Voting policy
AXA's asset management subsidiaries have the responsibility, as fund managers, to exercise their voting rights during general meetings to reflect the AXA Group clients' interests. In addition, voting is an important part of the dialogue between a company and its shareholders. This dialogue is key for long-term wealth creation. AXA's asset management subsidiaries are in constant contact with the boards of companies in which they invest to ensure that companies strive to meet high standards and are accountable to their shareholders.
1) AllianceBernstein engagement and voting policy
AllianceBernstein has developed an active engagement policy and Proxy Voting services :
- Engagement : when appropriate, designated Chief investment Officers, Directors of Research and analysts engage with company management teams, both formally and informally, on matters related to social responsibility.
- Proxy voting : a well developed proxy process is in place in which both internal research and external services, such as Institutional Shareholder Services, are used. The Proxy Committee maintains and updates a set of policies to encourage best practices in corporate governance.
2) AXA IM proxy voting and engagement policy
AXA IM has two Corporate Governance committees (in London and Paris) which oversee proxy voting and engagement activity. These committees are composed of the representatives of the AXA IM fund management, Compliance, Legal and the RI team acts as the secretariat.
The London Corporate Governance Committee, which oversees voting and engagement in relation to UK companies, is chaired by Jim Stride, the Managing Director of UK Investment and a member of the Investment Committee of the Association of British Insurers. The Paris Corporate Governance Committee focuses on Pan-European companies (ex UK) and is chaired by Jean-Pierre Hellebuyck, Director and Vice Chairman of AXA IM.
When reviewing resolutions proposed at general meetings, AXA IM judges the proposals against fundamental principles of good corporate governance, while taking into account best practice standards pertinent both to the relevant market and each company's circumstances. These principles include the defense of shareholder rights (in particular against poison pills), the inclusion of independent or non-executive members of the board, and disclosure and performance criteria for executive compensation.
To ensure that voting is fully informed, the RI team makes use of specialist research providers such as ISS and Proxinvest who provide up-to-date and reliable information concerning the companies in question.
AXA IM is fully committed to communicating its voting activities and meeting benchmark standards in this regard. Detailed reports are sent to AXA IM's clients and summary analysis is provided to the general public.
2007 voting figures
Meetings voted
- 1768 meetings voted
- 1278 meetings with management
- 490 meetings with one or more resolutions against management
Top issues in votes against management
- 25% : Board and Directors
- 18% : Executive remuneration
- 27% : Share Capital Issues
- 18% : Anti-takeover provisions, including poison pills
- 5% : Articles/By-laws
Geographical distribution
- 42% UK
- 14% France
- 9% Italy
- 35% Other Europe