Corporate Governance

Good governance by a company's shareholders is about aligning the objectives of company management with those of their shareholders. The investment management businesses of HSBC believe the exercise of such good governance by us, as part of our service to our clients, will generally produce higher returns for them over the long term.

Through our particular style of constructive engagement with corporates, we believe we can add value to the investment process. Because of its importance in this respect, our governance approach is therefore integrated with our stock decision-making through liaison between our specialist governance team and our fund managers and analysts who research companies from an investment standpoint.

We can vote for our clients on either our own or their guidelines and we generally provide full details on our voting and engagement activity on their behalf as part of our standard reporting package.