01 Our sustainability approach 02 Sustainable investing 03 Active stewardship 04 Corporate sustainability 05 Appendix 03.3 AllianzGI’s engagement in numbers Principles 7 9 Engagement by geography Engagement by topic Engagements per industry Engagements per topic The location of engagements reflect the Engagement activities in 2022 covered a % % main markets we invest in and the size broad range of topics (see chart). In 35% of individual holdings in those markets of cases, we spoke to companies on 5 2 4 3 2 –both assets under management and corporate governance, business conduct 6 18 4 relative share of the holding. As such, and transparency issues. The reduction 6 6 28 we target issuers globally with a focus compared with 2021 was driven by 6 on Europe, the US and our major markets our re-focus of engagement on our 12 in Asia. three guiding themes (climate change, 7 15 planetary boundaries, and inclusive In Europe we engaged most frequently capitalism). The increased focus on 11 13 17 25 with companies in Germany, France and environmental and social topics resulted the UK, whereas in Asia our engagement in the share of engagements, touching on 12 focus was on China, Hong Kong either topic, increasing from 42% in 2021 and Japan. to 69% in 2022. Where we did not see Industrials Corporate governance sufficient progress, or wanted to follow Materials Environmental risks/impacts Our engagements in 2022 spanned up on recent developments, we engaged Financials Social risks/impacts 355 companies in 28 markets globally more than once. This occurred with 19% of Technology Strategy/business model (2021: 238 companies in 27 markets). companies engaged and was broadly in Consumer Discretionary Transparency and disclosure line with 2021. Consumer Staples Capital management Energy Other Outcomes achieved Health Risk management We registered 38 stewardship outcomes Telecoms Business conduct and culture where companies took steps we had Utilities explicitly referenced during engagements Real Estate (2021: 28). Some cases involved multi-year Percentages do not total 100 due to rounding. engagement. Executive remuneration and governance issues were the focus in about three quarters of these cases. Allianz Global Investors Sustainability and Stewardship Report 2022 70