Advance-People power for pensions

>5 How political risk can be used to predict bond returns

>6 ‘Unravel the mystery of the voting chain’ Interview with Michiel van Esch

People power for pensions

Advance SUSTAINABILITY INVESTING IN FOCUS | JANUARY 2014

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4 Highlights

Clean sweep for household goods

A video on demystifying sustainability investing that went viral; the ESG credit process; and the increasing use of Bloomberg for ESG data

Sector leads survey participants Producers of household products had the greatest participation in RobecoSAM’s Corporate Sustainability Assessment last year. This puts the makers of anything from detergents to toothpaste among the leaders of good sustainable practices, even though the sector itself is relatively small compared to others such as industrials or banks.

The leaders of each of the 59 industries drawn from the survey make it into the RobecoSAM Sustainability Yearbook for 2014. The yearbook commemorates those companies with the best sustainability practices and ranks them gold, silver and bronze for their performance.

Out of the largest 3,000 companies that are invited, a record 818 companies from 39 different countries took part in 2013. RobecoSAM views this as a positive development in corporate sustainability and therefore recognizes the top industries by participation rate.

Household goods producers were the leading participants, followed by Professional Services and Computers & Peripherals and Office Electronics.

For more information visit the RobecoSAM Sustainability Yearbook microsite: yearbook.robecosam.com

COLUMN

CONTENTS 4 Highlights

The bottom-up approach

A video on demystifying sustainability investing that went viral; the ESG credit process; and the increasing use of Bloomberg for ESG data

5 Political risk and bond values Our researchers explain how political risk can be used to actually predict government bond returns

6 Unraveling the mystery of the voting chain Interview with company engagement expert Michiel van Esch on how it is vital to ensure that votes cast are cast correctly

8 Cover article: People power for pensions?

What used to be a ‘top-down’ initiative is now an increasingly ‘bottomup’ phenomenon as pension fund beneficiaries demand change

10 Engagement case study Retreat: the best way to manage risk in controversial regimes?

11 ESG analysis: the role of energy Climate change has the ability to overhaul the sector, says energy analyst Dirk Hoozemans

12 External perspective Kerrie Waring, MD of the International Corporate Governance Network, explains how attitudes have changed in recent years

The challenges for corporate governance Leading figures from across Europe are taking part in the International Corporate Governance Network’s annual conference this summer.

Robeco’s chief executive Roderick Munsters is among the keynote speakers at the event running from 16-18 June in Amsterdam, the city billed by the organizers as the “birthplace of shareholder activism”.

The conference is entitled ‘Expectations of investors and companies in the face of 21st century challenges’. It will be opened by Jeroen Dijsselbloem, Minister of Finance of the Netherlands and the current Eurogroup President.

Our world of sustainability investing is changing, and perhaps none more so in the way that the issue is being driven. The forces that demand a greater emphasis on investing in companies or governments that place a high priority on sustainability principles are gradually becoming more mainstream.

As asset managers, it has always been our duty to follow the wishes of the client. For this, we at Robeco and in the wider sustainability world have constructed portfolios that meet the client’s needs. For environmental, social and governance (ESG) concerns, this began with simple exclusion policies: no investments in polluters or weapons manufacturers, for example.

Pressure to do this from the top down has been with us from some time, coming from a wide range of sources. These include regulatory and legal demands – from national level right up to EU directives and the United Nations Principles for Responsible Investment – down to mandates from the company’s board on how it wants its pension fund to be run.

Now things have progressed further. As our cover story reveals, much of the demand for good sustainability practices is now being driven by the man or woman on the street: a kind of people power. This has produced a bottom-up impetus to join the existing top-down approach for adopting ESG principles, and has influenced many mandates.

So we see the future as the widening of the sustainability message from both ends of the spectrum, and the increasing role being played by pension fund members is welcome.

After all, we are investing their money for their future, and it is entirely right that they play a role in its direction.

> Click here for more information

HANS RADEMAKER, CHIEF INVESTMENT OFFICER

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HIGHLIGHTS

Video on sustainability myths goes viral Sustainability investors have long believed that demystifying the strategy is as important as promoting it. That has often been difficult as sustainability investing has been subject to many myths, from a belief that it is a green crusade to an obscure concept that is nice to have but costly to implement.

To get around some of these problems, RobecoSAM produced a video entitled ‘The Truth Behind Sustainability Investing’. The video, less than two minutes long, aims to debunk some of the myths, and has received more than 160,000 viewings on You Tube with more than 100 ‘likes’.

“It’s not about sacrificing performance, it’s not a niche concept, and it’s not about philanthropy”, is the opening message of the video.

The first myth is that adopting environmental, social or governance (ESG) factors means that an investor sacrifices performance in order to gain a feel-good factor. In fact, research by both

Harvard University and the London Business School has shown that companies which adopt ESG practices make higher profits. This is because they iron out problems with supply chains, manage their resources sustainability, and do not tend to have workforce issues.

A second myth is that sustainability investing is “on the fringe” and that no serious investors are engaged with it. The reality is that all the major asset managers across the world are doing it because sustainable investments have been proven to make better returns. The strategy now accounts for one dollar in every nine dollars that is professionally managed in the US, the world’s largest asset management market.

Perhaps the biggest myth is that sustainability investing is about “being green” and giving money away as a form of philanthropy. In fact, the strategy uses traditional financial analysis to evaluate equities or bonds, but incorporating ESG factors.

ESG credit process is the same as for equities Using sustainability data to take decisions on equities is fairly straightforward, but how does it work with company bonds? The answer is – there’s no difference, because it’s the same process, says Edith Siermann, CIO of Fixed Income Investments at Robeco.

In an article for Responsible Investor magazine, she explains how ESG analysis is an integrated part of the investment process in all Robeco’s credit funds. “We use the same data for ESG analysis on the credit side as we do on the equity side”, she says.

“We look at ESG data for companies and select the facts that we find to be financially material. And we apply engagement practices to both equities and credits.

Voting is of course different though.”

Her interview will appear in Responsible Investor magazine on 1 February 2014 at www.responsible-investor.com. > Click here for more information

52% The rise in the number of users of Bloomberg ESG data, up to 7,150 at the end of 2013 from 4,700 in 2012, according to the US data company. This shows how interest in sustainability is growing within the investment community.

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How political risk can be used to predict bond returns RobecoSAM’s market-leading Country Sustainability Ranking (CSR) incorporates political risk to give investors insight into the stability of a nation, along with environmental, social and governance factors.

It means the way in which political risk is calculated can sound alarm bells before a country’s crisis rather than afterwards.

Profiting from political risk Investors are used to the idea that political risk must be factored in when deciding whether to invest in a country’s bonds. Two of Robeco’s researchers have taken it a step further and proven that political risk can be used to actually predict bond returns.

Johan Duyvesteyn and Martin Martens are authors of a new research paper, ‘Political risk and expected government bond returns’, which can pre-empt credit rating changes in troubled countries.

Political instability in countries such as Egypt and Turkey has been highly evident in recent months. But even less volatile western countries such as Spain and the United States have seen internal political wrangling threaten the values of sovereign bonds.

It means this relatively new field of research can be used profitably by investors. On average, political risk rating changes are followed by credit rating migrations in the same direction.”

RobecoSAM uses the expertise of the independent US-based Political Risk Services (PRS) group to assess factors that may not currently be fully reflected in traditional debt analysis. Political risk ratings have 12 components, including issues such as socioeconomic pressures , and the risk of foreign intervention, either financially or

Components of Political Risk Ratings Component

Max points

Government Stability

12

Socioeconomic Conditions

12

Investment Profile

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Heeding the warning signals

Internal Conflict

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“A political risk rating system that can act as an alarm bell to signal these problems ahead of time can be a useful addition to the investment process”, says Duyvesteyn.

External Conflict

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“In fact, political risk can not only be used as a warning signal – it can actually predict future bond returns. This is due to the ability of research into political risk as part of wider sustainability analysis to assess the likely direction of government debt values.

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Corruption

6

Military in Politics

6

Religious Tensions

6

Law and Order

6

Ethnic Tensions

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Democratic Accountability

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Bureaucracy Quality Total Source: www.prsgroup.com

4 100

militarily. The results carry a 10% weighting in the Country Sustainability Ranking (CSR).

“We discovered that the total political risk has a similar or stronger predictive power than the individual components of that risk.

We therefore prefer to use the total political risk rating as a ‘sum of the parts’ rather than focusing on specific components”, says Duyvesteyn.

Spanish example An example of how it works was seen in Spain, which was among the worst countries compared to the other EMU bond markets from January 2010 to May 2012, due to dissatisfaction with the government of José Luis Rodríguez Zapatero.

Subsequently, the spread of the yield on Spanish 10-year bonds and German bonds increased from 47 basis points (bps) to 511 bps during this period. But after a landslide election victory in November 2011, Mariano Rajoy was able to form a government and become prime minister. He was able to impose structural reforms, and the government stability rating from PRS steadily improved.

Spain got upgraded to the group of best countries at the end of June 2012. Investors using the political risk ratings were able to avoid the crisis and to benefit from the recovery afterwards.

INTERVIEW

‘Unravel the mystery of the voting chain’ MICHIEL VAN ESCH ON THE NEED TO IMPROVE THE VOTING INFRASTRUCTURE 6

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Voting at Annual General Meetings (AGMs) is becoming increasingly important. This would be a good development, if it weren’t for some glitches in the voting infrastructure. Engagement specialist Michiel van Esch, a member of the PRI Vote Confirmation Steering Committee, says investors need to take responsibility to make sure that the votes they want to cast are actually cast.

You are putting a lot of time and effort into what seems to be an administrative issue. Why? Voting is becoming increasingly important.

Investors are becoming active shareholders, and see their vote as a powerful tool to influence companies. Most investors vote by proxy. In practice, this means that votes are delivered to shareholder meetings from a computer platform. For investors with globally diversified holdings this is a practical way to cast votes without flying around the world. It does mean, however, that other parties are needed to process their voting instructions. Given this ‘proxy voting chain’, investors are often not sure if their votes have arrived correctly at the AGM, if at all. If you think voting is important, you have to take responsibility to make sure your votes are handled properly.

‘If you think voting is important, it is your fiduciary duty to make sure your voting instructions are handled properly’ How bad is the situation?

Over the past two years we have audited a selection of the votes we cast for our investment funds. As an investor we find it important that our votes get processed correctly and that we can easily verify these instructions. Our audit showed that these objectives are not always met. It is not uncommon that proxy voting instructions are processed incorrectly.

How do you explain these errors?

There are numerous parties that handle a shareholder’s voting instruction before it

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reaches a company´s AGM, including the investor, the company, the voting agency, the custodian, and the notaries. We found that the risk of errors is further increased in specific cases. Sometimes, for example, we have to change our voting instructions just before the voting date (cut-off date). We have found instances in which these overwritten voting instructions had not been processed correctly. This often has to do with technical infrastructure and timing. Trading and lending activities around the cut-off date can also lead to problems.

‘Shareholders should be more active and cooperate with parties in the voting chain’

How can investors verify whether their votes have been processed correctly?

How can this problem be solved?

By further automation of the voting process?

That’s another problem: sometimes we just can’t. Apart from finding errors in processing voting instructions, we have found a number of cases in which no or very little confirmation was possible. In these cases investors cannot be sure if their votes have been processed correctly and if their votes have reached the AGM to begin with. Confirmation of votes depends mainly on the question whether accounts are pooled or segregated at the investor’s custodian.

Confirmation of voting for segregated accounts may be easy enough - if still time consuming - but voting instructions are usually pooled for so called omnibus accounts. Here, custodians process these instructions in bulk which makes it extremely difficult for both investors and the listed company to get confirmation on the correct votes.

Could a solution be to stop pooling accounts then?

That would only be one part of the story. Even if accounts are segregated it can be very difficult to track voting instructions. There appears to be a lack of standardization in the use of identifiers for accounts and ballots in the various markets.

Vote confirmation would be easier if accounts and voting ballots could be identified with one single identifier or naming convention by all parties in all markets. Cooperation is also an issue. Some parties in the chain are not capable of or willing to assist in vote audits.

Not as a first step. As long as the voting chain works as a black box, there is little reason to believe that all votes will be confirmed correctly.

Automatic vote confirmation is a desirable end, but the first steps should focus on unraveling the various stages of the voting chain. Because of a lack of ownership some problems could be better tackled by regulation on a large - at least EU - scale. However, improvements cannot and should not only come from regulation in a big bang. Shareholders themselves should be more active and cooperate with parties in the voting chain. Greater due diligence with custodians and proxy agents is needed to promote improvements. We will be looking for best practices among these intermediaries and use them as an example for other parties.

Incremental change is possible when best practices are available and the market shows sufficient appetite and awareness. This appetite could come from asset managers, especially when clients start seeing vote confirmation as a fiduciary duty of asset managers. We think this is important and are talking to all parties involved to set steps for improvement.

COVER STORY

People power for pensions?

Sustainability investing is often seen as a ‘top-down’ initiative, where pension funds instruct their asset managers to include it in the investment process. But it is increasingly being driven by ‘bottom-up’ pressure, where fund beneficiaries themselves demand it for their own varied reasons.

This has become evident by growing ‘grassroots’ movements, where people of working age demand that sustainability practices are adopted by those who manage money for their future retirement. And there are very different motivations behind the particular environmental, social and governance (ESG) factors that are demanded, depending on the profession.

People want to have an impact “People want to know what is being done with their money”, says Hans Rademaker, chief investment officer of Robeco. “They want to have more control themselves and have an impact, provided that in the end they optimize their financial returns. Pension funds and other institutional investors must meet these requirements.”

Bottom-up demand tends to be professionspecific. In many instances these requirements revolve around exclusions of investments that are unacceptable to the group of workers

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concerned. In other cases, fund beneficiaries are taking a greater interest in more general ESG principles, from workers’ rights to religious grounds.

For example, journalistic freedom is the highest priority for members of the Dutch PNO Media pension fund. “So we refuse to invest in Chinese government bonds because of the restrictions on the press there”, says Jeroen van der Put, CEO of Media Pensioen Diensten, the fund’s administrator.

‘We have been on this journey for some time’ However, the fund does not have a problem investing in tobacco companies, not least as many of its journalist members smoke.

Conversely, the Zorg & Welzijn pension fund for healthcare workers specifically excludes

cigarette manufacturers along with other producers of unhealthy products.

Anders Thorendal, Chief Investment Officer of the Church of Sweden Fund, says interest in responsible investing has been growing among his members, who include church employees and lay people engaged in its work.

Shift from a negative approach to a positive one “We have been on this journey for some time, starting with a negative approach – using screening to exclude polluters, weapons manufacturers or companies engaged in child labor, for example”, he says.

“But this has now moved on to a more positive approach i.e. investing in the best companies, using for instance ESG scoring, as there is a growing awareness today that it also makes sense financially to have a sustainability approach, because these investments perform better.”

Future fund beneficiaries demand the ‘E’ in ESG Pension fund beneficiaries place a high demand on environmental factors as they don’t want to retire in a polluted world, a leading service provider says.

PGGM, the second-largest pension fund service provider in the Netherlands, has placed a high priority on environmental, social and governance factors for years.

Now the ‘E’ in ESG is gaining in importance for fund members, according to Marcel Jeucken, Head of Responsible Investing at PGGM. “The people who are soon due to retire also want to enjoy a decent retirement.

But there’s little use in receiving a good pension in a country that is battered by environmental problems”, he says.

PGGM invests 145 billion euros for five pension funds, of which Pensioenfonds Zorg & Welzijn is the largest, with sustainability at the forefront of the investment process.

“We search for projects and enterprises that contribute to solving social issues.

For example, we invest in wind parks”, said Jeucken. “Furthermore, we conduct talks with many companies on matters that are open to improvement, such as environmental measures or factory working conditions. We believe in the driving force of money to effect change.”

He says climate change is in many ways important for the Church of Sweden. “That affects our investments as well. So the biggest issue today from a negative screening point of view is actually to avoid the large fossil fuel extractors, i.e. the oil and coal companies.”

According to Thorendal, retail investors mainly want to make sure that the investments are ethically sound. “But they do not yet appreciate in the same way as institutional investors are beginning to realize that a sustainability approach could also be a way of getting a better return on your investment.”

He says it also makes sense for the investee companies to focus properly on pollution, waste management and water resource conservation, as evidence shows that these companies perform better than those that do not address these environmental issues. Ultimately this feeds through to the bottom line, and this raises the share price, increasing returns for the fund, and therefore for the pension fund beneficiary.

sustainable practices can be seen in Requests for Proposals (RfPs). Analysis by the UK’s Aviva Investors showed that 89% of their RfPs contained questions about ESG issues, and funds asked on average 6.5 questions per proposal.

No longer ticking boxes From the asset managers’ perspective, the pressure from pension funds adopting more

‘Much more effort is going into RfPs’

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“We no longer see RfPs without ESG questions in them”, says Edith Siermann, Robeco’s chief investment officer for fixed income. “Investors feel they do need to address the whole issue of sustainability; this is no longer a few guys sitting in a back office ticking boxes. Much more effort is being put into it and this is likely to continue.”

However, the pressure from members to include sustainability is not universal. In a recent Workplace Pensions Survey by the UK’s National Association of Pension Funds, 42% of respondents said they would invest in a fund where sustainability factors were dominant.

But 11% said they would not, and 48% had no opinion.

This means there is still a long way to go before the issue becomes widely accepted, but in comparison to a decade ago the trend is clearly into the direction of more awareness and more pressure for sustainability in investments.

ENGAGEMENT CASE STUDY

Retreat: the best way to manage risk in controversial regimes?

17 Energy and resources companies under engagement

2010 Start of engagement

Many companies, in particular in the energy and resources sector, have been expanding their operations into controversial regimes. “Given the risks, it is imperative for them to have adequate risk management policies and systems”, says engagement specialist Michiel van Esch.

Four years ago, Robeco started an engagement with 17 energy and resources companies operating in controversial regimes, including global resources company BHP Billiton.

The objective of this dialogue was to ensure that operations are undertaken in a transparent, responsible way that minimizes risk to companies, local communities and shareholders. “Concretely, we addressed issues such as overall risk assessment, human rights policy and nationalization risk”, says engagement specialist Francis Condon.

Condon discussed issues such as the company’s follow-up to the forced displacement of the town of Tabaco near the Cerrejón mine in Colombia in 2001-2002. One of BHP Billiton’s measures was the convention of an

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independent panel to examine the issues.

This panel made 24 recommendations, all of which are now in various stages of being adopted by the company. “We were satisfied the company addressed the allegations of forced displacement”, Condon states. “Another issue we discussed was related to unfair labor practices at the mine. Thousands of contract workers at the mine employed by contractors were facing harassment as they would like to unionize.”

Over the past years, BHP Billiton has made distinct progress. “Last year, BHP Billiton showed us that they had integrated human rights and other social risks into corporate risk assessments”, Van Esch explains. Businesses in all countries are required to identify and

2000 UN launches Voluntary Principles for Security and Human Rights

report on material risks and implement controls to manage risk. Besides this, the Business Code of Conduct sets standards for working with integrity, describing human rights commitments and how they are implemented.

Given the significant improvements realized, we closed our engagement successfully.

Remarkably, however, Condon and Van Esch do observe a general retreat by some extractive industry companies from controversial regimes and emerging markets in general. Shell, BG Group, Conoco-Phillips and BHP Billiton have all graduated to a model in which they principally invest in OECD countries.

Impossible not to look at ESG in the energy sector Climate change has the potential to completely overhaul the energy sector. “To avoid underestimating this source of systemic risk, investors in the sector have to look at long-term energy and climate challenges”, says Dirk Hoozemans, energy analyst at Robeco.

Climate change can be a disruptive force Recent changes in energy supply and demand, such as the rise of shale gas or rapid growth in China wind and solar power installations, have demonstrated that new technologies, political will and market forces can quickly transform the energy system. Climate change has the potential to further disrupt the sector. “Such a transformation could present significant risk to stock valuations, but also provide investment opportunities”, says Robeco energy analyst Dirk Hoozemans. “Whereas in other sectors investors may still be debating the necessity of looking at ESG factors, in the energy sector it is impossible – or at least very unwise – not to take them into account.”

“The changes in the energy sector are more than just cyclical”, Thomas Guennegues, smart energy analyst at RobecoSAM, confirms. “They are part of a fundamental shift which is marked by developments such as the increasing share of intermittent power generation and increased political involvement. Only the companies most able to adapt their business models will be able to survive.”

Energy Futures dialogue Hoozemans recently participated in the Energy Futures dialogue. For two years a group of energy companies, investors and policymakers investigated the changing energy landscape.

The outcome was clear. ”We cannot afford to underestimate the potential negative impact of climate change on the energy system as we know it”, Hoozemans cautions. “Investors

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and companies alike will have to develop new approaches to assessing risks.”

Unburnable coal Hoozemans gives a concrete example. “Take CO2 emission limits. If we want to limit the global rise in temperature to 2 or 3 °C, a large part of companies’ future oil and coal reserves will likely remain unused. This obviously has a great impact on companies’ growth perspectives and bottom lines.”

A different way of assessing risk Investors – and other stakeholders – therefore need to engage in a much more systematic analysis of the energy system in order to understand different sources of risk in their portfolios. Companies will have to be more transparent about their price assumptions, scenario findings and long-term investment strategies. “Within investment houses, we have to bridge internal ‘silos’ to enable analysis across geographic regions, asset classes and

investment styles”, Hoozemans explains. “In the Global Equity team we have already moved from sectors to sector clusters. In addition, we have to expand our risk horizons and look at various price and demand scenarios.”

Risk discount Hoozemans incorporates long-term risks in stock valuations through his long-term commodity price assumptions. “The energy sector can change so quickly that it is difficult to determine the exact consequences for the valuation of each stock”, Hoozemans states.

“Things can change very quickly. Look at coal, for example. Consensus is that it will be replaced by gas. And in fact, China has already been switching from coal to gas. At the same time, however, the US with its large shale gas supplies has massively dumped coal, finding a ready buyer in Germany which has banned nuclear energy after the Fukushima disaster.

Nothing is set in stone in the energy sector”, Hoozemans concludes.

EXTERNAL PERSPECTIVE

‘We will see a natural increase in women on boards.’

KERRIE WARING, MANAGING DIRECTOR, INTERNATIONAL CORPORATE GOVERNANCE NETWORK Kerrie Waring is the new managing director of the International Corporate Governance Network (ICGN), having served the organization as chief operating officer since 2008. The ICGN is the leading investor-led organization of governance professionals, with members in over 50 countries, including institutional investors responsible for USD 18 trillion in global assets.

How have attitudes to corporate governance changed since you first joined the ICGN five years ago?

In sum, the focus was once squarely on corporate boards. But then six years ago, we witnessed the collapse of Lehman Brothers and the corporate governance pendulum firmly swung towards the investment community. Investors were criticized for being passive and short term and this has led to a sea change in the focus of corporate governance, not only on boards, but on the investors to whom they are accountable.

What are the biggest problems facing corporate governance reform?

Globalization is challenging. There is no overarching set of global corporate governance rules/standards and, in this absence, the question is: how to effectively oversee global corporations? The answer is share ownership which, by virtue of voting power, can call companies to account for their actions. ICGN places much effort into building relationships between local and global investors to collaborate on engaging with companies.

This is evident through initiatives such as the Global Network of Investor Associations which we set up last year and constitutes of the world’s largest national investor bodies. They now have a platform to collaborate and exchange ideas on policy priorities.

You are one of the few female MDs – do you think there should be EU legislation to force companies to place more women on boards?

No, absolutely not. While I appreciate the effort, it is far more effective to work with companies to ensure that the board has the right diversity required to develop the long-term prospects of the company and to promote its success. I think we are undergoing a generational shift and in due course we will see a natural increase in women on boards. It is notable today that some of the most influential characters in global corporate governance are female – my former boss, Anne Simpson at CalPERS, and current ICGN Chairman Michelle Edkins at BlackRock are cases in point.

Which sectors need to make the most progress on governance? Small caps? Large caps? Multinationals?

All of them. More intriguing, perhaps, is the governance of controlled companies which are becoming more and more prevalent even in markets such as the US – Facebook, LinkedIn etc. We need to remember that the widely dispersed ownership model upon which US and UK corporate governance standards are founded is actually the minority model. The rest of the world is dominated by controlled companies, whether that be family, state or otherwise – and this presents a whole different set of issues.

Important Information This document has been issued by Robeco Institutional Asset Management B.V. (trade register number: 24123167), which has a license of the Netherlands Authority of the Financial Markets in Amsterdam, and RobecoSAM AG (trade register number: CH-020.3.025.346-2), which has a license of the Swiss Financial Market Supervisory Authority FINMA in Berne. Robeco’s engagement process starts with thematic research by an external consultant focusing on companies within a specific sector. Chinese walls exist between Robeco’s engagement activities and RobecoSAM’s activities related to the RobecoSAM questionnaire. These Chinese walls ensure that confidential information from the RobecoSAM questionnaire will not be used for Robeco’s engagement activities. The details given on this page do not constitute an offer. They are given for information purposes only. No liability is assumed for the correctness and accuracy of the details given. Copyright © 2014 Robeco – all rights reserved.

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Robeco Coolsingel 120, 3011 AG Rotterdam, The Netherlands editors-advance@robeco.nl, http://www.robeco.com/professionals/insights/ sustainability-investing/index.jsp RobecoSAM Josefstrasse 218, 8005 Zurich, Switzerland info@robecosam.com, www.robecosam.com