FinanceMap scores this financial institution in the following areas. Please navigate to the relevant tab for in-depth analysis
FinanceMap assesses these portfolios for this financial institution. Please navigate to the relevant tab for in-depth analysis.
Fossil fuel companies are those whose primary sector falls within coal mining and services, or up-, mid-, and downstream oil and gas sectors. Green companies are defined as companies having over 75% revenue deriving from Substantial Contribution to Mitigation activities under the EU Taxonomy.
Portion of AUM Assessed: $161B
| Holding Name | Contribution to Sector Production |
|---|---|
| Kansai Electric Power Co Inc | 24.6% |
| Electric Power Development Co Ltd | 16.8% |
| Kyushu Electric Power Co Inc | 14.3% |
| Tokyo Electric Power Company Holdings Inc | 10.8% |
| Tohoku Electric Power Co Inc | 10.1% |
| Chubu Electric Power Co Inc | 7.3% |
| Hokkaido Electric Power Co Inc | 5.1% |
| Shikoku Electric Power Co Inc | 4.0% |
| Sembcorp Industries Ltd | 1.3% |
| Enel SpA | 0.4% |
| Holding Name | Contribution to Sector Production |
|---|---|
| Toyota Motor Corp | 35.9% |
| Honda Motor Co Ltd | 20.7% |
| Suzuki Motor Corp | 18.6% |
| Nissan Motor Co Ltd | 9.9% |
| Mazda Motor Corp | 6.8% |
| Subaru Corp | 4.4% |
| Mitsubishi Motors Corp | 1.8% |
| BYD Co Ltd | 0.8% |
| Tesla Inc | 0.3% |
| General Motors Co | 0.1% |
| Holding Name | Contribution to Sector Production |
|---|---|
| Coal India Ltd | 31.8% |
| Peabody Energy Corp | 20.5% |
| Glencore PLC | 17.2% |
| China Coal Energy Co Ltd | 10.7% |
| Yankuang Energy Group Co Ltd | 10.1% |
| Exxaro Resources Ltd | 2.8% |
| Alamtri Resources Indonesia Tbk PT | 2.5% |
| China Shenhua Energy Co Ltd | 1.8% |
| Inner Mongolia Yitai Coal Co Ltd | 0.9% |
| United Tractors Tbk PT | 0.7% |
| Holding Name | Contribution to Sector Production |
|---|---|
| Inpex Corp | 30.4% |
| Japan Petroleum Exploration Co Ltd | 14.5% |
| Mitsui & Co Ltd | 12.3% |
| ENEOS Holdings Inc | 8.5% |
| Tokyo Gas Co Ltd | 6.4% |
| Osaka Gas Co Ltd | 4.5% |
| Idemitsu Kosan Co Ltd | 3.6% |
| Chevron Corp | 3.1% |
| Exxon Mobil Corp | 1.9% |
| Cosmo Energy Holdings Co Ltd | 1.8% |
Sumitomo Mitsui Trust Holdings is a financial group company with the primary asset management subsidiary Sumitomo Mitsui Trust Asset Management (SMTAM), which is assessed below. Nikko Asset Management is a subsidiary of the Japanese financial group that operates as a distinct entity for the purposes of asset management engagement and voting. The engagement profile for Nikko Asset Management is available here.
SMTAM appears positive on climate. The asset manager has a climate engagement strategy that informs selection of companies to engage with as well as desired climate outcomes such as reduction of GHG emissions and setting long-term and intermediate targets. It appears to follow an engagement structure with broad milestones for tracking progress. The asset manager has not provided a defined escalation response, but has demonstrated the use of escalation for unsuccessful engagements, including divestment.
SMTAM appears to be actively engaging companies on climate change. For example, its engagements with an unnamed company led the company to announce internal carbon pricing and enhance disclosure of emissions, and its engagements with Ameren led the company to review GHG emissions reduction targets and set a net zero by 2050 target. The asset manager does not appear to be engaging companies on climate policy influence. It is a highly active collaborator on climate, leading engagements with CA100+ at several Asian companies and representing Asia on the CA100+ Steering Committee.
SMTAM has outlined the roles of its different stewardship-related governance teams, and appears to review its stewardship policies and activities. It is partially transparent about engagements, providing several case studies but only providing names for global companies. The asset manager discloses all proxy voting data along with voting rationale.
It has demonstrated some use of shareholder authority, sending a letter of support to a shareholder proposal made by Ceres and PRI Engagement partners.
Insightia data indicates that SMTAM did not meet the minimum threshold to assess support of AGM resolutions InfluenceMap categorizes as in line with the Paris Agreement. Therefore, the asset manager has not been scored on InfluenceMap's climate-relevant voting query.
FinanceMap's methodology to measure the engagement process on climate was developed in consultation with several of the world's leading asset managers and uses key aspects of the UK Financial Reporting Council's 2020 Stewardship Code . The Stewardship Code was chosen to benchmark engagement quality as it provides an ambitious framework and detailed definitions of what constitutes effective engagement. FinanceMap defines the term ‘engagement’ as referring to all investor actions undertaken to influence the management strategy of the companies they own including private communications with corporate management and appointed advisors; questions at AGMs/other company meetings; comments on the company in the media; escalation and the shareholder resolution process (filing, voting behavior). FinanceMap’s methodology breaks the engagement process down into a set of sub-activities and looks for evidence associated with these across publicly available data sources.
Climate-relevance categorization of shareholder resolutions is based on the IPCC’s Special Report on 1.5°C and its concluded need for “rapid and far-reaching transitions in land, energy, industry, buildings, transport, and cities.” FinanceMap scored voting on any resolution where the intent and likely outcome is consistent with this IPCC stated need. The voting data is drawn from asset managers' disclosures to the US Security Exchange Commission (SEC), asset manager websites (including third-party websites they link to), directly from the asset managers, and through specialist voting data provider Insightia. The full list of resolutions assessed is available here.
The following table outlines the key queries and data sources, which FinanceMap uses to assess asset managers' corporate engagement programs. Every evidence piece is assessed on a five-point scale of -2,-1,0,1,2 or NA (not applicable)/NS (not scored). All queries, data sources, and evidence pieces are weighted against one another in a matrix system to arrive at a final top-level score. Clicking on specific cells will load the underlying evidence and information on how it has been assessed.
