PIC Corporate Governance Rating Matrix
The Centre was appointed by the South African Public Investment
Corporation (PIC) in 2008 to develop a Corporate Governance Rating
Matrix to be applied to listed South African corporations. The PIC
is a government-owned asset manager and its biggest client is the
Government Employees Pension Fund. As at the 31st March 2011 the
total PIC assets under management is R1.032 trillion making it one
of the largest asset managers on the African continent. During the
first two years the research included the top 40 companies listed
on the Johannesburg Stock Exchange (JSE). In 2011 this has was
expanded to the top 100 companies listed on the JSE. The top 100
will be researched again in 2012.
The team that developed the matrix comprised Prof Bob Garratt
(chairman of the Centre), Thina Siwendu (senior research fellow of
the Centre), Daniel Malan (director of the Centre), Deon Botha
(Corporate Governance Specialist at the PIC and senior research
fellow of the Centre), as well as external experts that included
Prof Philip Sutherland, Tom Wixley and Kwanele Gumbi.
The matrix incorporates existing PIC, South African and
international corporate governance standards and best practice.
Compliance-related information received from the PIC was balanced
with "softer" measures on adherence to the fundamental corporate
governance values of transparency, honesty and accountability. The
emphasis was on the development of core indicators that focus on
material issues and performance, rather than extensive tick-box
questions on technical issues.
In 2012,
five analysts have been appointed to undertake the
research.
New Matrix Launched to Measure Corporate Governance Levels in
SA
For more information, contact deon.botha@usb.ac.za