Active ownership and sustainability

Ownership policy

Clearly defined guidelines

AP1’s ownership policy lays the foundation for its work on ownership-related issues. It contains clear guidelines on the most common aspects of active ownership.  Read the current Ownership Policy here.

The ownership policy consists of eight principles for corporate governance and the companies’ social and environmental responsibility:

  • Voting rights. The right to vote at general meetings must be unrestricted. Changes in voting rights must be voluntary.
  • Equal treatment. Shares granting equal financial rights should always be treated equally. Minority shareholders must be protected.
  • Capital structure. The capital structure should be appropriate considering the profit potential. Capital that is not used effectively should be distributed to the shareholders.
  • Company boards of directors. Company boards are appointed by the shareholders. Board members should have the right expertise and a high level of integrity. The composition of the board should promote diversity. Remuneration should be reasonable and market-based, and should reflect the demands set on the board members.
  • Remuneration. Remuneration to senior executives should benefit the company and be reasonable, market-based and openly justifiable to the company’s stakeholders.
  • Audit and internal control. The auditors are appointed by the shareholders. There are high demands on their independence from the company and its management.
  • The environment and social issues. If an operation can be associated with infringement of a convention Sweden would prefer to comply with, the Fund should influence the company. As a final resort and if nothing else works, the Fund should exclude the company from its investment sphere.
  • Information disclosure. The operations should seek an open dialogue with the shareholders, with information that is accurate, clear, objective and trustworthy.