Better Health for All

Schroders, as an asset manager, demonstrates a strategic focus on health-positive impact, being one of two UK asset managers to explicitly prioritize health as an ESG theme.

Its investment funds include "Access to medicines, healthcare equipment and services" as a 'Health and Wellness' theme. Investee company Cipla covers 45% of diseases on the WHO Essential Medicine List and launched a triple anti-retroviral drug combination for HIV treatment at below $1 per day in 2001, significantly increasing accessibility. Cipla also provides training to healthcare professionals aligned with the WHO curriculum. Schroders' engagement blueprint highlights mental health as a key sub-theme, and its Giving Program donated £5.4 million in 2023 to charities, including those promoting mental health. Through its impact investment funds, investee companies avoided 618,941 tonnes of CO2 in 2023, and an investment project supports hydroponic farming that uses no pesticides and 75% less carbon intensity. Schroders' Sustainable Investment Policy emphasizes tobacco exclusions. The company's core business does not involve direct safety implications, health data management, pharmaceutical patents, food products, or clinical trials.

Fair Money & Economic Opportunity

Schroders PLC is a global asset management company. The assessment of 'Fair Money & Economic Opportunity' is primarily designed for financial institutions offering direct lending or deposit services to consumers. Schroders' core business involves managing investment strategies and solutions for institutions, intermediaries, and high-net-worth individuals. Consequently, several KPIs related to consumer lending, direct financial products, and retail banking services are not applicable to its operations. Schroders does not offer direct lending or deposit services to consumers, nor does it offer consumer credit products, making KPIs such as `underserved_client_share`, `debt_burden_ratio`, and `geographic_inclusion` not applicable. As an asset manager, it is not regulated as a consumer lender, so `fair_lending_compliance` is also not applicable. While Schroders engages in impact investing and financial inclusion initiatives through subsidiaries like BlueOrchard

and trusts such as the Schroder BSC Social Impact Trust , and has partnerships aimed at supporting MSMEs , the provided articles do not offer the specific quantitative data (e.g., percentage of total AUM or users) required by the rubric's thresholds for KPIs such as `inclusion_initiatives` and `wealth_building_outcome`. Similarly, there is no evidence for `pricing_fairness`, `exploitative_fee_exposure`, `profit_reinvestment`, `financial_literacy_initiatives`, `data_accessibility`, or `product_simplicity` as defined by the rubric for Schroders' direct operations.

Fair Pay & Worker Respect

Schroders reported significant pay disparities in 2022, with a mean bonus gap of over 74% for Black/African/Caribbean employees and more than 60% for Asian employees.

The mean gender pay gap was 25% in 2022. Conversely, Schroders is an accredited Living Wage Employer, ensuring all direct and third-party contracted staff earn a living wage. The company has been producing modern slavery statements for over five years and provides whistleblowing services. No substantiated labor-law or human-rights violations have been publicly reported.

Fair Trade & Ethical Sourcing

As a global asset management firm, Schroders PLC does not directly engage in the sourcing or procurement of physical goods.

Consequently, several fair trade and ethical sourcing metrics related to physical commodities, such as fair-trade certification share, supply chain traceability, and materials risk, are not applicable to its direct operations. Schroders has a Supplier Code of Conduct that sets high standards for human rights and ethical sourcing, requiring suppliers to prohibit forced labor and human trafficking. The company reviews modern slavery risk in its supply chain with external assistance and monitors working conditions. Schroders influences ethical sourcing through its investment strategies, integrating ESG factors and engaging with 4,443 investee companies in 2023 on human rights and ethical sourcing. The firm is a signatory to the UN Global Compact and commits to eliminating commodity-driven deforestation from investment portfolios by 2025. Schroders also adopted all four of the FCA’s Sustainability Disclosure Requirements (SDR) labels across 16 funds.

Honest & Fair Business

Schroders received an A rating in the CDP climate change assessment, a top rating held by only 2% of assessed companies.

This reflects a high level of transparency and performance on climate issues.

No War, No Weapons

Schroders cannot demonstrate zero exposure to controversial weapons, with a "less than 1%" de minimis threshold allowed for exposure to otherwise excluded companies in its total portfolio assets.

Additionally, the Hartford Schroders Emerging Markets Equity Fund holds 2.75% of its portfolio in military contractors. Schroders applies exclusionary criteria in its asset management, banning investments in companies involved in the production, stockpiling, transfer, and use of cluster munitions, anti-personnel mines, chemical, biological, and nuclear weapons (with a 5% revenue threshold for nuclear weapons). These ethical red lines are codified in policy. A formal Controversial Weapons Exclusion List is updated annually, serving as a review process for partners with conflict-related risks and leading to divestment of top-risk ties. However, this divestment policy does not apply to indirect investments or certain financial instruments. Schroders is a UN Global Compact signatory and assesses its SPVs and service providers for UNGC and OECD compliance via pre-investment due diligence and monitoring.

Planet-Friendly Business

Schroders' total carbon footprint in 2024 was 160,066,110 tCO₂e, which includes 159,900,000 tCO₂e from investments (Scope 3, Category 15).

This represents a 4.97% decrease from 2023 to 2024, and the company publicly discloses its GHG emissions. The company's science-based targets have been validated by the Science Based Targets initiative, aligning with a 1.5°C trajectory. Schroders increased its renewable electricity sourcing to 98% in 2023. The company has a net-zero target for its managed assets by 2040. Its Climate Report 2024 is TCFD aligned, and TCFD reporting is available.

Respect for Cultures & Communities

Schroders has established 3 formal partnerships with community-focused organizations, including Conservation International, IntoUniversity, and Harlem Lacrosse.

There are no reported cultural appropriation incidents, which is consistent with the company's asset management business model.

Safe & Smart Tech

Schroders PLC demonstrates a proactive approach to regulatory compliance. The company has hired a Privacy Officer to ensure adherence to GDPR and other data protection regulations.

This role involves monitoring data privacy, conducting assessments, and managing data subject requests. Furthermore, Schroders ensures that personal data transferred internationally is protected under legal standards, utilizing European Commission-approved safeguards or model contracts.

Zero Waste & Sustainable Products

The provided articles for Schroders PLC, an asset management company, primarily detail the launch and focus of its sustainable investment funds, such as the Schroder ISF Circular Economy fund

. These funds invest in companies that contribute to a circular economy or sustainable infrastructure . However, the articles do not provide specific, quantifiable data regarding Schroders' own operational waste management, product design for recyclability, packaging sustainability, or waste reduction targets. While an initiative in July 2019 aimed to reduce single-use plastic usage by replacing it with plant-based alternatives and joining the Plastic Free City initiative , no measurable reduction percentage or effectiveness data is provided for this or any other waste reduction effort by Schroders itself.