UTAM has publicly endorsed the Stewardship Principles of the Canadian Coalition for Good Governance (CCGG), along with more than 20 other institutional investors.

The CCGG’s Stewardship Principles are intended to help institutions investing in Canadian public companies to be active and effective stewards of their investments. They were designed for both asset owners and asset managers.

“Stewardship for institutional investors means fulfilling their responsibilities as fiduciaries in meeting their obligations to their beneficiaries or clients,” the CCGG states in the introduction to the principles. “Stewardship is intended to enhance the long-term sustainable creation of value, so companies and their investors can prosper and, in the process, benefit the market and society as a whole.”

CCGG’s Seven Stewardship Principles

Institutional investors are encouraged to apply the following stewardship principles:

Principle 1 – Develop an approach to stewardship

Institutional investors should develop, implement and disclose their approach to stewardship and how they meet their stewardship responsibilities.

Principle 2 – Monitor companies

Institutional investors should monitor the companies in which they invest.

Principle 3 – Report on voting activities

Institutional investors should adopt and publicly disclose their proxy voting guidelines and how they exercise voting rights.

Principle 4 – Engage with companies

Institutional investors should engage with portfolio companies.

Principle 5 – Collaborate with other institutional investors

Institutional investors should collaborate with other institutional investors where appropriate.

Principle 6 – Work with policy makers

Institutional investors should engage with regulators and other policy makers where appropriate.

Principle 7 – Focus on long-term sustainable value

Institutional investors should focus on promoting the creation of long-term sustainable value.

The CCGG represents the interests of institutional investors in promoting sound corporate governance practices among Canadian public companies. UTAM joined the organization in 2008. Our President and CIO, Daren Smith, was appointed to the CCGG’s board of directors in 2019, and he was appointed Vice-Chair of its Environmental & Social Committee earlier this year.

“UTAM is pleased to endorse the CCGG’s Stewardship Principles, which offer concrete steps investors can take as part of a comprehensive stewardship program,” says Smith. “We encourage other institutional investors to implement these principles in their activities.”

For more information about the principles, please visit CCGG’s website.