An essential feature of the "Buy & Care" investment strategy is to consider voting and engagement as intimately linked to the portfolio managers’ decision and therefore within their scope of responsibility. Voting and engagement does provide valuable information for the companies and the portfolio managers alike. We believe it is our responsibility to meet the companies we invest in and hence align responsibility with profitability.
All Cadmos funds do systematically exercise their voting rights in the interest of their long term investors. Most items on a general’s meeting agenda have a strong material impact on a company’s long-term prospects and sometimes even on short term results. Critical capital structure decisions (dividend policy, capital transactions, compensation policy, etc.) are voted by the shareholders. The election of board members is also fundamental as experienced, diverse, independent and committed board members develop better long-term strategies. We therefore believe that Cadmos engagement Funds have a financial responsibility to vote.