhanced rigour reflecting worldwide developments and native traits in stewardship and company governance are welcome steps in the direction of making a constructive funding ecosystem in Singapore. Its steerage will assist managers like us and firms themselves shield and advance the financial pursuits of long-term traders like our shoppers.”

Sherene Ban, CEO of Singapore and Southeast Asia of J.P. Morgan Asset Administration (JPMAM), stated: “Energetic possession is woven into our energetic administration heritage and we continuously evolve our sustainable investing method to maintain tempo with the altering necessities of our shoppers and regulators. The renewed ideas, together with monitoring investments recurrently, staying energetic by way of constructive and purposeful engagement, and taking a collaborative method in exercising stewardship duties, are consistent with JPMAM’s method to stewardship and engagement.”

Prudential Singapore’s CEO Dennis Tan stated: “Within the drive for sustainability, each voice issues. We’re proud to be an SSP signatory as its ideas are aligned with our method to accountable funding. By means of energetic engagement with corporations in our funding portfolio, we intention to realize our net-zero goal by 2050. We look ahead to working collectively to additional our dedication to making a stronger, more healthy future for all.”

Manish Tibrewal, CEO of Maitri Asset Administration, a multi-family workplace, stated: “Given the complexities of managing ESG points, common communication and collaboration type a key a part of how we interact with our portfolio corporations. At Maitri, we continuously align ourselves with industry-leading requirements to interact with our portfolio corporations. This has enabled us to trade information and additional hone our ESG experience in a clear method so each investor and investee are continuously forward of the curve in relation to adapting to the most recent ESG traits.”

For extra details about the up to date ideas, also called SSP 2.0, please click on right here or go to http://www.stewardshipasia.com.sg/websites/default/information/2022-03/SSP_Forpercent20Responsiblepercent20Investorpercent202.0.pdf.

Notes to Editors:

Steering Committee of SSP 2.0:

About Stewardship Asia Centre (SAC)

SAC is a non-profit organisation established by Temasek, devoted to serving to enterprise and authorities leaders, traders and people activate stewardship practices by way of analysis, govt schooling and engagement. We outline stewardship as creating worth by integrating the wants of stakeholders, society, future generations and the atmosphere.

#StewardshipAsiaCentre #SAC

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