Campaigners have significantly increased their attempts to use the influence of shares listed on the world's stock exchanges to change corporate practice. Over the last decade non-governmental organisations (NGOs) have targeted hundreds of companies and large investment institutions. Now, for the first time, Risk Books bring you the definitive guide to assessing the impact, effectiveness and legitimacy of such NGO activity.

To help you understand and respond to these risks the book arms you with:

• A framework for capital market campaigning that enables companies and investors to analyse, understand and respond to various capital market campaign strategies

• A detailed analysis of four previously undocumented case studies of NGO capital market campaigning - including examples from GlaxoSmithKline and WWF-UK - these clearly illustrate the extent of risk posed to companies targeted by capital market campaigns

• A range of risk management and mitigation recommendations for investors and companies targeted by campaigners

• An analysis of unpublished literature on NGO capital market campaigning, along with a chronological list of all such interventions (1992-2002)

Charts the history of UK NGOs' capital market campaigning to give you a thorough understanding of these evolving NGO strategies.

Assesses the implications of this form of risk on company reputation and shareholder value.

Reveals valuable real-life lessons that you can apply to your own firm if targeted, including a range of proven risk mitigation strategies that can be deployed.

1. Setting the Scene

Introduction

Overview of NGO CM campaigns

Scope, approach and objectives

Structure of the book

2. Background

What are NGOs and why do they exist?

Why do NGOs target companies?

A taxonomy of different campaign behaviours

The capital market as a campaign target

Is NGO capital-market campaigning legitimate

Chapter summary

3. NGO Capital Market Campaign Strategy

Introduction

A typology of capital-market campaigning

The source of Economic Influence

How NGOs shape Economic Influence

The source of Investor Advocacy Influence

How NGOs shape Investor Advocacy Influence

Which capital market campaign strategies raise the most significant risks?

Checks and balances on capital-market campaigning

Chapter summary

4. The History of Capital-market campaigns

Introduction

Have the number of capital-market campaigns increased?

Have NGOs explored a range of strategies?

Has NGO strategy evolved over time?

Does the relative success improve over time?

Initial lessons for companies and investors

Chapter summary

5. Case Studies

Introduction

The Ethics for the Universities Superannuation Scheme Campaign

WWF-UK's Arctic Refuge Campaign against BP plc

'Capital Punishment': Friends of the Earth's campaign against Norwich Union

"Cut the Cost": Oxfam's campaign against GlaxoSmithKline plc

6. Analysis and Questions

Introduction

Is NGO capital-market campaigning effective and efficient?

Other findings

Lessons for companies and investors

7. Conclusion

Appendix 1: The NGO CM Intervention Chronology

Appendix 2: The Collevecchio Declaration

Appendix 3: The "Equator Principles"

Reviewed by The Rt Hon. John Gummer MP Former Secretary of State for the Environment and Chairman of SANCROFT

NGOs can significantly damage the reputations of individual companies and investors. This book shows how they can prepare for such a confrontation, while making the case for the value of NGO campaigning. Most companies have nothing to hide, so they ought to welcome the way that NGOs can highlight bad practice. It's an important way to maintain trust in the capital market. By keeping control over that small minority who behave irresponsibly, we make it possible for good companies to thrive.

Reviewed by Robert Napier, Chief Executive, WWF-UK

The proposals in these pages are not only responsible but also commercially sensible, and I commend them to companies and investors alike. If the author's recommendations were to be broadly adopted, this would significantly reduce the extent to which civil society needs to confront capital market institutions - which in turn would reduce the risks to companies and investors from such challenges.

Reviewed by John Elkington, Founder & Chief Entrepreneur, SustainAbility

Having read much of this at the galley stage, I can't wait to read the final book. As capital markets move to centre stage in the thinking of activists of every stripe, Steve Waygood's brilliant analysis will be of great value to campaigners, business people and analysts alike.

Reviewed by Matt Christensen, Executive Director, Eurosif

This excellent book provides a rare insight on the NGO's growing ability to influence and shape modern day capital markets. Everyone interested in shareholder democracy and corporate behaviour should be reading this book.

Reviewed by Christopher Bray, Head of Environmental Risk Policy Management, Barclays plc

If there are lingering doubts in some corners of the organisation that NGO opinion is not a valid business consideration, than pass across a copy of this book. Steve provides a well - balanced review of the motivations, objectives and potential tactics of these well-informed and increasingly sophisticated civik society groups.

This is a welcome addition to the growing body of works which are informing the mainstream business strategies in corporate responsibility.