SSGA launches opt-in Sustainability Stewardship Service to offer tailored ESG engagement and proxy voting options for institutional clients.
Hannah Shoesmith appointed Managing Director and Head of Sustainability Stewardship, reinforcing SSGA’s long-term ESG leadership.
New service reflects mounting political and regulatory pressures, offering investors both flexibility and expert ESG integration.
State Street Global Advisors (SSGA), which oversees €4.1 trillion in assets, has named Hannah Shoesmith as Managing Director and Head of Sustainability Stewardship to lead its latest ESG initiative—a newly launched opt-in sustainability-focused stewardship service for institutional separately managed account clients.
Shoesmith brings deep expertise to the role, having previously served as head of engagement at Schroders, and before that at EOS at Federated Hermes—a leading stewardship provider. Her background also includes senior roles at Hermes Investment Management, Mothercare, and on Save the Children UK’s Corporate Advisory Board.
In her new position, Shoesmith will guide the execution of sustainability policies and lead engagements on behalf of clients who choose to participate in the service.
“In light of the organisation’s broad range of clients from across the globe, SSGA continues the firm’s commitment to deliver both rigour and choice in enabling clients to achieve their objectives,” the firm stated.
The new Sustainability Stewardship Service offers institutional clients a choice: adopt SSGA’s specialised ESG proxy voting and engagement policy, or retain their own voting authority. The service was developed in direct response to client feedback prioritising sustainability outcomes and will evolve through ongoing input and research.
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“Our new Sustainability Stewardship Service is a clear example of how we continue to innovate to support clients on their unique investment journeys,” said Karen Wong, Global Head of Sustainable Investing and Asset Stewardship at SSGA.
“In the ever-evolving sustainability landscape, investors need informed solutions to help them invest with confidence on behalf of their clients and members.”
SSGA has integrated its UK and European fund ranges into the service by default, using its in-house proxy voting and engagement policy.
The move is seen as a strategic counterbalance to growing political headwinds in the US, where ESG investing faces intensifying scrutiny. SSGA, alongside other US asset managers, recently exited Climate Action 100+ and lost mandates from clients such as The People’s Pension and AkademikerPension, partially due to ESG-related concerns.
“It’s a tailored solution for clients actively seeking sustainability integration. That said, the framing of stewardship as a client opt-in service raises important concerns. Much like BlackRock’s similar moves, it risks implying that stewardship is optional—when in fact, it’s a core responsibility for asset managers.”
“Many institutional asset owners depend on their managers precisely because they lack the expertise or capacity to manage stewardship in-house.”
By elevating Hannah Shoesmith and offering clients increased stewardship flexibility, SSGA aims to balance global ESG expectations with local regulatory complexities—without compromising its strategic ESG direction.
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