01 Our sustainability approach 02 Sustainable investing 03 Active stewardship 04 Corporate sustainability 05 Appendix 01.2 Strengthening sustainability governance Principles 1 2 5 To leverage the growth opportunity, and procedures at least annually to and developments in the jurisdictions in management services due to changes we must ensure that our investments ensure continuous improvement. In 2022, which we operate. To be at the forefront stemming from the Markets in Financial create credible impact and measure this included strengthening our corporate of sustainability regulation, we set Instruments Directive (MiFID) II. and report on this impact. governance guidelines and proxy up a global regulation workstream voting policy. to implement sustainability-related AllianzGI’s Executive Committee reviewed Our Impact Investing team is responsible See section 03.7.2. regulation into our business including and approved this Sustainability and for managing private equity social into the investment approach. Stewardship Report 2022. In doing and environmental impact portfolios We also reviewed our processes to so, they consider the report to provide and prioritising commercial capital to meet the requirements of sustainability In 2022, we were implementing new a fair and balanced view of our achieve the UN Sustainable Development labels for our funds when it comes regulation in Hong Kong, Singapore approach to sustainable investing and Goals. The Impact Measurement and to engagement. and Taiwan as well as in the EU. stewardship activities as well as corporate Management team developed and Rules are focusing on governance and sustainability initiatives. Initial input launched AllianzGI’s impact framework Review processes are led by our risk management as well as detailed was provided by the respective teams in 2021. The framework – designed to Sustainable Investment Office and and stringent disclosure. The EU has also responsible for the various activities, ensure high standards of impact due Stewardship team. All review processes introduced sustainability preferences with overall review by the Sustainability diligence, measurement and management are based on regulatory requirements in investment advice and portfolio and Impact Team. –has since been fully integrated into the Allianz Impact Investment Fund’s Organisational structure – Sustainability and Impact Team (AIIF) investment process, with AIIF also publishing its inaugural Annual Impact Report in 2022. The framework is in the process of being integrated into a number of upcoming impact investing strategies. See section 02.6. 01.2.3 Robust review and assurance The credibility of our approach, as reflected in our internal processes and external reporting, is crucial to ensure trust in our company. We have sound processes in place to review ESG-related policies 22