Responsible Investments Report 2021

Our Responsible Investment overlays

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Thematic engagement

Our thematic engagements address selected sustainability areas, helping us to focus our engagement efforts into issues most crucial on a global scale.

NAM’s thematic engagements will typically concern one or more of the core focus areas of interest identified in NAM’s ESG strategy and ESG positions.

specialists, portfolio managers, financial analysts and clients, based on material exposure. In 2021, we engaged across all our thematic focus areas. Typically, our thematic engagements run for several years, and as for all engagements where the engagement is not success- ful, we can use escalation tools such as voting and filing share- holder resolutions. Thematic engagements can be done either individually or in collaboration with other asset managers and asset owners. Often collaborative engagements take place within the framework of investor initiatives such as Climate Action 100+, SASB, PRI, CDP or the Investor Alliance for Human Rights or through ad hoc initiatives. In some cases we can be the initiator and lead of such ad hoc investor alliances.

NAM'S thematic engagement focus areas

Biodiversity

Good governance

Climate

Human rights

These thematic focus areas are related to major systemic and sustainability risks and opportunities, covering the double materiality perspective, which means that we can engage both on financially material ESG topics as well as topics that have material impact on the climate, nature and society at large. By engaging on our focus themes, we contribute to the UN Sus- tainable Development goals. Thematic engagements are select- ed and defined through close collaboration between our ESG

In the next chapters, we will explain each of our focus themes in more detail.

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