ALUWANI has a responsibility and fiduciary duty to their clients to ensure that as far as possible, the companies in which we invest on behalf of our clients are committed to adhering to the principles of good corporate governance. We will vote on all company related issues which affect clients’ rights as shareholders where this has been delegated to us, while we further engage with the management of the companies in which we invest on behalf of clients to encourage companies to adopt practices and policies which are expected to maintain create long term shareholder value. Where we are of the opinion that shareholder value is being compromised we will vote against such issues.
We consider environmental, social and governance issues (ESG) integral to sustainable positive shareholder value, which get incorporated in our mainstream fundamental research and investment processes. We believe that by incorporating ESG issues as part of our investment approach we can improve on our long term performance. This will be by either preventing us from investing in companies that are not sustainable over the long term or by influencing companies to improve their sustainability and perform better.
We have incorporated a checklist that helps guide our analysts as to some of the ESG factors to look for and enquire on as they engage with company management. We have a proxy voting / shareholder activism policy that is fully implemented into our investment process and it clearly states our stance and expectations on how we vote on corporate governance matters.