Schwab Asset Management pilots proxy polling solution
17 October 2022 US
Image: Andrii Yalanskyi
The Charles Schwab Corporation’s asset management division, Schwab Asset Management, has piloted Broadridge Financial Solutions’ (Broadridge’s) new proxy polling solution.
The solution allows Schwab Asset Management to poll fund shareholders, gaining a better understanding of their preferences around key proxy issues and helping the company to shape its proxy voting approach and policies.
Shareholders of one Schwab Fund (the Schwab 1000 Index Fund) and two Schwab exchange-traded funds (the Schwab 1000 Index ETF and the Schwab Ariel ESG ETF) will be involved in the pilot. They will be surveyed on various proxy concerns, such as company policies, corporate governance practices and environmental and social issues, but will not be questioned about specific proxy ballots.
Polls will be sent out through email and postcard, and new shareholders of the funds will be added into the scheme on a monthly basis.
Omar Aguilar, CEO and chief investment officer at Schwab Asset management, says: “Voting shares of securities held by our funds is a duty Schwab Asset Management takes very seriously. We want to better understand shareholders’ views on important proxy issues, and we know more shareholders want to share their views with us and express their unique preferences through their investments. We are proud to be a leader in piloting this new tool for shareholder engagement.”
Bob Schifellite, investor communications solutions president at Broadridge, adds: “Schwab's use of the new polling technology, developed by Broadridge, is another step forward in the democratisation of investing. Broadridge continues to invest in technology platforms designed to enhance shareholder engagement and allow public companies and asset managers the opportunity to better reflect the views of investors.”
The solution allows Schwab Asset Management to poll fund shareholders, gaining a better understanding of their preferences around key proxy issues and helping the company to shape its proxy voting approach and policies.
Shareholders of one Schwab Fund (the Schwab 1000 Index Fund) and two Schwab exchange-traded funds (the Schwab 1000 Index ETF and the Schwab Ariel ESG ETF) will be involved in the pilot. They will be surveyed on various proxy concerns, such as company policies, corporate governance practices and environmental and social issues, but will not be questioned about specific proxy ballots.
Polls will be sent out through email and postcard, and new shareholders of the funds will be added into the scheme on a monthly basis.
Omar Aguilar, CEO and chief investment officer at Schwab Asset management, says: “Voting shares of securities held by our funds is a duty Schwab Asset Management takes very seriously. We want to better understand shareholders’ views on important proxy issues, and we know more shareholders want to share their views with us and express their unique preferences through their investments. We are proud to be a leader in piloting this new tool for shareholder engagement.”
Bob Schifellite, investor communications solutions president at Broadridge, adds: “Schwab's use of the new polling technology, developed by Broadridge, is another step forward in the democratisation of investing. Broadridge continues to invest in technology platforms designed to enhance shareholder engagement and allow public companies and asset managers the opportunity to better reflect the views of investors.”
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