Investment Stewardship for Systems Change

This report introduces Railpen’s refined approach to systems stewardship and provides an overview of our system‑wide engagement plans for 2026-2030.

As a long‑term asset owner with a highly diversified portfolio, Railpen recognises that some risks and opportunities – including those linked to sustainability, governance and structural market conditions – operate at a system‑wide level and cannot be diversified away. Understanding and responding to these issues matters directly to long‑term member outcomes.

A refined approach, shaped by evidence

During 2025, Railpen undertook a comprehensive review of its systems stewardship approach. This work was informed by evolving academic and industry evidence, changing market and policy dynamics, and collaboration with internal investment and operational experts, the Trustee, and external peers.

The report explains how this review has led to a more structured, evidence‑led framework, including clearer articulation of:

• how financial materiality informs stewardship priorities

• how we decide where to focus our time and influence

• how systems stewardship contributes to long‑term value creation for members

Introducing system‑wide engagement plans

For the first time, Railpen is publishing a set of high‑level engagement plans across our priority stewardship themes. These plans outline our intended direction of travel over the next three to five years, including the types of issues we will focus on, the tools we expect to use, and how we will measure success.

Rather than prescribing detailed activity, the plans are designed to provide transparency, signal our engagement intentions, and support wider industry learning on systems stewardship.

Stewardship priorities

Over the period 2026-2030, Railpen will continue to focus on four priority themes that evidence indicates are most financially material to long‑term portfolio performance:

1. Sustainable financial markets

2. Responsible technology

3. Worth of the workforce

4. Nature (including climate)

While these themes are interconnected, each requires a distinct approach to influencing for change. The report explains how Railpen approaches this challenge and why prioritisation is essential.

Looking ahead

This overview is intended as a gateway to Railpen’s systems stewardship thinking. The full report sets out the context, rationale and framework in greater depth and explains how Railpen plans to evolve its approach over the next five years.

We will continue to report on progress and learning through our stewardship reporting and future publications.

The individual system‑wide engagement plans will be published on a rolling basis... Keep an eye on the downloads section of this page, where each engagement plan will be added as it is released.