Summary of responses to the PRI reporting and assessment tool 2008

Government Pension Fund (Thailand)

Organisational Overview
1. What were your organisation's total assets under management as of 31 December 2007 (in millions)?375550
Please select currencyThai baht (THB)
1a. If 'Other' was selected, please specify the other currency hereNo Answer
2. What category would best describe your organisation?Pension or superannuation or retirement or provident fund or plan
3. What proportion (in %) of your fund is defined benefit and what proportion (in %) is defined contribution? (please only answer this question if you answered “Pension or superannuation or retirement or provident fund or plan” to Q2)
Defined benefit0
Defined contribution100
4. Please provide an overview of your asset mix as of 31 December 2007 (in %):
Listed equity (developed market, active)7
Listed equity (developed market, passive)1
Listed equity (emerging market, active)13
Listed equity (emerging market, passive)2
Fixed income - developed markets4
Fixed income - emerging markets64
Real estate or property4
Private equity5
Hedge fund0
Infrastructure0
Currency0
Commodities0
Cash0
Other (Please specify): 0
5. Please indicate what percentage of your assets are managed internally and what percentage are managed externally (in %):
 
Internal
External
Listed equity (developed market, active)0100
Listed equity (developed market, passive)0100
Listed equity (emerging market, active)8020
Listed equity (emerging market, passive)1000
Fixed income - developed markets2377
Fixed income - emerging markets7030
Real estate or property1000
Private equity1000
Hedge fund00
Infrastructure00
Currency00
Commodities00
Cash00
Other (Please specify): 00
Principle 1
7. Do you have a formal investment policy statement that makes specific reference to the integration of responsible investment (RI) or environmental, social and governance (ESG) issues within investment decision making and ownership practices?Yes, it is an independent RI/ESG policy
9. In what year were RI/ESG issues first formally addressed in a policy statement (integrated or independent)?2006
10. Has your statement that makes specific reference to the integration of RI or ESG issues been disclosed publicly?Yes
11. Please indicate how this statement that makes specific reference to the integration of RI or ESG issues can be obtained (a URL would be sufficient):www.gpf.or.th Our policy statements include CSR guidelines (incl. PRI priciples), pension fund governance, proxy voting guidelines, governance rating methodology. All document is in Thai. Enlish version is not available.
12. For what percentage of your internal assets under management do you integrate RI/ESG issues into your internal investment decision-making processes? (in %)
Listed equity (emerging market, active)95
Listed equity (emerging market, passive)0
Fixed income - developed markets0
Fixed income - emerging markets100
Real estate or property50
Private equity100
13. To what extent have you integrated RI/ESG issues into your internal investment decision-making processes?
Listed equity (emerging market, active)To a large extent
Listed equity (emerging market, passive)No Answer
Fixed income - developed marketsNot at all
Fixed income - emerging marketsTo a moderate extent
Real estate or propertyTo a small extent
Private equityTo a moderate extent
14. For what percentage of your external assets under management are RI/ESG issues integrated into the investment decision-making processes of your external investment managers? (in %)
Listed equity (developed market, active)100
Listed equity (developed market, passive)100
Listed equity (emerging market, active)100
Fixed income - developed markets100
Fixed income - emerging markets100
15. To what extent have RI/ESG issues been integrated into the investment decision-making processes of your external investment managers?
Listed equity (developed market, active)To a small extent
Listed equity (developed market, passive)To a small extent
Listed equity (emerging market, active)To a moderate extent
Fixed income - developed marketsTo a small extent
Fixed income - emerging marketsTo a small extent
16. What proportion of your assets involve screening out or excluding stocks or sectors based on ethical (rather than long-term financial) criteria? (in %)1
17. Do you have any staff dedicated to RI/ESG issue analysis and/or implementation?
 
Dedicated
Combined full-time equivalents
Investment analyst03
Research analyst00
RI/ESG issue policy advisor10
(proxy) Voting specialist10
Engagement specialist00
Portfolio manager02
Other (Please specify):00
18. Which Board committee or other executive body has overall responsibility for RI/ESG issues?Corporate governance committee, Investment strategy group, and CSR working team.
19. Do you assess the capabilities of internal investment staff to incorporate RI/ESG issues?Yes
20. Do you assess the capabilities of external investment managers to incorporate RI/ESG issues?Yes
21. Approximately what percentage of your internal non-ESG-specialist investment management staff received RI/ESG training in 2007? (in %)65
22. What forms of RI/ESG training or awareness raising have been invested in, encouraged or provided for internal staff (investment and other)?Informal internal training,Formal internal training,Conferences
23. Did you support the development of nonproprietary RI/ESG issue-related tools, metrics, analysis or academic research in 2007?To a small extent
24. Please indicate how the results of nonproprietary RI/ESG issue-related tools, metrics, analysis or academic research development you supported can be obtained if they have been disclosed publicly (a URL would be sufficient):n.a.
25. Have you advocated/supported/ encouraged/participated in RI/ESG issue-related industry-wide training for investment professionals during 2007?Sponsored industry events,Spoke at or attended conferences,Had dialogue or exchanges with peers
26. What was your most significant achievement in 2007 in relation to your implementation of Principle 1?Enter text response here.
27. What was your biggest barrier in 2007 with relation to your implementation of Principle 1?Enter text response here.
28. Please add any overall comments and clarifications related to Principle 1 here.Enter text response here.
Principle 2
29. To what extent did you employ the following approaches in your 2007 active ownership strategy for listed equities?
(Proxy) votingTo a moderate extent
Direct engagement conducted privatelyTo a small extent
Direct engagement conducted publiclyTo a small extent
Collaborative engagementNot at all
Filing shareholder resolutionsNot at all
Co-filing shareholder resolutionsNot at all
Other (Please specify):No Answer
30. To what extent did you employ the following approaches in your 2007 active ownership strategy for all asset classes other than listed equity?
(Proxy) votingTo a small extent
Direct engagement conducted privatelyTo a small extent
Direct engagement conducted publiclyTo a small extent
Collaborative engagementTo a small extent
Other (Please specify):No Answer
31. Do you have a (proxy) voting policy?Yes - disclosed publicly
32. To what extent does your (proxy) voting policy direct action on ESG issues? For each issue, please indicate the extent of direction.
EnvironmentalTo a small extent
SocialTo a small extent
GovernanceTo a large extent
33. Does your (proxy) voting policy apply to all voting regions (where possible)?Yes
34. Please indicate how your (proxy) voting policy can be obtained (a URL would be sufficient):www.gpf.or.th Our voting guidelines are in Thai. English version is not available.
35. Do you ensure that voting is done in accordance with your (proxy) voting policy?Yes for all
36. What percentage of total votes cast were against management? (in %)10
37. What percentage of shareholder resolutions relating to environmental, social or governance issues was supported? (in %)
Environmental0
Social0
Governance0
39. How many shareholder resolutions related to RI/ESG issues did you participate in during 2007?
As lead filer
As co-filer
Planning to be lead filer in 2008
Planning to be co-filer in 2008
40. How were portfolio companies engaged with in 2007? Please check all that apply.Internal staff engaged portfolio companies directly
42. Do you systematically ask your external investment managers to bring RI/ESG issue-related engagement opportunities to you?To a moderate extent
43. How many portfolio companies did you engage directly/were engaged on your behalf on ESG issues in 2007?
 
Extensive engagement
Moderate engagement
Basic engagement
Environmental001
Social001
Governance105010
44. What RI/ESG-related issues were addressed in your shareowner engagement initiatives? Please check all that apply.Benefits and compensation,Bribery/corruption,Distribution of fair trade products,Environment,Governance,Health,Health and safety,Human rights,Labour issues
45. How were RI/ESG issue-related engagement targets and topics identified? Please check all that apply.Risk profile,Focus issue,Ad hoc/reactive
46. Do you set RI/ESG issue-related engagement objectives and attempt to evaluate success?To a small extent
47. Have you sought evidence relating to the effectiveness of your active ownership strategy? Please check all that apply.Governance practices changed,Improved disclosure,Impact on share price
48. What was your most significant achievement in 2007 in relation to your implementation of Principle 2?We arranged a meeting session with over 100 listed companies on the topic of ESG. Let them know of GPF's expectation and direction in responsible investment.
49. What was your biggest barrier in 2007 with relation to your implementation of Principle 2?Enter text response here.
50. Please add any overall comments and clarifications related to Principle 2 here.Enter text response here.
Principle 3
51. Have you asked that investee companies (or other investment entities) produce standardized reporting on their RI/ESG issue policies, practices or performance (within annual financial reports or other formats)?To a moderate extent
52. What format of standardized reporting on RI/ESG issue policies, practices or performance have you requested?Standalone corporate social responsibility or sustainability reporting,Global Reporting Initiative (GRI)
53. Have you provided feedback to investee companies (or other investment entities) on their reporting on RI/ESG issues?To a small extent
54. Have you sought information from companies regarding their adoption of/adherence to norms, standards, codes of conduct or international initiatives related to RI/ESG issues?
AdoptionTo a small extent
AdherenceTo a small extent
55. Which norms, standards, codes of conduct or international initiatives related to RI/ESG issues have you sought information about from companies, with regard to their adoption of/adherence to?UN Global Compact,OECD guidelines for multinational enterprises
56. What was your most significant achievement in 2007 in relation to your implementation of Principle 3?Convinced Thai authorities to encourage listed companies to adopt GRI. Requested investee companies to adopt GRI or provide sustainability reports.
57. What was your biggest barrier in 2007 with relation to your implementation of Principle 3?Enter text response here.
58. Please add any overall comments and clarifications related to Principle 3 here.Enter text response here.
Principle 4
59. Are you considering RI/ESG requirements when searching for and selecting the following?
External investment managerYes
Investment consultantYes
Proxy votingNot applicable
Engagement overlayNot applicable
Investment researchNo
Internal operations (for example, purchasing, travel, office space etc.)Yes
Other (Please specify): custodial bank Yes
60. Have you linked the following to performance on RI/ESG issues?
Investment monitoringNo
Incentive structure (internal investments)Yes
Incentive structure (external investments)No
Contractual relationships with external investment managersYes
61. Are the default pension funds or retirement plans offered to your employees also signatories to the PRI?No
62. To what extent do you encourage your service providers to become PRI signatories?To a moderate extent
64. To what extent do you encourage peer organisations to become PRI signatories?To a moderate extent
65. Do you have evidence that you have played a role in the improved integration of RI/ESG issues by external investment managers?To a small extent
67. Have you revisited any relationships with service providers in light of RI/ESG issue-related capabilities?Yes
68. Have you engaged in dialogue, lobbying or initiatives pertaining to government policy and/or industry regulations (for example, stock exchanges, accounting standards) related to RI/ESG issues in 2007?To a large extent
69. What was your most significant achievement in 2007 in relation to your implementation of Principle 4?We arranged an informal meeting that allowed Thai institutional investtors and authorities to meet with PRI staff (James Gifford). GPF set up a CSR working team, comprising investment and non-investment staff, responsible on building awareness and implementing CSR practices at the office.
70. What was your biggest barrier in 2007 with relation to your implementation of Principle 4?Enter text response here.
71. Please add any overall comments and clarifications related to Principle 4 here.Enter text response here.
Principle 5
72. Did you use the PRI Engagement Clearinghouse in 2007?Used clearinghouse
73. Did your use of the clearinghouse result in subsequent action or collaboration with other signatories?No
74. Please elaborate on how the PRI Engagement Clearinghouse could be made more useful:Enter text response here.
75. To what extent do you participate in the following RI/ESG issue-related collaborative engagement initiatives and/or industry associations? For those not listed, please use the "other" field:International Corporate Governance Network (ICGN),United Nations Environmental Program Finance Initiative (UNEP FI),Other (please specify): 'Thailand Environment Institute'
76. Please indicate the three RI/ESG issue-related collaborative engagement initiatives and/or industry associations that you participated in most extensively and indicate how you did so:
International Corporate Governance Network (ICGN)GPF board of directors and management attended ICGN conference on corporate governance in Cape Town.
United Nations Environmental Program Finance Initiative (UNEP FI)GPF delegate spoke at UNEP FI and PRI conferences in Melbourne.
Other (please specify)
Worked with TEI to implement CSR practices at the fund. Shared knowledge and conveyed our expectation with TEI's members.
77. What was your most significant achievement in 2007 in relation to your implementation of Principle 5?Enter text response here.
78. What was your biggest barrier in 2007 with relation to your implementation of Principle 5?Enter text response here.
79. Please add any overall comments and clarifications related to Principle 5 here.Enter text response here.
Principle 6
80. Have you disclosed how RI/ESG issues are integrated into your investment processes?Yes - to clients or beneficiaries and the public
81. Please indicated how this disclosure of how RI/ESG issues are integrated into your investment processes can be obtained (a URL would be sufficient):Adopted PRI principles and OECD guidelines (CSR and CG). Incorporated them into our policy statements and made them known to public.
82. To what extent do you disclose your annual (proxy) voting record?Disclose votes and guidance explaining votes
83. Please indicated how your (proxy) voting record can be obtained (a URL would be sufficient):Via press released, annually. Focusing on topics we voted against the management.
84. Do you systematically report (privately and/or publicly) on your RI/ESG issue-related engagement activities, results and progress?Not at all
85. Please indicate how your reporting on RI/ESG issue-related engagement activities, results and progress can be obtained (if it is publicly available, a URL would be sufficient):No Answer
86. Did you communicate on RI/ESG issues and the PRI to beneficiaries or plan participants in 2007?To a large extent
87. Please indicate how your communication on RI/ESG issues and the PRI to beneficiaries or plan participants can be obtained (if it is publicly available, a URL would be sufficient):Via website, newsletters, newspapers, radio, TV, monthly field trips, and annual member meeting.
88. Are you undertaking any additional efforts to raise awareness of the PRI and RI/ESG issues amongst stakeholders?To a large extent
89. What evidence do you have of the impact on external investment manager practices? Please check those that apply.Investment policy,Investment decisions,Proxy voting
90. Have you sought to determine what impact your overall RI/ESG issue-related efforts (voting and engagement, investment decision making, disclosure, etc.) have had on corporate behavior or performance?To a small extent
91. Have you sought to determine what impact your RI/ESG issue-related approach has had on the performance of your portfolio?Not at all
92. Have you sought to determine what impact your RI/ESG issue-related efforts, requests and guidance have had on the consideration of RI/ESG issues by your external service providers excluding external investment managers (for example: research providers, consultants, etc.)?To a small extent
93. Do you report on progress and/or achievements relating to the PRI or RI, and how would you like to publish your response to this assessment?Please automatically publish our responses to the reporting and assessment tool in full on the PRI website
94. What was your most significant achievement in 2007 in relation to your implementation of Principle 6?Enter text response here.
95. What was your biggest barrier in 2007 with relation to your implementation of Principle 6?Enter text response here.
96. Please add any overall comments and clarifications related to Principle 6 here.Enter text response here.
Emerging Markets
97. To what extent have you actively thought about how to integrate RI/ESG issues within investment decision making and ownership practices with regards to emerging markets investments?To a moderate extent
98. Please describe your activities with regards to integrating RI/ESG issues within investment decision making and ownership practices with regards to emerging markets investments.We included ESG factors into investment process and engagement.
99. To what extent do you believe the integration of ESG issues in emerging markets is as relevant as the integration of ESG issues in other markets?To the same extent
100. To what extent did you employ the following approaches in your 2007 active ownership strategy in emerging markets?
(Proxy) votingTo a moderate extent
Direct engagement conducted privatelyTo a small extent
Direct engagement conducted publiclyTo a small extent
Collaborative engagementNo Answer
Filing shareholder resolutionsNo Answer
Co-filing shareholder resolutionsNo Answer
Other (Please specify):No Answer
101. To what extent have you developed a comprehensive RI/ESG engagement capability regarding business activities in emerging markets?To a moderate extent
102. Please list the three most often addressed RI/ESG-related issues in your shareholder engagement initiatives in emerging markets?
1.Director appointments
2.Employee Stock Option Plans (ESOP)
3.Auditor appointments
103. Have you sought information from companies regarding their adoption of/adherence to norms, standards, codes of conduct or international initiatives related to RI/ESG issues in emerging markets?
AdoptionTo a moderate extent
AdherenceTo a moderate extent
104. Do you take RI/ESG considerations into account when selecting and approving emerging markets external investment managers?To a moderate extent
105. Do your consultants factor RI/ESG issues into their short listing of emerging markets external investment managers?To a small extent
106. Do you have evidence that you have played a role in the improved integration of RI/ESG issues by external investment managers investing in emerging markets?To a small extent
107. To what extent have you worked together with other investors to improve the effectiveness of implementing the PRI in emerging markets?To a moderate extent
108. Are you undertaking any additional efforts to raise awareness of RI/ESG issues in emerging markets?To a large extent
109. Have you sought to determine what impact your RI/ESG issue-related efforts (voting and engagement, investment decision making, disclosure, etc.) have had on corporate behaviour or performance in emerging markets?To a small extent
110. Please add any overall comments and clarifications related to the PRI in emerging markets here.No Answer
111. What is your top PRI-related goal/priority for emerging markets in 2008?No Answer
Closing Comments
112. Why did your organisation join the PRI?To gain sustainable returns to the fund
113. Please describe the benefits you have enjoyed as a result of signing the PRI:Share viewpoints and learn from other signatories.
114. To what extent do you believe the PRI has succeeded in changing investor behaviour and/or raising awareness or capacity on RI/ESG issues? Do you have any examples you could share?External managers included ESG aspects in their proposals when selecting managers.
115. What are the top three activities the PRI Secretariat could undertake to enhance and encourage further implementation of the PRI by current and prospective signatories?
1.Providing simple benchmarks for evaluating ESG issues such as the accepted range of BOD in water.
2.Set up an ESG fund, let asset owners (signatories incl UN staff pension fund) chip in money and hire asset managers.
3.more conference
116. What are your top three PRI-related goals/priorities for 2008?
1.more signatories
2.better clearing house
3.more accepted worldwide
117. Please rank the six principles from most difficult to implement to least difficult to implement:
Most difficult
1
Principle 2
2Principle 4
3Principle 1
4Principle 6
5Principle 5
Least difficult
6
Principle 3