Introduction In conversation with our Global Head of Investments Principle 1 and Global Head of Sustainable and Impact Investing 2022 was an extraordinary to quality raw data. This has made it one year for investors. How has of the most extraordinary years, not just investor appetite for sustainability in terms of the data we had to source and transparency been impacted by but also the need for engagement to the events of the year? supplement this data. 2022 was certainly a year during which sustainability was tested What does being a sustainability and, in our view, came of age. The onset shaper mean for AllianzGI? of the war in Ukraine was a defining We are the guardians of the capital event of the year, and the conflict sparked and savings of a wide range implications far beyond its geographic of people, from younger generations footprint. We saw an energy crisis in to grandparents. They want to do the Europe and global food supply volatility right thing for the future, and they also alongside climate-related weather have to meet their needs now. Being a events. This has tested both markets and sustainability shaper means addressing investor commitments to sustainability, these dual needs by keeping the but it has also brought a new level spotlight firmly on seeking to deliver of realism about what sustainable financial outperformance while building investing needs to achieve and how it our sustainable offerings and future- is measured. The transition has been proofing our investments. Allianz, our aided by regulation that sets a high parent company, is vocal on its stance on bar for what qualifies as sustainable. sustainability as a company and what it Clients are rightly seeing the European brings to the world in terms of net zero as Deborah Zurkow Union’s SFDR Article 81 as the minimum a founding member of the Net-Zero Asset Global Head of Investments commitment for sustainable products, Owner Alliance. At AllianzGI, we’ve seen and data and insights are increasingly a step change in our sustainability critical in reconciling their desire for commitments since 2020, consistent with both financial returns and sustainable our belief that we have a role to play in Matt Christensen outcomes. Across the industry we’ve seen shaping future outcomes. Doing good Global Head of Sustainable historic methodologies called out as part for the world also involves being fiscally and Impact Investing of the move from opaque scoring systems responsible and avoiding stranded assets 1 Sustainable Finance Disclosure Regulation – Article 8. Defined as “a fund which promotes, among other characteristics, environmental or social characteristics, or a combination of those characteristics, provided that the companies in which the investments are made follow good governance practices.” Allianz Global Investors Sustainability and Stewardship Report 2022 06