In the evolving responsible investment landscape, the ability to objectively measure and benchmark stewardship efforts has become a critical need for institutional investors. rezonanz offers a first-of-its-kind proxy voting benchmarking service delving beyond surface-level analysis to empower investors with quantitative insights into how their voting records align with long-term value creation goals. We leverage our collection of proxy voting records from more than 140 global investors at company meetings worldwide to enable benchmarking against the benchmark and how investor peers vote.

Flexible and Customizable Benchmarking

Sustainability and long-term value creation means different things to different stakeholders. rezonanz’s benchmarking addresses this complexity head-on. Our approach allows for complete customization, giving you the flexibility to define the criteria that matter most to you. Whether your focus is climate action, governance and remuneration, human rights, or a blend of multiple criteria, our benchmarking can be tailored to your goals, ensuring that your voting behaviors are aligned with your strategic priorities.

Advanced Quantitative Methods for In-Depth Analysis

Our approach is unlike any other in the industry. By applying advanced quantitative methodologies adapted from political science, we go beyond current voting metrics (such as “percentage of portfolio voted” or “percentage of votes against management” to capture the underlying orientation expressed by voting behavior. Our proprietary system goes beyond analysis of voting guidelines to evaluates how each investor’s final voting decisions stack up against long-term value creation principles.

Using the following techniques, we provide a statistically robust approach to evaluate and compare voting decisions.

Ideal Point Estimation

We use ideal point estimation, a powerful statistical method that allows us to map both investors and voting proposals in a multidimensional space. This analysis reveals each investor’s "ideal points," derived from their voting patterns, which represent their most preferred stances (maximum utility) on various issues. By mapping these ideal points, we gain insights into how closely each investor aligns with sustainability principles, providing a clear view of their position relative to both experts’ and peers’ positions.

Bayesian IRT Modeling (IDEAL)

As a specific type of ideal point estimation, Bayesian Item Response Theory (IRT) modeling enables us to incorporate uncertainty and complexity into our analysis. Using advanced techniques including Markov Chain Monte Carlo (MCMC) simulations, Bayesian IRT refines each investor’s position based on their voting data by accounting for variability and complexity in real-world decision-making. This approach provides precise estimates of each investor’s alignment with the benchmark, resulting in a more accurate and adaptable benchmarking system.

Why Benchmark Proxy Voting Records?

rezonanz is revolutionizing how institutional investors and asset managers quantify voting behavior and measure their alignment on long-term value creation topics. Our benchmarking service offers asset managers, pension funds, and fund selectors the ability to quantitatively benchmark voting records. The benefits include:

• Alignment, quantified: Our benchmarking helps investors understand how closely voting decisions align with sustainability goals.

• Enhanced Transparency around Stewardship: By providing a quantitative measure of alignment, our service offers transparency for investors and stakeholders.

• Peer learning: With insights from our benchmarking, investors can refine their strategies, ensuring that their voting actions drive meaningful impact.

By choosing rezonanz’s benchmarking service, you gain access to a robust framework for evaluating and enhancing investment stewardship.

Register for free access to the platform today to see a sample or reach out to learn more about our unique offer.

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