ICSWG Investment Stewardship Alignment Tool
Asset owner beliefs assessment and manager alignment analysis
About the ICSWG Alignment Tool
The ICSWG Investment Stewardship Alignment Tool helps asset owners assess whether their investment managers' stewardship activities align with their own responsible investment beliefs and expectations. It evaluates three key areas: proxy voting alignment (how managers vote on climate, governance, and social proposals), engagement alignment (thematic priorities, escalation effectiveness, and collaborative engagement), and governance overrides (willingness to vote against management on remuneration, board composition, and audit matters). Developed with input from 50+ stakeholders including asset owners, managers, and regulators.
Asset Owner Stewardship Expectations
- • Support climate shareholder resolutions aligned with Paris goals
- • Vote against directors at companies with poor climate governance
- • Challenge executive remuneration not linked to ESG KPIs
- • Against rate expectation: ≥15% on governance resolutions
- • Prioritise climate transition plans with high-emitting companies
- • Active participation in collaborative initiatives (CA100+)
- • Clear escalation pathway from engagement to divestment
- • Engagement success rate expectation: ≥60%
- • UK Stewardship Code Tier 1 or Tier 2 rating expected
- • Published rationale for significant voting decisions
- • Transparent engagement outcome reporting
- • TCFD-aligned climate governance disclosure
Alignment Summary
ICSWG stewardship alignment assessment across all managers
| Manager | Proxy Voting | Engagement | Governance |
|---|---|---|---|
| BlackRock | 82% — Strong | 74% — Adequate | 80% — Strong |
| Legal & General (LGIM) | 88% — Strong | 90% — Strong | 85% — Strong |
| State Street Global Advisors | 68% — Adequate | 58% — Developing | 72% — Adequate |
| UBS Asset Management | 64% — Adequate | 52% — Developing | 68% — Adequate |
| Amundi | 80% — Strong | 78% — Adequate | 82% — Strong |
| Schroders | 48% — Developing | 40% — Weak | 52% — Developing |
| Manager | Overall | Climate | Governance | Social | Gap Areas |
|---|---|---|---|---|---|
| BlackRock | 82% | 78% | 88% | 80% | Climate shareholder proposal support rate below expectation |
| Legal & General (LGIM) | 88% | 92% | 86% | 84% | Slight inconsistency in voting on social proposals across regions |
| State Street Global Advisors | 68% | 58% | 78% | 72% | Low support for climate shareholder proposals (4% against rate) |
| UBS Asset Management | 64% | 62% | 70% | 58% | SFDR reclassification concerns undermine confidence in ESG integration |
| Amundi | 80% | 82% | 78% | 80% | Governance voting slightly below top peers in European holdings |
| Schroders | 48% | 42% | 58% | 44% | Very low against-management rate (7%) suggests limited challenge |