Since 1 March 2008, the voting policy of LO Funds is implemented by RiskMetrics Group, formerly Institutional Shareholder Services Limited (ISS).
Guiding principles in performing proxy voting are to make decisions that:
- favour proposals that in the Company's view tend to maximise Fund's shareholder value,
- are not influenced by conflicts of interest
- factor the cost to the Funds (e.g., ballot charges or shareblocking).
These principles reflect the Lombard Odier's belief that sound corporate governance will create a framework within which a company can be managed in the interests of its shareholders. Moreover, LO Funds ensures that the exercise of voting rights are in accordance with the investment objectives of the funds.
LO Funds seeks to fulfil its proxy voting obligations through the implementation of this policy. In this connection, it has retained a third-party voting service ("Proxy Service") to assist in the implementation of certain proxy voting related functions. Among its responsibilities, the Proxy Service prepares a written analysis and recommendation of each proxy vote.