Invesco

The financial institution publishes an engagement/stewardship report describing the outcome of engaging on sustainability impact topics and specifies that it does not make political contributions. It assigns decision-making and oversight responsibility for its sustainability strategy to the highest governance body while the implementation of the strategy is delegated to specific functions, teams, or committees. Moreover, the institution has a stewardship policy that includes criteria for what is considered a successful stewardship result, escalation routes if unsuccessful, and escalation conditions.

The institution transparently identifies the key sectors, clients, and investees for climate engagement and monitors its Scope 1-2 emissions as well as emissions resulting from its associated financing activities (Scope 3 category 15).

The financial institution has a publicly available policy statement committing to respect specific workers’ rights but could reference all ILO fundamental rights at work. It has the opportunity to disclose its method for determining a living wage in its operational regions and to include anti-bribery and anti-corruption clauses in its contracts with business relationships. Furthermore, the institution could link performance criteria for remuneration at the senior executive level to specific sustainability targets and disclose a comprehensive list of its trade association membership. While it monitors scope 3 emissions beyond financed emissions, it could specify coverage by category and detail the methodology for footprint calculation.

It is recommended that the institution disclose the breakdown of clients or beneficiaries by income group and clarify processes to prevent divestment from low-income and lower-middle-income countries due to its sustainability strategies and targets. Its risk assessment process should incorporate risks related to ILO fundamental rights at work for those affected by its products and services, with a mitigation process for identified risks. Additionally, the institution could strengthen its disclosure by identifying the social risks associated with its financing activities in relation to net zero transition.

This scorecard refers to information in English which was publicly available by July 15 2024. AuM and Total assets are stated in USD for comparability and have been calculated based on reported local currency values multiplied by applicable IMF currency converter values.