In accordance with its founding documents, the FRR’s voting rights are exercised by the asset managers it has selected and in the FRR’s sole interests.
The guidelines on the exercise of voting rights incorporate all of the elements specific to the FRR but must be sufficiently wide to also account for jurisdictional particularities (both in France and internationally). The FRR’s aim is to capitalise on managers’ knowledge and ability to respect the practices in force in the various financial markets. Managers may also have regard to these local practices on matters that are not covered by the FRR’s voting guidelines.
This process, conducted through its asset managers, enabled it to take part in 1,336 shareholder general meetings in 2023 and to vote on more than 19,000 resolutions in the countries comprised in its developed markets equities portfolio. Its managers took part in 99.2% of the voting general meetings.
The FRR’s Managers voted on resolutions proposed by management at general meetings at a ratio of 76.45% FOR and 23.55% AGAINST. Note that there were also a significant number of resolutions on exceptional executive compensation and on climate, diversity and inclusion. Resolutions on “Say on climate” continued their progress. Shareholders’ demands are reflected by gradually diminishing levels of support. The FRR pays close attention to the factoring in of non-financial aspects, particularly social, societal and environmental, by boards of directors, to consideration of the recommendations of the TCFD and diversity not only on boards of directors, but also within the executive committees of the companies of which it is a shareholder.