The new UK
Stewardship Code contains principles and guidelines for all
institutional investors, although it is largely focused on
asset managers investing for institutional clients. Asset managers, as significant
investors in most listed companies, have been under increasing
pressure to act as responsible shareholders.
The Financial Reporting Council has
recently published on its website a list of those
institutional investors who have signed up to
the Stewardship Code. The endorsement of
the Stewardship Code by
72 institutions so far, including 52 asset managers,
represents a critical mass of investors and demonstrates the
momentum being obtained in relation to ensuring effective
stewardship of listed companies. The attached briefing
therefore focuses on the key advantages for asset managers in
ensuring they comply with the Stewardship Code.
Please contact your usual corporate finance contact
or one of the briefing's authors, Adam Kirby or Sarah
McKellar, if you would like to discuss any of the matters
arising out of this briefing.