Schroders plans to scrap an “anachronistic” ownership structure that has deprived some shareholders of voting rights, as one of the UK’s largest asset managers tries to burnish its governance credentials.
Under a plan laid out on Tuesday, Schroders said that each of the company’s non-voting shares, which account for a quarter of the total in issue, will be converted into an ordinary share carrying voting rights.
The move by Schroders, whose founding family is still the group’s largest shareholder, comes as a boom in sustainable and socially responsible investing sweeps across the asset management industry, generating profits for the likes of Schroders but also turning the spotlight on their own practices.