Responsible investing
When you put money into your pension savings, our asset management business, L&G Asset Management invests it in assets such as company shares, company or government bonds (among other places) with the aim of helping your savings grow.
As well as caring about your financial future we believe that we have a responsibility to consider the effect that these investments have on the world around us. That’s why we consider environmental, social and governance (ESG) factors in our investment process.
- Environment – covers matters affecting the wellbeing of our planet.
- Social – issues that affect the fair treatment of people.
- Governance – is about the way companies are run.
Our asset management business becomes an investor in the companies it invests in and strives to effect positive change, by engaging and voting on important ESG issues to challenge them to do better. For example, L&G Asset Management can challenge a company to change its environmental policies, increase its board diversity or improve workers’ rights. It also engages with governments and regulators on ESG-related policy.
Ultimately, we believe that companies that manage ESG risks and opportunities, make better long-term investments for our members. The goal is to create better standards for the market at large to bring about more sustainable results over the long term.
Find out more on our ESG Hub.
