Aviva Investors - Principles for Responsible Investment

Q 64 Please add any overall comments and clarifications related to Principle 4 here. Please also describe
any significant activities relating to Principle 4 not already captured by your answers above.
At Aviva Investors, we believe that the capital markets do not integrate sustainable development sufficiently to ensure that the
cost to investors and society is minimised in the long run. We recognise that we can play an influential part in shaping
government policy, and therefore continue to respond and offer opinion on policy developments in corporate performance and
disclosure.
Key public policy responses in 2010 include:
1) Financial Reporting Council Stewardship Code ­ we provided detailed feedback as part of the consultation and welcomed the
Code when it was launched.
2) UK Department for Business, Innovation and Skills: long­term focus consultation ­ Aviva and Aviva Investors provided a joint
submission to the Department for Business, Innovation and Skills (BIS) consultation on long­term focus. Our submission
highlighted a number of observations by Aviva Investors of misaligned incentives throughout the supply chain which may require
further analysis, as well as indicating areas of good practice or recent policies that should be kept under review.
3) Operating and financial review ­ in an open letter to the UK Government, Aviva Investors welcomed the commitment from the
Coalition Agreement to reinstate an operating and financial review in corporate reporting.
4) Climate change ­ both Aviva and Aviva Investors signed an open letter to Vince Cable, the UK Government's business
secretary, from the Aldersgate Group. It called in a strong and collective voice for the inclusion of mandatory reporting in the
government's review, due by December 2011.
We believe improving the way capital markets operate is one of the most fundamental responsibilities of responsible investors.
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