This is not a legal document, but outlines what we at RE:CM regard as reasonable governance principles. We use these principles as a guide in our interaction with our investee companies’ boards.

General principles
We regard our investment in listed companies on our clients’ behalf as representing part ownership of the underlying businesses. We view the boards of these companies as our clients' (the owners) representatives. As such, we expect each board to maximise the long-term returns their company generates through their:

• capital allocation policies, and
• management remuneration policies.

Risk management policies
From the board, we expect the following:

• effective communication,
• rational capital allocation, and
• respect for ownership rights.

Effective oversight and control of management
In return, we (as agents for our clients, the part owners of the business) commit to:

• open dialogue with the board;
• disclosure of our policies and voting record;
• rational behaviour as agents for our clients (the owners); and
• a commitment to the mindset of long-term business ownership.