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STANLIB Asset Management Ltd

Late Submission

PRI reporting framework 2017

Basic Information [OO 01 - 09] Gateway asset class implementation indicators [OO 10 - 12]

Investment policy [SG 01 - 04] Objectives and strategies [SG 05 - 06] Governance and human resources [SG 07 - 08] Promoting responsible investment [SG 09 - 11] Implementation not in other modules [SG 12 - 16] Innovation [SG 17]

Direct - Listed Equity Incorporation

Overview [LEI 01 - 02] ESG incorporation in actively managed listed equities [LEI 03 - 12] (A) Implementation: Screening [LEI 06 - 08] (C) Implementation: Integration of ESG issues [LEI 10 - 12] Outputs and outcomes [LEI 14 - 16] Communication [LEI 17]

Direct - Listed Equity Active Ownership

Engagement [LEA 01 - 16] Overview [LEA 01 - 02] Process [LEA 03 - 10] Process for engagements run internally [LEA 03 - 04] Process for engagements conducted via collaborations [LEA 05 - 06] General processes for all three groups of engagers [LEA 09 - 10] Outputs and outcomes [LEA 11 - 15] Communication [LEA 16] (Proxy) voting and shareholder resolutions [LEA 17 - 27] Overview [LEA 17] Process [LEA 18 - 22] Outputs and outcomes [LEA 23 - 26] Communication [LEA 27]

Direct - Fixed Income

Overview [FI 01 - 03] ESG incorporation in actively managed fixed income [FI 04 - 16] Implementation processes [FI 04 - 06] (A) Implementation: Screening [FI 07 - 10] ESG incorporation in passively managed fixed income [FI 17] Fixed income - Engagement [FI 18 - 20] Outputs and outcomes [FI 21 - 22] Communication [FI 23]

Direct - Property

Overview [PR 01 - 04] Fundraising of property funds [PR 05 - 06] Pre-investment (selection) [PR 07 - 09] Selection, appointment and monitoring third-party property managers [PR 10] Post-investment (monitoring and active ownership) [PR 11 - 17] Overview [PR 11] Property monitoring and management [PR 12 - 13] Outputs and outcomes [PR 18 - 19] Communication [PR 20]

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You are in Direct - Listed Equity Incorporation » ESG incorporation in actively managed listed equities » Implementation processes

Implementation processes

LEI 03. Percentage of each incorporation strategy

New selection options have been added to this indicator. Please review your prefilled responses carefully.

03.1. Indicate (1) which ESG incorporation strategy and/or combination of strategies you apply to your actively managed listed equities and (2) the breakdown of your actively managed listed equities by strategy or combination of strategies (+/- 5%)

ESG incorporation strategy (select all that apply)

Screening alone (i.e. not combined with any other strategies)

Thematic alone (i.e. not combined with any other strategies)

Integration alone (i.e. not combined with any other strategies)

Screening and Integration strategies

Percentage of active listed equity to which the strategy is applied

100 %

Thematic and integration strategies

Screening and thematic strategies

All three strategies combined

We do not apply incorporation strategies

Total actively managed listed equities 100%

03.2. Describe your organisation’s approach to incorporation and the reasons for choosing the particular ESG incorporation strategy/strategies.

STANLIB has long had a process for assessing the strength of each of the management teams of the companies in which it invests. Our research team currently uses a research process with 4 pillars including company valuation, moat, uncertainty rating and stewardship. STANLIB’s stewardship approach focuses on assessing the quality of management through a detailed questionnaire in terms of: accounting transparency; board independence; ownership, management incentives and accountability; strategy and execution; and social and environmental responsibility. The rating for stewardship is incorporated into our assessment of the overall attractiveness of the company as an investment.

03.3. Where assets are managed using a combination of ESG incorporation strategies, briefly describe how these combinations are used. [Optional]

For our coverage universe we arrive at an ESG score and use this to rank companies as well as engage with them. We believe that an ESG score provides a valuable risk measure.

LEI 04. Type of ESG information used in investment decision (Private)

LEI 05. Information from engagement and/or voting used in investment decision-making (Private)

(A) Implementation: Screening

LEI 06. Types of screening applied

06.1. Indicate and describe the type of screening you apply to your internally managed active listed equities.

Type of screening

Negative/exclusionary screening

Positive/best-in-class screening

Screened by

Product

Activity

Sector

Country/geographic region

Environmental and social practices and performance

Corporate governance

Description

Ranking tables

Norms-based screening

06.2. Describe how the screening criteria are established, how often the criteria are reviewed and how you notify clients and/or beneficiaries when changes are made.

Used in our internal ranking processes. We review the rankings at least annually. We do not notify clients of changes, as we utilise the ESG score as part of the investment decision making process.

LEI 07. Processes to ensure screening is based on robust analysis

07.1. Indicate which processes your organisation uses to ensure screening is based on robust analysis.

Comprehensive ESG research is undertaken or sourced to determine companies’ activities and products.

Companies are given the opportunity by you or your research provider to review ESG research on them and correct inaccuracies

External research and data used to identify companies to be excluded/included is subject to internal audit by ESG/RI staff, the internal audit function or similar

Company ESG information/ratings are updated regularly to ensure that portfolio holdings comply with fund policies

A committee or body with representatives independent of the individuals who conduct company research reviews some or all screening decisions

A periodic review of the quality of the research undertaken or provided is carried out

Other, specify

None of the above

07.2. Additional information. [Optional]

LEI 08. Processes to ensure fund criteria are not breached (Private)

(B) Implementation: Thematic

LEI 09. Types of sustainability thematic funds/mandates (Not Applicable)

(C) Implementation: Integration of ESG issues

LEI 10. Review ESG issues while researching companies/sectors

10.1. Indicate if E, S and G issues are reviewed while researching companies and/or sectors in active strategies.

ESG issues	Coverage/extent of review on these issues
Environmental	Environmental We systematically review the potential significance of environmental issues and investigate them accordingly We occasionally review the potential significance of environmental issues and investigate them accordingly We do not review environmental issues
Social	Social We systematically review the potential significance of social issues and investigate them accordingly We occasionally review the potential significance of social issues and investigate them accordingly We do not review social issues
Corporate Governance	Corporate Governance We systematically review the potential significance of corporate governance issues and investigate them accordingly We occasionally review the potential significance of corporate governance issues and investigate them accordingly We do not review corporate governance issues

10.2. Additional information. [Optional]

We review the stewardship (ESG) score of companies under coverage annually, or for specific event driven reasons.

LEI 11. Processes to ensure integration is based on robust analysis (Private)

LEI 12. Aspects of analysis ESG information is integrated into (Private)

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