AllianzGI Stewardship Statement Monitoring investee companies The performance of our investment portfolios depends Monitoring is accomplished by: on that of the companies we are invested in; it is therefore – F ollowing public announcements by investee companies essential that we continually monitor different aspects and their industry peers of these companies’ performance. – R eviewing interim and final results announcements, trading updates and other information provided by AllianzGI’s global investment platform comprises over investee companies 700 investment professionals who collaborate to guide – R eviewing annual reports and reference documents clients with investment decisions. Portfolio managers take – R eviewing corporate governance practices and responsibility for monitoring companies in their respective shareholder alignment as part of company research portfolios while Sustainability and Stewardship analysts and prior to voting at shareholder meetings monitor companies and issues where material ESG risks have – R eviewing environmental, social and business conduct been identified and engagements initiated to address those. risks at investee companies as part of the research process Our monitoring process for investee companies covers: – R eviewing third-party research and meeting third-party – S trategy implementation and significant developments analysts and industry experts that can impact delivery and value – A ttending investor presentations and events – F inancial performance and key value drivers, assessed – M eeting with management and investor relations on a by reference to the strategy and main Key Performance regular basis Indicators (“KPIs”), as well as key competitors and – M eeting with Board chairpersons or non-executive broader industry directors (where possible and appropriate) to discuss – C apital management issues matters related to strategy, governance, management – C orporate governance practices and alignment with team performance and succession, risk management, minority shareholders data security and cyber defence, management of – Q uality and effectiveness of the leadership team environmental and social impacts, business conduct and (ie, board and management), and succession planning culture, etc – M aterial risks, including environmental and social issues, – E ngaging in dialogue with investee companies on that are likely to impact performance, share price and specific issues of concern identified during the research dividend payments, and mitigation measures and monitoring process or to encourage companies to – Q uality of company reporting, including from the seize emerging opportunities accounting, audit and sustainability perspectives, as – E xercising voting rights at shareholder meetings of well as quality of management discussion and analysis investee companies – I dentification of financial, operational or reputational – I n exceptional cases, attending general meetings of issues at an early stage, which may result in a significant investee companies. loss in investment value – S ustainability strategy, targets and implementation including the company’s pathway towards net zero. 8