Thinking Ahead Institute and PRI to create new global standard for stewardship resourcing

Rhea-AI Summary

WTW's Thinking Ahead Institute has partnered with the UN-supported Principles for Responsible Investment to enhance stewardship in the investment sector. This project involves an institutional benchmarking study to assess current practices and resourcing needs for effective stewardship. Scheduled for completion in July 2023, the initiative aims to establish best practices and provide a methodology for investors, promoting positive behavioral change in alignment with rising systemic risks. With over 55 members managing over $16 trillion, the institute emphasizes its commitment to sustainable investment.

Positive

• Collaboration with UN-supported PRI to improve stewardship practices.
• Development of best practice guidelines for institutional investors.
• Focus on real-world impact with a structured resource allocation methodology.
• Strengthened engagement among a diverse group of industry participants.

Negative

• None.

Industry guidance on stewardship will deliver real-world impact

ARLINGTON, Va., Dec. 07, 2022 (GLOBE NEWSWIRE) -- Leading global advisory, broking and solutions company WTW’s (NASDAQ: WTW) Thinking Ahead Institute (TAI) has been selected by the United Nations supported Principles for Responsible Investment (PRI) to research and assess the appropriate level of resources that institutional investors should be prepared to dedicate to stewardship within their organizations.

The joint TAI/PRI project is global and will involve an institutional benchmarking study to better understand current stewardship practices, resourcing requirements and other key costs. It will include examples of best practice stewardship by asset owners and asset managers and how their activity is monitored, measured and disclosed. In addition, it will propose a calculation methodology to estimate appropriate levels of resources that investors should be prepared to dedicate to both direct and market stewardship activities, in order to have a real-world impact.

“The investment industry is at a pivotal moment in determining its role in shaping future economies, societies and the environment around us,” said Marisa Hall, co-head of the Thinking Ahead Institute. “We are very excited to be working in partnership with PRI, our Thinking Ahead Institute membership and other engaged investors to set industry guidance for investors on stewardship resources. This is an important project aimed at encouraging positive behavioral change and increasing stewardship resources commensurate with rising systemic risks. Robust and well-resourced stewardship practices are vital to ensuring that investors are able to maximize overall long-term value. It also strongly aligns with our mission in the institute to mobilize capital for a sustainable future.”

“The PRI welcomes the opportunity to work with the Thinking Ahead Institute on stewardship resourcing. Effective stewardship relies on good practice but also on having the right level of capacity in place to make progress. As responsible investors grapple with ever greater threats from systemic sustainability issues, we look forward to working with the institute and with our signatories to help the industry better understand what the right level of resourcing is to protect long-term returns,” said Paul Chandler, Director of Stewardship.

The project will involve interested industry participants from across the size and asset-class spectrum and is expected be completed in July 2023. More information on how to get involved and apply to join the Stewardship Resourcing Working group can be found here.

About the Thinking Ahead Institute

The Thinking Ahead Institute was established in January 2015 and is a global not-for-profit investment research and innovation member group made up of engaged institutional asset owners and service providers committed to changing and improving the investment industry for the benefit of the end saver. It has over 55 members around the world with combined responsibility for over US$16 trillion and is an outgrowth of WTW Investments’ Thinking Ahead Group, which was set up in 2002.

About WTW

At WTW (NASDAQ: WTW), we provide data-driven, insight-led solutions in the areas of people, risk and capital. Leveraging the global view and local expertise of our colleagues serving 140 countries and markets, we help organizations sharpen their strategy, enhance organizational resilience, motivate their workforce and maximize performance.

Working shoulder to shoulder with our clients, we uncover opportunities for sustainable success—and provide perspective that moves you.

Learn more at wtwco.com.

FAQ

What is WTW's new project with PRI?

WTW's Thinking Ahead Institute is collaborating with the Principles for Responsible Investment to assess and enhance stewardship practices in the investment industry.

When is the WTW and PRI project expected to be completed?

The project is expected to be completed in July 2023.

What are the goals of the WTW and PRI partnership?

The partnership aims to establish best practices for stewardship and propose a methodology for resource allocation in investment stewardship.

How many members does the Thinking Ahead Institute have?

The Thinking Ahead Institute has over 55 members worldwide.

What assets do the Thinking Ahead Institute members manage?

Members of the Thinking Ahead Institute have a combined responsibility for over $16 trillion in assets.