Shareholder Engagement Strategies for Value Creation

This document is a guide on shareholder engagement as a strategy for institutional investors to influence corporate practices and create long-term value. It outlines the definition of shareholder engagement, which includes proxy voting, shareholder dialogue, and proposals aimed at encouraging companies to adopt sustainable practices. The text discusses the increasing importance of engagement in responsible investing, supported by survey data indicating that a significant percentage of institutional investors view it as critical. The guide details how effective engagement can lead to improved financial performance and governance, citing studies that show positive outcomes from successful engagement efforts. Additionally, it emphasizes the role of communication and trust between shareholders and corporate management in fostering effective dialogue. The document also highlights the approach taken by Desjardins Global Asset Management in engaging with companies to enhance their ESG practices, including the criteria used for selecting companies for dialogue and the actions targeted during these engagements.