Sustainable, Responsible &/or ESG Policy:

It is the investment team’s belief that non-financial considerations such as ESG are a third dimension of investing, alongside return and risk. The team acknowledges that consideration of ESG-related factors in investment analysis can help to mitigate risk and/or identify opportunities that may benefit from the ESG-related trends.

For its funds, the team sees ESG considerations as part of an investment toolkit that can help in its macro analysis, fund research and also in underlying fund managers' stock analysis.
 
It is important to note that no decisions are taken because of ESG scores or ESG analysis alone. Rather, these observations are used to complement other aspects of the team’s own independent research.

ESG is embedded throughout the investment process, both from a top-down and bottom-up perspective.

Asset allocation

As macro thinkers, ESG considerations naturally form part of the team’s top-down macro research efforts. The VOTE framework drives the team’s tactical asset allocation views. The VOTE framework encompasses a comprehensive set of inputs to facilitate the team's qualitative assessment of markets and asset classes. Here, the team fundamentally grades each asset class and market on the basis of the following factors - Valuations (V), Other factors (O), Technicals (T) and Earnings/Economics (E). Where appropriate, ESG is considered within each of these elements, however, it is within ‘Other’ where ESG is most pertinent. Considerations within this area include politics and policy.

Major political changes such as a shift from one party to another for instance impact the perceived country risk of a particular economy while social factors such as income inequality play an important role in determining a country’s growth potential. While the team finds that ESG issues, per se, may or may not be determining factors of our economic analysis, they do nonetheless form part of our overall evaluation.

Fund selection

Summit Responsible invests in a range of Invesco ESG ETFs. These are selected on the basis that they are expected to yield similar risk/return profiles (through high correlation and low tracking errors) to traditional regional equity, corporate bond and government bond benchmarks, but with improved ESG characteristics compared to such traditional benchmarks.

With the aim of achieving 100% Responsible Investments (excluding cash), the Underlying Funds selected by the Multi-Asset team typically aim to track indices and follow all, or some, of the following methodologies to deliver responsible outcomes:

1. Negative ESG screening by which certain sectors may be excluded.
2. Positive ESG screening or tilting increasing overall exposure to those companies demonstrating a robust ESG profile and/or a positive trend in improving that profile.
3. Sustainability focused selection with exposure to issuers and instruments linked to activities that positively contribute to certain environmental or social sustainability objectives such as companies in a specific sector or industry

Where the Range has exposure to government bonds, this will be through Underlying Funds comprised of bonds issued by developed market governments that the team assess as meeting certain ESG criteria. The ESG assessment of these exposures harnesses the Invesco Fixed Income team’s sovereign proprietary ESG rating which rates 160+ Sovereign issuers with an A to E score. The fund will invest in issuers whose rating in our proprietary tool is an A or B.

Each fund or ETF within the portfolio is reviewed on at least a quarterly basis and will undergo a comprehensive due diligence review at least once a year. These are intended to monitor whether funds are behaving in line with expectations and to determine whether there have been any meaningful changes to the relevant team’s views and/or positioning.

Engagement

The Multi-Asset Strategies team’s engagement is typically top-down, carried out at a national, industry and regulatory level. Lead manager for the fund range, David Aujla, is engaged with several organisations on responsible investment matters, particularly around the ‘S’ in ESG and on topics such as how financial services can drive social mobility. He founded and co-leads the Diversity Project’s Social Mobility workstream, which seeks to improve socio-economic diversity within the investment and savings industry.

Top-down engagement is complemented with bottom-up efforts where, as a firm, we exercise our rights as active owners to encourage continual improvement in the companies that we invest in. Together with our Global ESG team, we may escalate concerns along a broad escalation hierarchy, such as engaging directly with the company’s board and/or senior management, collaborating with fellow shareholders or sponsoring service provider engagement.

Process:

Investment process

The investment process comprises asset allocation, fund selection, and portfolio construction:

Stage 1: Asset allocation

The asset allocation stage determines the asset classes owned and the proportions in which they are owned. There are two key steps in this stage:

• Strategic asset allocation: The starting point is SAA, which ensures that each portfolio is aligned to its intended risk profile, while seeking to maximise return potential. The Multi-Asset Strategies team is fortunate to be able to access this expertise via the firm’s in-house global Invesco Solutions team. It is this team’s proprietary 10-year capital market assumptions (CMAs) - risk and return estimates for each asset class - that drives these long-term allocations.

• Tactical asset allocation: Each portfolio’s final positioning is determined by the Multi-Asset Strategies team’s TAA views, which seek to exploit relative value opportunities between asset classes and markets on a one-to-three-year time horizon. This stage of the process is driven by the team’s fundamental VOTE framework, which combines the Multi-Asset Strategies team’s deep macro experience and Invesco’s extensive investment capabilities.

The VOTE framework encompasses a comprehensive set of inputs to facilitate the team's qualitative assessment of markets and asset classes. Here, the team fundamentally grades each asset class and market on the basis of the following factors; valuation, other, technicals and earnings/economics. Each market is graded on an A to E scale determining those markets the team believes should be tactically overweight, underweight, or neutral.

Stage 2: Fund selection

While the asset allocation stage of the process determines which markets (and how much of those markets) should be owned, fund selection is concerned with determining how these markets are accessed and in ensuring the underlying funds selected deliver on the intended ESG outcomes.

Summit Responsible takes relatively little active risk (i.e. typically has low tracking error) as it is designed to deliver a market-like experience with ESG improvements vs a non ESG-comparator.

To achieve this, the range invests in Invesco’s ESG exchange-traded funds (ETFs), which are selected on the basis that they are expected to yield similar risk/return profiles (through high correlation and low tracking errors) to traditional regional equity, corporate bond and government bond benchmarks, but with improved ESG characteristics compared to such traditional benchmarks.

As a responsible range, Summit Responsible targets a more broad-church approach to ESG, not necessarily a sustainable or impact approach. Therefore, while certain exclusion criteria are applied, a tilting approach within the underlying ETFs is favoured which means overweights towards higher scoring or positive ESG momentum companies.

Importantly, the methodology used is industry neutral so that we don’t end up with significant over-weights to certain sectors or regions as some other ESG funds do. This ensures that this range of funds is more balanced and less skewed to style factors like growth and value or to sectors like technology and oil & gas.

Ultimately this also means that the range has exposure to all the 11 equity GICS sectors (which helps achieve a ‘market-like’ experience) though applies exclusions and positive tilting within sectors to improve its ESG characteristics.

The adopted methodology therefore tends to provide a more balanced outcome for investors in relation to the customary trade-off between tracking error and ESG improvement potential.

With the aim of achieving 100% Responsible Investments, the underlying ETFs selected by the Multi-Asset Strategies team typically follow four key index methodologies to deliver responsible outcomes.

The four index methodologies used are:

• MSCI ESG Universal Select Business Screens Index
• FTSE All Share ex Investment Trusts ESG Climate Select Index
• S&P 500 ESG Index
• Bloomberg MSCI Liquid ESG Weighted Bond Index.

To varying degrees, each methodology adheres to three set of principles listed below. 

1. Negative ESG screening by which certain sectors may be excluded.
2. Positive ESG screening or tilting increasing overall exposure to those companies demonstrating a robust ESG profile and/or a positive trend in improving that profile.
3. Sustainability focused selection with exposure to issuers and instruments linked to activities that positively contribute to certain environmental or social sustainability objectives such as companies in a specific sector or industry

Where the range has exposure to government bonds, this will be accessed via Invesco ETFs which meet certain ESG internal criteria but are not inherently ‘ESG’ funds (i.e. such funds do not meet Article 8 or 9 of SFDR or equivalent local regulation). The ESG assessment of these exposures harnesses the Invesco Fixed Income team’s sovereign proprietary ESG rating which rates 160+ Sovereign issuers. The Summit Responsible range will invest in issuers whose rating in our proprietary tool is an A or B.

Once selected and part of the portfolio, due diligence on each ETFs is performed at least on a quarterly basis and will undergo a comprehensive due diligence review at least once a year. This is intended to: 

• Ensure that at least 80% of each of the five fund’s assets (excluding cash and cash equivalents) are invested responsibly.
• Review any methodological changes of the underlying ETFs. This is supported by regular interaction with the Invesco ETF team.
• Review that the methodologies in use by the underlying ETFs remain relevant to the changing requirements of responsible investing. This is supported by regular interaction with Invesco’s ESG team.
• Monitor whether the underlying ETFs are behaving in line with expectations.
• Review if alternative funds exist that would improve the risk, return or ESG criteria of the Summit Responsible Range.

The Multi-Asset team benefits from excellent access to information on underlying ETFs as well as regular engagement with their fund managers.

Where an underlying ETF has ceased to be suitable (for example, due to a change or deterioration in its ESG characteristics in the opinion of the Multi-Asset team), funds part of the Summit Responsible range may continue to hold such investment until such time that it is possible and practicable, in the team’s view, to liquidate the position.

The team also monitors and measures each fund’s performance with metrics and indicators such as the fund’s ESG score, ESG rating and carbon intensity. This is done by aggregating data from the underlying ETFs and third-party data providers. The team compares this against the same indicators for a relevant comparable broad market index to measure the attainment of the environmental and/or social characteristics promoted by the Range.

Each fund’s ESG characteristics is outlined in monthly factsheets which have an ESG addendum.

Stage 3: Portfolio construction

Before final portfolios are determined they are analysed by the on-desk dedicated risk manager who provides detailed risk analysis to the fund managers. This is to ensure that the funds are aligned with intended risk profiles and that the risk exposures are consistent across the portfolios and aligned with the views of the investment team.

The contributors to portfolio risk, both absolute and relative, are decomposed to ensure that risk is well balanced, in-line with expectations and that no unintended biases or skews exist. Scenario analysis is also undertaken to understand how the portfolios may have behaved in given historical environments, and ‘what-if’ analysis to understand what may happen in forward-looking, or hypothetical, scenarios. 

Resources, Affiliations & Corporate Strategies:

Invesco Global ESG Team

Created in 2013, Invesco’s dedicated Global ESG team is responsible for leveraging best practices in ESG capabilities across Invesco including ESG integration, voting and engagement, supporting distribution teams with client engagement, and advising product teams on ESG innovation.

Our Global ESG team acts as a center of excellence to guide, support and inform Invesco's investment teams on all work in this area. The team is organized across five pillars:

• Client: Guides messaging and training for distribution teams, engages clients on ESG issues, and supports product strategy.
• Research: Conducts proprietary ESG research and collaborates with investment teams on engagements.
• Proxy: Provides guidance on governance issues and supports development of our PROXYintel voting platform and Global Proxy Voting Policy.
• Analytics: Manages ESG analytics, data vendor selection, portfolio screening and reviews.
• Operations: Project manages ESG initiatives and manages the scheduling and organization for the ESG team.

The team includes 35 ESG professionals (as at 30 June 2024) located in North America, Asia Pacific, and EMEA who provide localized support and analysis to our investment teams across the globe. 

Our ESG professionals collaborate closely with these investment teams, providing support, insights and analysis while investment teams maintain discretion on portfolio decisions. Our governance structure enables oversight and accountability through the ESG Steering Committee, while allowing our investment teams to integrate ESG approaches tailored to their asset classes and styles. 

The Global ESG team's five pillars allow the team to support ESG efforts across specific functions firm-wide. The team's geographic structure also ensures that most Invesco teams have an appropriate local contact. The ESG Steering Committee, asset class-specific investment teams, and firm-wide functional units also collaborate with Global ESG team members from each of the five pillars. 

Each investment team has a unique approach to incorporating ESG considerations, as defined in its investment process and appropriate for the respective asset class. To support this effort, Invesco has dedicated ESG specialists and ESG champions within individual investment teams across the globe. These individuals are closely connected with the Global ESG team and formally collaborate via the ESG Steering Committee.

Governance oversight structure

Invesco’s Executive Leadership Team (ELT) is tasked with establishing the firm’s culture and ensuring all employees are aware of their own responsibilities for risk management, including on ESG matters. As such, with the oversight of Invesco’s Board of Directors, the ELT is responsible for establishing and maintaining our risk management framework and for ensuring that risk management is embedded in our day-to-day decision-making, as well as our strategic planning process. Invesco’s global risk management framework supports our focus on key risks in all areas of the business, including strategy and governance, investments, clients, people, operations and financial risk, and enables consistent and meaningful risk dialogue up, down and across the organization.

Our risk management framework leverages two primary governance structures: The Global Performance and Risk Committee, which oversees the management of core investment risks, and the Enterprise Risk Management Committee (ERMC), which oversees the management of all other business and strategy related risks. A network of regional, business unit and specific risk management committees, with oversight of the ERMC, provides ongoing identification, assessment, management and monitoring of risk to ensure both broad and in-depth, multi-layered coverage of the risks existing and emerging in the various domains of Invesco’s business.

Given the importance that Invesco places on ESG at an investment level, Invesco has a governance structure across multiple dimensions, which enables oversight and accountability for effective stewardship.

Investment Team Leadership. Invesco believes the best outcomes are achieved through distinct investment teams across the globe, with discrete investment perspectives, operating under a disciplined philosophy and process. Teams incorporate environmental, social, or governance related considerations where relevant or required to achieve portfolio objectives. Investment team leaders have responsibility for overseeing the implementation of investment strategies including those with ESG related objectives or incorporating ESG factors.

Invesco’s Global ESG Team acts as a center of excellence, responsible for investment team support and analysis related to ESG risks and opportunities, voting and engagement, supporting the distribution teams with client engagement, and advising product teams on ESG innovation, while investment teams maintain discretion on portfolio decisions. The team comprises circa 30 professionals located across three regions: North America, Asia Pacific and EMEA. The team is organized across four pillars that define their major responsibilities: Client, Research, Proxy and Analytics.

The ESG Executive Steering Committee (ESG Executive Steerco) establishes strategic direction for and implementation of ESG related investment management initiatives at Invesco. The Committee is composed of representatives from Investments, Distribution, and many functional areas. It provides direction for resource allocation and operational implementation while facilitating communication across the firm. The Committee aids in fostering global collaboration on ESG issues, enabling us to benefit from diverse perspectives and maintain consistent standards. Alongside various cross-functional working groups, it encapsulates our inclusive approach to ESG, ensuring a purposeful, holistic strategy that aligns with client objectives.

We have created a variety of working groups across the organization in support of delivering ESG related investment capabilities. Some groups are tasked with delivering on a specific initiative or facilitating collaboration across an asset class or region. Others are designed for providing broad communication about current themes or regulation, tools or resources such as data, or they focus on evergreen priorities including proxy voting.

Invesco's Global Invesco Proxy Advisory Committee is guided by our philosophy that investment teams should manage proxy voting. It is a global investments-driven committee comprised of representatives from various investment management teams and chaired by the Director of Proxy Voting and Governance. The committee provides a forum for investment teams to monitor, understand and discuss key proxy issues and voting trends within the Invesco complex, to assist us in meeting regulatory obligations, and to consider conflicts of interest in the proxy voting process.

Assurance

Invesco’s Internal Audit department provides independent, objective assurance and consulting services which are designed to add value and improve the firm’s operations. Internal Audit provides these services on an ongoing basis through a systematic, disciplined approach to evaluate and improve the effectiveness of risk management, control and governance processes. All business units globally, including ESG investing and proxy voting activities, are subject to Internal Audit oversight. The department generally performs testing related to ESG matters as part of Invesco’s annual audit plan.

Additionally, the Global Compliance department's annual testing plan seeks to assess compliance in key risk areas, avoiding duplication of testing and considering other control reviews, including internal audits. Our Compliance Monitoring team seeks to apply testing standards consistent with regulatory expectations in each region in which Invesco operates, and reports findings to senior management of Compliance and other impacted business functions. For example, in 2020 the Compliance Monitoring team conducted an advisory review of proxy voting in North America. The purpose of this review was to provide guidance and recommendations around the region's proxy voting process, to evaluate whether policies and procedures were reasonably designed and to determine how effectively the controls in place comply with regulations.

Invesco is an active member and supporter of several external organisations, largely via our global investment teams. Following is a representative list of current affiliations.

A member of:

• 30% Club Japan Investors Group
• Asian Corporate Governance Association (ACGA)
• Asia Investor Group on Climate Change (AIGCC)
• Better Building Partnership (BBP)
• Bipartisan Policy Center ESGTask Force
• Carbon Disclosure Project
• Coalition for Climate-Resilient Investment (CCRI) (founding member)
• Climate Bonds Initiative
• Confluence Philanthropy (Associate Advisor Menu)
• Corporate Responsibility Interface Center (CRIC) (DACH countries)
• Council of Institutional Investors (CII) (US)
• Disclosures and Labels Advisory Group (DLAG)
• Farm Animal Investment Risk & Return Initiative (FAIRR)
• Global Real Estate Sustainability Benchmark (GRESB)
• EFAMA Sustainable Finance Committee
• ESG Disclosure Study Group (Japan)
• Hong Kong Green Finance Association (HKGFA)
• Investment Company Institute (ICI) (ICI Fund Disclosure Working Group, ICI Global ESG Task Force, and ICI Proxy Issues Working Group)
• Investment Association (UK)
• Investor Forum (UK)
• Institutional Investors Group on Climate Change (IIGCC), including Net Zero Investment Framework working group
• Italian Sustainable forum (ItaSIF)
• Investment Management Education Alliance (IMEA)
• Irish Funds ESG Legal committee
• Quoted Companies Alliance (QCA)
• Responsible Investment Association (RIA) (Canada)
• Responsible Investment Association Australasia (RIAA)
• SASB Alliance
• Task force on Climate-Related Financial Disclosures (TCFD) (Supporter and Discloser), TCFD Consortium
• Transition Pathway Initiative
• Task force on Nature-Related Financial Disclosures’ (TNFD) Forum
• UK Sustainable Investment and Finance Association (UKSIF)
• World Economic Forum Financing the Transition to a Net Zero Future Working Group

A signatory to:

1. Principles for Responsible Investment (PRI)
2. EFAMA Stewardship Code
3. Indian Stewardship Code
4. Japan’s Stewardship Code
5. UK Stewardship Code
6. Net Zero Asset Managers Initiative

Additionally, GRESB provides the basis for the reporting, scoring and peer ranking of Invesco Real Estate's (IRE’s) ESG management and policies:

• IRE has submitted data to GRESB since 2012 and has been a GRESB member since 2014.
• In 2023, four IRE-managed strategies achieved five out of five Green Stars, placing them in the top 20% of all global submissions in 2023.

Source: Invesco as at 30 June 2024. 

ESG Resources

ESG data continues to evolve at a rapid pace, while the industry also faces challenges such as data comparability and coverage. At Invesco, we believe having quality data on ESG factors is critical for effective investment analysis to support our stewardship efforts in the area of ESG. We continue to enhance our ESG data and analytics capabilities by building out and updating our proprietary tools.

ESGintel

Launched in 2020, ESGintel is a proprietary ESG research and ratings platform that provides insights on key ESG topics for corporate and sovereign issuers across a range of metrics and data points. Available to all investment teams, this tool enhances the ESG investment process by:

• Highlighting ESG factors with potential investment implications
• Storing ESG engagement notes
• Facilitating ongoing monitoring of issuer progress towards sustainable value creation

ESGintel Corporate ratings

When assessing ESG funds and strategies, ESGintel Corporate provides users with ESG ratings based on Invesco’s internally developed methodology, ratings trends and momentum information, and access to the underlying company-level data. Sector and sub-sector materiality lenses are applied within the framework, ensuring that companies are evaluated on the most relevant ESG topics according to their business activities. A variety of underlying indicators feed into the topic-level assessments, providing a holistic view in each of these key areas. Topic-level ratings are aggregated into E, S and G theme ratings and input, operations and output value chain ratings.

ESGintel ratings are provided on a 1–5 scale at the overall, theme, value chain, topic and indicator levels. Computations are based on absolute, sector/sub-sector relative or region-relative performance as appropriate, specified on an indicator-by-indicator basis. ESG Corporate ratings are updated weekly to reflect the most current information available. In addition to ratings, company rankings are provided at the sub-industry and country levels. The ESGintel platform has built-in analytical capabilities that enable point-in-time and historical comparisons between companies and user-selected peers.

Not all issuers are covered on ESGintel; currently, approximately 15,000 companies meet our minimum coverage criteria for creating an overall ESG rating. Furthermore, the tool leverages a machine-learning algorithm to impute missing datapoints for a company based on data observations at companies with similar characteristics. ESGintel’s transparent interface highlights where such approximations are used and enables analyst scrutiny of the underlying inputs.

ESGintel Sovereign ratings

Responding to feedback from investment teams, Invesco has also expanded ESGintel beyond corporate ratings to cover other asset classes, including sovereign debt. With over 20 inputs, ESGintel Sovereign (previously called SovereignIntel) generates a score for countries across E, S and G categories that can then be aggregated into an overall ESG score. ESGintel Sovereign provides an internal rating, a rating trend and a global ranking out of 160 countries that are updated on a monthly basis.

Engagement Notes

With the Engagement Notes function, investment teams can upload any of their own company-level ESG research or engagement notes to share this insight with others across Invesco. Using this function, the Global ESG Research team has uploaded all of its historical ESG research and engagement reports, so these are all available on the platform. 

ESGCentral

While ESGintel is primarily used as a research tool at the issuer level, ESGCentral is a platform that includes ESG portfolio analytics and ESG screening.

ESGCentral brings in 40+ ESG data sources—together covering more than 52,000 companies and ESG data metrics—and integrates them with Invesco’s ESG portfolios and benchmarks to provide a holistic portfolio-level ESG analytics capability. The platform’s data fueled ESG insights highlight ESG opportunities and risks within the portfolios. The tool enables users to screen the portfolios for positive and negative ESG screens, net zero, Article 8, sustainable/responsible investing and other ESG frameworks. Through these capabilities, the platform supports ESG compliance, risk management, ESG reporting, and regulatory initiatives such as SFDR and TCFD. As a result, ESGCentral provides clear differentiation to Invesco’s ESG approach.

FocusIntel

FocusIntel is a list of the highest ESG risk issuers across all of Invesco’s aggregated holdings that identifies top-priority issuers for engagements using ESGintel’s research and data points. The Global ESG Research team maintains this list, which categorizes issuers into High/Medium/Low ESG risk buckets and compliance status (when assessing specific ESG funds and strategies). 

Our proprietary tools have built-in feedback processes to encourage continuous improvement, gathering users’ feedback regarding issues, observations and requests on sources, data and methodology.

ESGintel’s research and datapoints to helps to identify the highest ESG risk issuers at an aggregate level for Invesco (all the holdings of an issuer are aggregated across the portfolios in Invesco). Ownership and ESG risk materiality criteria are applied on the aggregated holdings and the issuers are segregated into high/medium/low buckets, signifying the ESG risk of the issuers. The Global ESG Research team collaborates with investment teams to engage with highest risk issuers and understand the path issuers are taking to mitigate the ESG risk and influence the issuers to bring a positive change towards ESG issues.

PROXYintel

Invesco’s proprietary proxy voting platform, PROXYintel, is a global knowledge-share platform that tracks proxy votes and rationales across Invesco with respect to individual companies and proxy issues. PROXYintel facilitates the implementation of voting decisions and rationales across our global investment teams. Launched in 2014 and patented in the US, the platform tracks proxy votes and rationales in real time, and investment teams are able to view votes cast by other shareholders within Invesco. This tool helps to build institutional knowledge across the Invesco complex with respect to individual companies and proxy issues.

PROXYintel integrates:

• Meeting information and proxy ballots
• Vote execution and vote rationales
• Invesco global proxy voting guidelines
• Client-customised voting policies
• Third-party proxy research
• ESG ratings
• Conflicts of interest
• Historical proxy vote record keeping
• Client reporting
• Ballot and vote reconciliation
• Security lending
• Account/data maintenance
• Custodian/vendor management

Users directly input proxy votes with the ability to view votes cast by shareholders within Invesco. PROXYintel tracks proxy votes and rationales real time. Historical proxy voting information is stored to build institutional knowledge across the Invesco complex with respect to individual companies and proxy issues. Certain investment teams also use PROXYintel to access third-party proxy research and ESG ratings. This proprietary system facilitates internal control and oversight of the voting process.

External ESG Resources

Invesco uses external service providers to support our stewardship activities, including ESG rating providers, proxy research, business involvement screening, carbon data and more. Data from these service providers feeds into our proprietary tools and supports in-house ESG research and analysis, enabling investment teams to make informed decisions. We consider various factors in reviewing third-party data providers prior to integrating the data into our investment decision-making framework, such as whether the data provided is the most up-to-date information available.

We ensure that data providers are providing the most up-to-date information prior to being integrated into our investment decision-making framework. Through our ESG Data Governance Model, we undertake due diligence to ensure they are providing on-time deliverables such as ESG data, research and recommendations. We are constantly evaluating vendors to ensure our investment teams and clients are given the most current information.

 
Invesco's Global ESG team has access to a variety of external resources, shown below, leveraging external organisations for collaborative engagement and knowledge sharing:

• ESG Research Providers:
• Sustainalytics
• MSCI
• Bloomberg 
• Institutional Shareholder Services (ISS)
• Sell-side research
• SG analytics
• Clarity AI
• Vigeo Eiris 
• Equileap
• Just Capital
• Morningstar
• Nikko Research Center
• Farm Animal Investment Risk & Return (FAIRR)
• Net Zero Tracker
• Proxy Insight
• Carbon Disclosure Project
• Carbon Underground 200
• Transparency International
• Transition Pathway Initiative (TPI)
• Science Based Targets Initiative
• Climate Bonds Initiative
• International Energy Agency
• UN Human Development Index
• Worldwide Governance Indicators (WGI)
• Sustainable Development Goals (SDG) Index
• Environmental Performance Index
• Child Rights Benchmark

Proxy Voting Research and Vote Recommendations:

• Glass Lewis
• ISS
• Institutional Voting Information Service (IVIS) (UK Equities)

ESG Policies

Invesco is committed to adopting and implementing responsible investment principles in a manner that is consistent with its fiduciary responsibilities to clients. Our ESG website provides details of our commitment to ESG investing, and summarizes the various ways Invesco applies ESG principles as investors and how we live them as an organization. The site also provides a range of global ESG policies, statements and reports, including:

• ESG Investment Stewardship Report outlines Invesco's accomplishments, reaffirming our commitment to global stewardship and detailing how our endeavours reinforce this core mission.
• Invesco’s Policy Statement on Global Corporate Governance and Proxy Voting describes Invesco's commitment to responsible investing and proxy voting, as well as the good governance principles that inform our approach to engagement and voting at shareholder meetings. 
• Invesco's Corporate Responsibility Report outlines Invesco’s efforts to ensure the well-being of our people through a culture of inclusion and innovation. We also share details on our new hybrid work model that provides greater flexibility and work -life balance for employees while they continue to provide excellent service to our clients.
• Invesco's Task Force on Climate Related Financial Disclosures (TCFD) Report seeks to build on our past experience and provide a comparable, investor-relevant disclosure on our activities and capabilities in climate-aware investing.
• Invesco’s Approach to Sustainability Preferences outlines Invesco's work to consider principal adverse impacts in our investment decision-making processes, discusses our investor-led approach to sustainable investments, and explains what it means to invest in EU Taxonomy aligned investments.
• Invesco Group Global Remuneration Policy that complies with the SFDR requirements.

SDR Labelling:

Unlabelled with sustainable characteristics

SDR Literature:

• Consumer Facing Disclosure