Quilter PLC

|Governance|Disclose the organisation's governance around climate-related risks and opportunities.|Describe the Board's oversight of climate-related risks and opportunities.|The relevant Quilter Afufl ent Boards (Quilter Life & Pensions Limited Board, Quilter Investment Platform Limited Board and Quilter Investors Limited Board) and committees review, challenge, and approve the TCFD report.|10-11| [...] |Management's role regarding climate-related risks and opportunities|Climate-related risk and opportunity management is embedded across Quilter and in the various strategic and day-to-day processes. The following governance meetings are fundamental to the oversight of the multi-asset portfolios, sub-advised funds, and managed portfolio services: |Management Committee|Climate-related responsibilities|Activity in 2023|---|---|---|Affluent Investment Committee (was Management Investment Forum)|Provides independent oversight and challenge of portfolio management activities for the multi-asset, sub-advised funds, and managed portfolio services with the aim of ensuring that investors are provided with products that perform as expected. Oversees and monitors the integration and embedding of ESG considerations into the investment process and ensures that any related customer objectives are being met.|– On a quarterly basis throughout the year, the Quilter Investors, Cirilium, Creation, and Monthly Income portfolios and WealthSelect were reviewed with the aim of ensuring the portfolios were being managed as expected. This included the monitoring of the ESG-specific objectives of the WealthSelect Responsible and Sustainable portfolios, including carbon emissions data, where appropriate.|Quilter Investors Sub-advised Funds Forum|Provides independent oversight of Quilter Investors Limited sub-advisers and the activities they perform on Quilter Investors' behalf. NB The majority of sub-advised funds are invested into by WealthSelect.|– Oversight of new or replacement sub-advisers, which included the launch of the new Quilter Investors Timber Equity Fund, which has an objective to invest in companies which support sustainable forestry and timber practices.|Quilter Investors Product and Customer Forum (was Quilter Investors Product and Customer Outcome Forum)|Ensures that there is an effective and adequate framework in place for the multi-asset and sub-advised funds; covering the design, approval, and marketing throughout their lifecycle, to meet customer needs and legal, regulatory, and Quilter policy requirements.|– Oversight of the design of products to ensure they meet the needs of an identified target market and appropriate consideration of the ESG requirements.

The Board Audit Committee oversees the principles, policies, and practices adopted in the preparation of the Group's climate-related disclosures. It receives regular updates on the production of our TCFD reporting, including the processes and controls in place for ensuring compliance with the reporting regulations and the integrity of the metrics and underlying data. Following review and recommendation by the Board Audit Committee, the Group TCFD Report is reviewed and approved by the Board. [...] The Board Audit Committee is also responsible for overseeing the Internal Audit function and approves their plan for assuring the effectiveness of the controls for the key risks to Quilter, including for climate-related risks. The Board Audit Committee receives reporting from Internal Audit on the outcomes of this assurance work including actions taken by management to mitigate any issues. [...] The Board Risk Committee oversees the management of risks, including ESG and climate-related risks, by reviewing management's recommendations on risk, in particular in relation to the structure and implementation of Quilter's Risk Management Framework. It challenges the assessment of the financial risks of climate change scenarios as part of both the Group Internal Capital Adequacy and Risk Assessment, and the Own Risk and Solvency Assessment reports, which includes the risk of greenwashing. [...] The Board Remuneration Committee oversees and approves the remuneration arrangements for the Group, including consideration of ESG-related metrics and targets, which form part of the executive scorecard for reward purposes. Climate-related metrics, specifically the reduction in Scope 1 and 2 emissions, and the Principles for Responsible Investment ("PRI") Framework, both form part of the Company's long-term incentive plan ("LTIP") and are routinely reviewed by the Board Remuneration Committee. These updates provide an indicative view of forecast outcomes for LTIP awards and inform target setting and any changes to performance measures for future awards. This provides the Board Remuneration Committee with an objective and largely formulaic assessment of performance, with any relevant qualitative input from specialists in the business then overlaid to inform its decisions regarding outcomes and establishing future targets. [...] The TCFD and SDR Steering Committee is responsible for overseeing the development of the Group, Entity and Product TCFD reporting, and related decision making. The Committee meets monthly and is updated on progress, risk developments, and any changes to our TCFD reporting, including scenario analysis, risk management, and climate-related risks and opportunities. [...] Climate lobbying: We may not support the election of non-executive directors with sustainability responsibilities with relationships to industry associations that oppose efforts to transition to a low carbon economy. We will typically support well-structured and relevant shareholder resolutions calling for further transparency on lobbying and industry group alignment reviews.

The Board, Audit and Risk committees review, challenge and approve the TCFD report. The TCFD Working Group is responsible for the identification and assessment of climate-related risks and opportunities. The group comprises representatives from Responsible Investment, Risk, Finance and Corporate Sustainability. The TCFD Steering Committee meets regularly to monitor and approve progress. During 2023, Andrew McGlone (Chief Executive Officer at Quilter Cheviot and Quilter Cheviot Financial Planning) extended his remit to be the executive sponsor for Corporate Sustainability and Responsible Investment across Quilter, and Mark Satchel (Chief Financial Officer) was appointed the Senior Management Function ("SMF") for the oversight of the management of financial risks arising from climate change. [...] Accountability for the oversight and management of climate-related risks and opportunities is held by a number of senior leaders and facilitated through a clear management and Board governance framework. [...] The TCFD Group Report Working Group is responsible for the production and delivery of the report. This group meets regularly and will do so on an ongoing basis in 2024. The group comprises representatives from: Responsible Investment, Risk, Finance and Corporate Sustainability. The TCFD Steering Committee meets regularly to monitor progress of the overall TCFD project work and includes representatives from the Affluent and High Net Worth Segments and is chaired by Andy McGlone as the Executive Sponsor. [...] Quilter plc Board Audit Committee Board Risk Committee Review and recommend to the Board for approval [...] TCFD Group Report Working Group Production and delivery of the report [...] TCFD Steering Committee Review and approval [...] Quilter plc Executive Committee Review, challenge and recommend for approval [...] Quilter plc Board Review and approve [...] The Board is accountable for the long-term success of the Group. The Board sets the Group's strategic priorities, including those in relation to responsible investment. The Board actively discusses and considers climate-related risks and opportunities as part of discharging its responsibilities. The Board has strengthened its focus on Responsible Investment and Corporate Sustainability. [...] The Committee reviewed the environmental measures within the Company's long-term incentive plan. The Committee continues to monitor market practice developments and expects the nature and weighting of climate-related measures within the Group's executive incentive plans to evolve over the coming years.

Quilter is a politically neutral organisation and does not engage in party political campaigning or make party political donations. We will not employ any current politician to conduct public affairs activities in any capacity. Furthermore, we will not make any award or payment in money or in kind to any current politician for the provision of public affairs activities. Quilter did not employ any former politician to conduct public affairs activities on our behalf in 2022. If Quilter wishes to employ any former UK Government Minister or senior official within two years of leaving office, the appointment must be approved by the Advisory Committee on Business Appointments ("ACOBA"), and the employee must not lobby the government for two years after leaving office, as stated in the Ministerial Code. Quilter does, however, seek to influence government policy which could impact our customers, with particular focus on consumer rights and protection. Quilter is a member of several industry trade bodies in the UK, including the Investment Association ("IA"), Personal Investment Management and Financial Advice Association ("PIMFA"), the Association of British Insurers ("ABI"), the UK Sustainable Investment and Finance Association ("UKSIF") and The Investing and Savings Alliance ("TISA").

The Board is responsible for setting and overseeing the delivery of the Group's strategic priorities, including those in relation to responsible investment and corporate sustainability. The Board is briefed regularly on responsible investment performance and annually on the progress made on the implementation of Quilter's corporate sustainability initiatives, including our targets, goals, and ambitions, and any key issues impacting their delivery. These updates include the strategic approach to responsible investment and the impact Quilter can have directly and on behalf of clients through our engagement and shareholder voting. [...] The Group Executive Committee now provides direct oversight, direction, and challenge with respect to Quilter's approach to Responsible Investment, which encompasses our approach to Stewardship. [...] Our investment management businesses' governance framework links directly into Quilter with the CEO of Quilter Cheviot and the Managing Director of Quilter Investors being ultimately responsible for the delivery of our responsible investment activity. In each business, an Investment Oversight Committee oversees the responsible investment activity with the respective Heads of Responsible Investment being members/attendees of these.

Accountability for the oversight and management of climate-related risks and opportunities is held by a number of senior leaders and facilitated through a clear management and Board governance framework [15]. [...] The Board is accountable for the long-term success of the Group. The Board sets the Group's strategic priorities, including those in relation to responsible wealth management. The Board actively discusses and considers climate-related risks and opportunities as part of discharging its responsibilities. [...] Assists the Board in its oversight of risks, including climate-related risks, by reviewing management's recommendations on risk, in particular in relation to the structure and implementation of Quilter's risk framework. [...] Delegated responsibility for climate-related opportunities and delivery of the Responsible Wealth Management strategy to the Responsible Wealth Management Executive Steering Committee. [...] Delegated responsibility for monitoring and management of climate-related risks to the Executive Risk Forum. [...] Assists the Chief Executive Officer in the oversight, challenge, and monitoring of material risks, including those related to the climate. Reviewing Quilter's risk profile for both current and potential future risks, including climate-related risks over the short, medium and long term and overseeing the mitigation of those risks. [...] Was attended by Andrew Tuddenham, Group Risk and Actuarial Director, to whom the Board has assigned responsibility for the oversight of the management of financial risks arising from climate change.

The Board, Audit and Risk committees review, challenge and approve the TCFD report. The TCFD Working Group is responsible for the identification and assessment of climate-related risks and opportunities. The group comprises representatives from Responsible Investment, Risk, Finance and Corporate Sustainability. The TCFD Steering Committee meets regularly to monitor and approve progress. During 2023, Andrew McGlone (Chief Executive Officer at Quilter Cheviot and Quilter Cheviot Financial Planning) extended his remit to be the executive sponsor for Corporate Sustainability and Responsible Investment across Quilter, and Mark Satchel (Chief Financial Officer) was appointed the Senior Management Function ("SMF") for the oversight of the management of financial risks arising from climate change. [...] Accountability for the oversight and management of climate-related risks and opportunities is held by a number of senior leaders and facilitated through a clear management and Board governance framework. [...] The TCFD Group Report Working Group is responsible for the production and delivery of the report. This group meets regularly and will do so on an ongoing basis in 2024. The group comprises representatives from: Responsible Investment, Risk, Finance and Corporate Sustainability. The TCFD Steering Committee meets regularly to monitor progress of the overall TCFD project work and includes representatives from the Affluent and High Net Worth Segments and is chaired by Andy McGlone as the Executive Sponsor. [...] Quilter plc Board Audit Committee Board Risk Committee Review and recommend to the Board for approval [...] TCFD Group Report Working Group Production and delivery of the report [...] TCFD Steering Committee Review and approval [...] Quilter plc Executive Committee Review, challenge and recommend for approval [...] Quilter plc Board Review and approve [...] The Board is accountable for the long-term success of the Group. The Board sets the Group's strategic priorities, including those in relation to responsible investment. The Board actively discusses and considers climate-related risks and opportunities as part of discharging its responsibilities. The Board has strengthened its focus on Responsible Investment and Corporate Sustainability. [...] The Board Risk Committee oversees the management of climate related risks associated with environmental, social and governance ("ESG") risks, reviewing management's risk recommendations and providing challenge and guidance on the structure and implementation of the Group's Risk Management Framework. [...] The Board Audit Committee oversees the principles, policies, and practices adopted in the preparation of the financial statements of the Group and assesses whether annual financial statements comply with statutory requirements including TCFD disclosures. [...] The Board Corporate Governance and Nominations Committee oversees the governance reporting requirements on behalf of the Board. [...] The Board Remuneration Committee sets the over-arching objectives, principles and parameters of remuneration policy across the Group including consideration of ESG related metrics and targets, which form part of the executive scorecard for reward purposes. [...] The Committee reviewed the environmental measures within the Company's long-term incentive plan. The Committee continues to monitor market practice developments and expects the nature and weighting of climate-related measures within the Group's executive incentive plans to evolve over the coming years. [...] Members of the Executive Committee are members of the Group Executive Risk Management Committee and have significant representation on the Responsible Wealth Management Executive Steering Committee. [...] Executive Committee reviewed and approved the Group TCFD Report and received an update on responsible investment and corporate sustainability. [...] Responsible Wealth Management Executive Steering Committee provides executive oversight and direction on our Responsible Wealth Management agenda, incorporating both corporate sustainability and responsible investment. [...] Quilter Group Executive Risk Management Committee assists the Chief Risk Officer in the monitoring and management of material risks, including those related to climate change. Reviewing the Group's risk profile for both current and potential future risks, including climate-related risks over the short, medium and long term and overseeing the mitigation of those risks. [...] Met six times in 2023 to review, manage and monitor all aspects of risk management. [...] Received updates in relation to climate-related (physical and transitional) risks. [...] Received an update on climate-related risk appetite and key indicators. [...] During 2023, Andrew McGlone (Chief Executive Officer at Quilter Cheviot and Quilter Cheviot Financial Planning) extended his remit to be the executive sponsor for Corporate Sustainability and Responsible Investment across Quilter, and Mark Satchel (Chief Financial Officer) was appointed the Senior Management Function ("SMF") for the oversight of the management of financial risks arising from climate change, ensuring risks are appropriately identified and managed, including incorporation within the Group's Own Risk and Solvency Assessment ("ORSA"), and that of the Group.

Does your organization have a public commitment or position statement to conduct your engagement activities in line with the goals of the Paris Agreement?[…]No, and we do not plan to have one in the next two years