Which of the following is a form of individual engagement?

Which of the following is a form of individual engagement?
A . Generic letter
B . Soliciting support
C . Informal discussions

View Answer

Answer: C

Explanation:

Individual engagement refers to direct and personal interactions between investors and companies. Informal discussions are a form of individual engagement where investors engage directly with company representatives to discuss specific concerns, insights, or feedback related to ESG issues.

Direct Interaction: Informal discussions involve direct communication between the investor and the company. This can be through meetings, phone calls, or casual conversations, providing a platform for open and candid dialogue.

Specific and Personalized: These discussions are tailored to the specific company and the investor’s concerns. Unlike generic letters, which are broad and non-specific, informal discussions allow for detailed and nuanced conversations.

Relationship Building: Informal discussions help build and strengthen relationships between investors and company representatives. This can lead to more effective communication and collaboration on ESG matters.

Reference: MSCI ESG Ratings Methodology (2022) – Highlights the importance of direct engagement and relationship building in effective ESG integration.

ESG-Ratings-Methodology-Exec-Summary (2022) – Discusses various forms of engagement, emphasizing the value of personalized and informal interactions.