Hunter Hall has a long track-record as an active investor for the purposes of good corporate governance, particularly when we believe that the gap between the price and value of the company is due to either board or management deficiencies. Our ability to do so is also a function of our investment style – buying substantial positions in undervalued and out-of-favour companies. Under such circumstances Hunter Hall undertakes a proactive approach. For example, we may endeavour to convince the investee board of the merits of a share buy-back, we may agitate for changes to the board and/or management, or we may nominate a representative for the board or support another individual to go onto the board. In extreme situations, we may propose (or even call) a general meeting of shareholders.
Hunter Hall also engages with a select group of companies with a view to improving their recognition, reporting and/or performance on environmental matters.