Greencape is a boutique investment manager founded in 2006 which specialises in managing long-only Australian equities via funds and discrete mandates. Greencape is majority owned by Greencape’s founders and employees with the remaining equity stake held by Fidante, a wholly owned subsidiary of Challenger. Fidante provides support services for 16 boutique investment managers, including Greencape, who utilise the support structure of Fidante/Challenger for the majority of operational and control functions.
All members of the Greencape Investment Team undertakes ESG engagement activities with companies.
We are particularly focused on governance issues, including capital allocation policies and executive remuneration structures. Capital allocation decisions can, in our view, have a very material impact on the future performance of a stock, and we are heavily focused on assessing company management's track record of allocation decisions, and strategy for the business going forward. Executive remuneration arrangements are also of importance, as they influence behaviour and culture. In general, we advocate for structures that promote a focus on long-term shareholder value creation and have appropriate and quantifiable metrics in place to assess performance.
In addition to ESG issues forming a component of Greencape's investment process, Greecape are also able to draw on a dedicated ESG Specialist within the Fidante Partners business. Fidante’s ESG Specialist provides the boutique investment teams with access to knowledge and expertise in ESG integration and active ownership practices across multiple asset classes. As ESG integration continues to evolve, access to this specialist knowledge enables the investments teams to continuously strive towards best-practice.
With this in-house expertise Fidante is able to build a toolkit of ESG resources to support the ESG work of its boutique partners.
Fidante’s full-scale funds management business enables cost saving to Institutional Shareholder Services Inc. (ISS), the world’s leading provider of corporate governance and responsible investment (RI) solutions. Fidante’s Corporate Actions team supports Greencape with proxy voting reporting requirements and manages their access to the following modules:
Proxy Exchange, delivering objective governance research, recommendations integrated within an efficient workflow to manage Greencape's proxy voting needs on a global basis.