CRISA Considerations

STANLIB has incorporated ESG thinking into its research process for all shares that it analyses. We have a 25 question questionnaire that needs to be answered with most of the questions dealing with governance issues such as Transparency, Board Independence, Remuneration, Ownership and Accountability, and Strategy and Execution of the strategy.

More recently we have started evaluating companies in terms of their commitment to environmental and social issues and questions such as the following need to be answered.

  1. Does the company have an integrated report on the social and environmental impact of its operations and how it plans to mitigate any negative future impact?

  2. Does the company have suitable health, safety and welfare arrangements for employees to provide them with sufficient protection?

  3. Does the company consider the impact on the environment from its existing operations and when considering new projects, products or services? Is it actively engaged in practices in order to reduce its impact on the environment?

  4. Does the company give regular financial support to local community activities and projects?

  5. Does the company have a clearly defined set of values and rules of conduct which it follows and communicates to employees, customers, suppliers etc?

Assessments have been made and continue to be made on all the companies that our analysts review.