The Singapore-based investment team of global insurance company, AIA, believes that engagement is an effective tool to improve investees’ environmental, social and governance ESG practices. But Chunyen Liu pictured, chief investment officer, shares that the firm will also consider divestment if companies fail to display progress.
“It’s through engagement that assets owners like us can exercise influence,” Liu told FinanceAsia.
AIA has a team of on-the-ground research analysts who regularly reach out to investees across all securities, to understand their progress across a range of ESG issues, Liu explained.
She added that due to the group’s size and its available...