“As ESG becomes increasingly relevant to investing, investors are realizing the power of active ownership as an investing strategy and are turning their attention to how ESG issues are represented on corporate proxy ballots and how funds vote on these issues, Morningstar reports in ‘The Power of the Proxy in Retirement Plans: Empowering workers saving for retirement with a voice on ESG issues.'”

[COMMENTARY] Many corporate boards that have shown a reticence to adopting significant ESG adaptations to their activities might well be forced to do so. As ESG funds grow they will likely become ever more active in pushing their shareholder agendas on corporate boards.
Investors May Turn to Proxy Voting to Convey ESG Preferences, by Ted Godbout, May 11, 2021, National Association of Plan Advisors (NAPA), USA.