Aeon Social Responsible Investing Outline
The aim of social responsible investing is to identify companies whom have a positive effect on the South African society through Product & Service delivery, Employment, Corporate Social Responsibility (CSR) and Black Ownership.
1. Business and Product
- Does the company engage in ethical business practices?
- Does the product add value to the consumer?
- Does the company offer products and/or services which meet the needs of low income consumers?
2. Employment Creation and Labour Practices
- Has the company consistently created jobs over the past years?
- Does the company have expansion plans that include an increased workforce in the coming year(s)?
- Do they have positive employee practices?
- Do they ensure their suppliers meet local ethical labour standards?
3. Corporate Social Investing and Its Effectiveness
- What is their allocation to CSR initiatives as a percentage of earnings?
- Are the CSR initiatives undertaken by the company directed to sustainable projects that will benefit the community in the long run?
4. Black Ownership and Management
- What percentage of the company is owned by black individuals?
- What percentage of the company is owned by black employees?
- Is the black ownership broad based, or concentrated among a few individuals?
- What percentage of senior management is comprised of black individuals?
- What percentage of the board is comprised of black individuals?
- Is the BEE shareholding at the holding company level?
- Does the company engage in practises that are considered destructive?
- Is the pollution or harmful effects of the company being offset by community improvement and growth?
- Does the company have a plan to reduce its environmental effect going forward?
“For to be free is not merely to cast off one’s chains, but to live in a way that respects and enhances the freedom of others.” – Nelson Mandela