The UK’s biggest mutual insurer Royal London has signed up to the UN-backed Principles for Responsible Investment (PRI) as part of its commitment to responsible investing.
The largest UK mutual life, pensions and investment company, which manages assets of £130bn, and has around 8.8 million policies in force as of June 2019, said its alliance with the PRI highlights its pledge as an asset owner to generate good returns while making a positive contribution to society and the environment.
Royal London follows its sister company and primary asset manager, Royal London Asset Management, which became a PRI signatory in 2008.
The PRI’s six principles were developed as a voluntary guide to drive the integration of ESG factors into investment practice for asset managers and owners.
By signing up to the PRI as an asset owner, Royal London said it will ensure all asset managers it engages with are committed to integrating ESG factors into investment decisions.
Royal London stated it will also expect its asset managers to fulfil stewardship responsibilities by working with companies they invest in to improve the way they are run by voting shares, meeting with company management, or pushing for higher industry standards.
“Royal London is committed to being a responsible investor,” Isobel Langton, CEO at Royal London Intermediary, commented. “This means being a good steward of our customers’ assets and promoting responsible investment and good governance across all asset classes.”
“Signing the UN Principles of Responsible Investment and reporting against their framework demonstrates our commitment towards a more sustainable global financial system, Langton stated.