Share on linkedin

Sands Capital Releases 2022 Stewardship Report

Our latest annual report offers a comprehensive view of how we add value through active stewardship.

Contributors

off

May 2023

Our second annual stewardship report reflects our commitment to provide clients and other key stakeholders with transparency into our initiatives, actions, and the progress we made in 2022. Covering our integrated environmental, social, and governance (ESG) research and active ownership, it includes discussions on key initiatives in the areas of climate change, digital ethics and modern slavery, program metrics, and case studies of our efforts to advocate for positive change through engagement and voting. We also review our contributions to promoting well-functioning markets, address systemic and potential market risks, and detail collaborations with organizations that we see playing critical roles in setting industry standards and guiding stewardship best practices.

Highlights of our stewardship efforts in 2022 include:

  • We conducted 154 engagements on ESG-specific matters with 106 portfolio businesses domiciled in 21 countries.
  • During our engagements, we most frequently addressed concerns related to human capital management, board structure or composition, and capital structure.
  • We voted on 99.7 percent of all eligible proxy items, casting 95 percent of votes in favor of management recommendations and five percent in opposition.
  • Our votes against management most frequently pertained to proposals on electing directors, compensation, capitalization, and other business “blank check” items.

The report features numerous case studies of portfolio businesses to illustrate how we have built constructive relationships with management teams through exchanging information and perspectives and influencing positive changes in their businesses. These studies provide examples of escalation, proxy voting, engagement on executive compensation, transition risk, modern slavery, and risk assessment and management.

As a collection of our most salient stewardship perspectives and relevant reporting on progress, the 2022 stewardship report is designed to be a comprehensive resource for clients, consultants, and other stakeholders and to address the reporting requirements of the UK Stewardship Code.

Disclosures:

This material is not intended as a recommendation or an offer or solicitation for the purchase or sale of any security. All investments are subject to market risk, including the possible loss of principal.

The views expressed are the opinion of Sands Capital and are not intended as a forecast, a guarantee of future results, investment recommendations, or an offer to buy or sell any securities. The views expressed were current as of the date indicated and are subject to change. This material may contain forward-looking statements, which are subject to uncertainty and contingencies outside of Sands Capital’s control. Readers should not place undue reliance upon these forward-looking statements. There is no guarantee that Sands Capital will meet its stated goals. All investments are subject to market risk, including the possible loss of principal. Past performance is not indicative of future results.

Per Sands Capital’s Proxy Voting Policy, there may be situations in which the firm may abstain from voting a particular proxy or proposal. Please refer to Sands Capital’s Proxy Voting Policy located at https://www.sandscapital.com/stewardship for additional information. All proxy proposal decisions listed are the opinion of Sands Capital and are not intended as a forecast, a guarantee of future results, investment recommendation, or an offer to buy or sell any securities.

Related Articles

Announcements
Stewardship Updates: Quarterly Reports for December 31, 2023
On a quarterly basis, Sands Capital publishes a detailed look at portfolio carbon metrics, business engagement activity and a recent case study, voting decisions, and a business impact profile.
Announcements
Chris Jenkins Named to CII’s Corporate Governance Advisory Council
Learn more about why we believe a company’s governance practices should be part of any long-term fundamental analysis undertaken to determine whether a company is a solid investment.
Announcements
Sands Capital Recognized as Greenwich Quality Leader
Sands Capital is just one of four investment managers recognized this year for the service it delivers to institutional clients. Learn why Sands Capital was recognized as a 2022 Greenwich Quality Leader in U.S. Institutional Investment Management Service.