Regnan is focused on creating a financial system that genuinely serves society through addressing environmental, social and corporate governance (ESG) issues. Regnan represents institutional investors with the objective of driving and facilitating ESG practices in the companies in which they invest, with the potential for this to amplify good practice and stewardship more broadly across corporate Australia. Currently owned by Pendal Group Limited, Regnan is exclusively geared towards achieving its vision by providing research, engagement and advocacy services.

The foundation of Regnan lay in its research where it conducts high quality, substantive analysis that enables ESG and sustainability factors to be integrated into investment processes. Their research is utilised for stewardship purposes, securities analysis, portfolio management and development of ESG themes.

Alongside this, Regnan engages and advocates with S&P/ASX200 listed companies on behalf of their clients on a range of issues or ‘unattended risks’; issues that have the potential to materially impact the performance of specific investee companies over the long-term and which may not be sufficiently managed. Their approach is guided by the specific nature of the risks to the company’s business model, the amount of progress already demonstrated, and an assessment of what a suitable response might look like.

Regnan’s advisory services are engaged when there are structural issues impeding a company or sector’s ability to address ESG risks. Their advocacy work includes discussions with regulators, participation in government and other submissions, bespoke research and other forms of public commentary including media.

For FY 2019 Regnan engaged with companies such as AGL Energy Ltd, AMP Ltd, Macquire Group and Qantas Airways. Furthermore, through its advocacy, sought opportunities to raise awareness of climate-related risk within the finance sector more broadly, i.e. outside of ESG audiences. This involved facilitating an interactive masterclass for Investor Group on Climate Change (IGCC) members, supporting their own TCFD adoption and disclosure efforts.

Regnan combines their research and engagement services with responsible investment advisory to make their observations and insights, gathered over many years, available to the broader community. Regnan takes a collaborative and constructive approach, believing – companies and investors alike – are all part of the same financial ecosystem.

Vision:

A financial system that genuinely serves society.

Purpose:

To contribute to sustainable value in investments and a robust financial ecosystem, through best practice stewardship.

Pendal Group assumed full ownership of Regnan in February 2019, after being a founding co-owner and client. As an independent business unit of Pendal, while Regnan utilises administrative and operational support from Pendal, it continues to serve its clients and produce content independently. Regnan fund their operations through the provision of research, engagement and advisory services to a wide range of clientele.