Responsible Investments Report 2021

Our Responsible Investment approach

11

Our Responsible Investment approach

ESG Governance and Teams

Responsible Investments team Our award-winning Responsible Investments (RI) team was established in 2009, and at the time of writing comprises 25 dedicated ESG analysts 11 with a wide range of experience from academia, independent RI organisations and investment. Besides being fully integrated with the investment boutiques managing ESG products and setting the framework for the development of new quantitative tools and data sources, the team carries out ESG research, active ownership activities, and represents NAM in international RI initiatives. The team is con- tinuously developing our RI approach in line with the increasing complexity, depth and scope of application of ESG methods, and to maintain NAM’s leadership in the area. The team maintains both a broad RI coverage and a particular focus on our ESG STARS and thematic strategies, working close- ly with their respective portfolio management teams. The RI team often participates in client meetings and ESG conferences to share their latest insights and findings. It also leads ESG train- ing (e.g. climate workshops) both internally and for clients. For example, in 2021 the team offered training across the company around the new EU regulations on sustainable finance.

The RI team’s various functions and main responsibilities can been divided into five areas:

• Active Ownership team is responsible for NAM’s engage- ment activities, as well as for driving the Responsible Investment Committee agenda and the RI Policy develop- ment. This group also works with the Corporate Gover- nance team on proxy voting • Climate team maintains focused expertise and analysis on climate change factors and policies, implementation and reporting on TCFD recommendations • ESG Private Equity team supports NAM’s private equity collaboration with Trill Impact • ESG Products & Research team carries out company spe- cific ESG research and engagement for NAM’s ESG funds, as well as ESG product development • ESG Quant team develops and maintains NAM’s propri- etary ESG scoring model, as well as other advanced appli- cations of ESG data

Responsible Investments (RI) team

Head of RI Eric Pedersen

ESG Products & Research

ESG Quant

Climate

Active Ownership ESG Private Equity

Michaela Zhirova Head of ESG Products and Research

Katarina Hammar Head of Active Ownership

Hetal Damani Head of ESG Private Equity

Eric Pedersen Head of ESG Quant and Climate

11) Data as of 31.03.2022. This number includes only full-time RI professionals in the RI team. Corporate governance and proxy voting professionals, Portfolio managers managing ESG funds and financial analysts and other employees with ESG as part of their responsibility are additional to this.

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