BlackRock Throgmorton Trust's approach to ESG
The Board recognises that Environmental, Social and Governance (ESG) issues can present both opportunities and risks to long term investment performance. An assessment of these issues forms an important part of the decision making process of the Company’s Manager, BlackRock, which determines whether the Company will invest in, or divest of, the securities of a company. These considerations also guide the Manager in its reviews of portfolio companies and its assessment of the issues on which to engage with investee companies, how this is best done and whether or not to support proposals put to shareholders.
BlackRock therefore incorporates material ESG information and consideration of sustainability risks into investment decisions in order to seek to enhance risk-adjusted returns. ESG insights and data, including sustainability risks, are considered as part of the investment process, including company research and portfolio construction. These ESG insights are not the sole consideration when making investment decisions; ESG integration does not change the Company’s investment objective and the extent to which ESG insights are considered during investment decision making will also be determined by other factors including, for example, the portfolio company’s sector and operations.
The Board receives periodic updates from the Manager in respect of the Manager's stewardship activities. Details of how the Manager voted on proposals put by portfolio companies to shareholders can be found in the latest Annual Report at the link provided.