Hermes Equity Ownership Services

Equity Ownership Services

Overview

Hermes Equity Ownership Services (HEOS) is a pioneering advisory service which enables its clients to be responsible investors and owners of companies. With over £40bn* worth of assets under stewardship it is the largest and most innovative service of its kind in the world. Owned by one of the largest pension funds in the UK (and amongst the largest in the world) the BT Pension Scheme, Hermes leads the field internationally in responsible investment.

Empowerment of pension fund trustees

Using its global weight and gravitas HEOS empowers pension fund trustees and institutional investors to engage with the boards of the companies they invest in, to create sustainable value for members and end investors.

  • Intelligent voting − HEOS votes all of its clients holdings in all markets
  • HEOS works alongside pension fund trustees to help them engage with the boards of the companies they invest in to enhance long-term value and performance.
  • Our discussions with companies combine business strategy with social, environmental and ethical risk to effect positive change.

Impact

This pioneering approach is winning the support of trustees on behalf of millions of investors the world over. The initiative stems from the belief that companies with involved and informed shareholders are more likely to achieve superior long-term performance than those without.

This active dialogue between companies and their owners has a positive impact which benefits all key stakeholders:

Institutional investors

who understand the value of adopting long−term investment strategies and holding the companies they are investing in to account.

Companies

which benefit from the support and challenge provided by long-term shareholders on a range of issues material to their businesses.

Pension funds

pensioners and future pensioners will benefit from supporting this path to long term corporate growth, which is gives them greater power as owners.

*Estimate as at 30 September 2009. Source: Hermes