AVBOB Integrated Annual Report 2018

• The SHEQ Policies and Procedures were amended to include lockdown procedures in case of protest actions and/or an unsafe environment outside the Head Office buildings in order to keep our employees and clients safe. Responsible investment We have been entrusted by our policyholders with assets in excess of R17,1 billion as at 30 June 2018. The bulk of these funds are managed by six prominent asset managers according to segregated mandates. The Group commits itself to responsible business investment practices and recognises that it has the potential to cause indirect social and environmental impacts, both positive and negative, through its investment and ownership decisions. In recognition of these potential indirect impacts, we consider environmental, social and governance (ESG) issues in our investment and ownership decisions. Our approach towards responsible investment aims to integrate ESG issues into investments across all asset classes as a means of enhancing long-term policyholder value. We are therefore guided by the requirements of: • the Code for Responsible Investing in South Africa (CRISA); and • the sustainability requirement of the Insurance Act 17 of 2018. All our asset managers must comply with the CRISA code, which states that institutional investors should: • incorporate sustainability considerations, including ESG, into investment activities as part of delivering superior risk-adjusted returns; • demonstrate their acceptance of ownership responsibilities in their investment activities; • consider a collaborative approach with other stakeholders to promote acceptance and implementation of CRISA, as well as sound governance; • recognise the circumstances and relationships that hold the potential for conflicts of interest and pro-actively manage these when they occur; and • propose transparent policies, as well as implement them in a transparent manner. The five key focus areas of CRISA can be illustrated as follows: 50