01 Our sustainability approach 02 Sustainable investing 03 Active stewardship 04 Corporate sustainability 05 Appendix 03.2 How we engage Principles 2 7 9 We apply a broad range of principle adverse impact / Do No research thus provides the background team to make engagement meetings as tools to our engagements, Significant Harm in the context of the EU for effective stewardship. We frequently impactful and productive as possible by including one-to-one sustainability regulation. In some cases, include relevant AllianzGI Investment combining insights from all critical parts of or group meetings with these interactions were the starting team members alongside members of the our investment platform. point for a more thorough engagement Sustainability Research and Stewardship chairpersons, board members, process. However, we do not classify them senior management, company as such and report them separately to secretaries and heads of specific underline our conservative approach to Resourcing our Stewardship Activities: Collaboration on company engagements functions, as well as written engagement reporting. correspondence. Through our Climate Engagement Engagement Proposal 1 Initiated by Research or Stewardship Analyst or Portfolio Manager with Outcome (CEWO) programme We differentiate between normal research we systematically reach out to target and monitoring meetings as an active companies in writing to discuss the scope Research Form a Stewardship Discuss Portfolio manager and engagements where and progress of their climate strategy. Analyst view Analyst Manager we actively seek to make an impact or This programme is intended to achieve Align target a specific outcome. The latter an ongoing evaluation of progress made. are, by default, classified and reported In many cases (see figures on page 69) as engagement meetings. Our overall these letters were followed up by stewardship is much broader than is engagement conversations. reflected by the numbers reported Research Investment as we also actively engage through While our stewardship professionals Decision industry bodies and by conveying our often lead engagements, the members Engagement stewardship stance to larger audiences at of the Sustainability Research and Proxy industry events. the Stewardship teams frequently Voting discuss material sector-specific issues, In 2022, we added data clarification thematic focus topics and analytical requests to our interaction with companies frameworks, eg, to evaluate climate votes. in line with regulatory requirements. This collaboration is the basis to form Outcome These comprised conversations on a joint view on a company and define Informs Informs sustainable investment share and engagement objectives. High-quality 1 AllianzGI plans to decommission its Climate Engagement with Outcome Programme going forward. See footnote on page 15 for further details. Allianz Global Investors Sustainability and Stewardship Report 2022 64