Shadow Boards Engagements

Borrowing from activist hedge funds playbook is something mainstream institutional investors need to seriously contemplate.

• The issue of limited engagement success, in the absence of large-scale divestments, remains a perennial ESG hurdle that the responsible investing industry is yet to resolve. Building on this, I would like to focus on engagement in the context of net zero transformation, and why the current engagement model is not fit for purpose.

• The transition to a sustainable net zero economy requires a fundamental transformation of sectors, industries, and business models. Transformations of this nature require a deep understanding of the micro and macro factors underpinning the value creation and capture process of a multitude of companies and industries. The knowledge base for this understanding tends to exist within companies, at the board level and not at the shareholder level.

Source: https://www.linkedin.com/pulse/shadow-boards-engagements-nawar-alsaadi-fsa-sipc