Our Approach to
Responsible
Investing
Mayar Capital’s Ethical Business-Owner Approach™
At Mayar Capital®, we approach investing with a responsible private business owner's mindset. We believe that a company's ethical behavior, encompassing environmental, social, and governance (ESG) factors, is not only the right thing to do but also crucial for sustainable growth and long-term financial performance. We view ourselves as business owners, not just investors, and believe we have a moral responsibility for the actions of the companies we invest in. This philosophy forms the basis of Mayar's Ethical Business-Owner Approach™.
Our investment process includes a rigorous ethical screening to ensure that potential investments align with our values. We avoid companies involved in industries that contradict our ethical standards, such as gambling, alcohol, tobacco, recreational drugs, and weapons manufacturing. We also assess the social impact of companies in permitted sectors, considering how their practices might be perceived by the public. We believe that companies with strong ESG practices are more likely to be successful over the long term, and we actively engage with management on ESG issues, vote our proxies responsibly, and advocate for greater transparency and disclosure on ESG matters.
Since 2019, we have been a signatory of the United Nations-supported Principles for Responsible Investment (PRI), further solidifying our commitment to integrating ESG factors into our investment analysis and decision-making. We believe that responsible investing is not only about mitigating risks but also about identifying opportunities for long-term value creation. We are committed to continuous learning and improvement in our responsible investing practices, regularly reviewing our ESG policies and engaging with stakeholders to ensure our investments align with broader societal objectives.
Environmental Stewardship
We recognize the urgency of the climate crisis and the importance of environmental sustainability. We actively seek out companies that are leading the way in environmental stewardship, those developing innovative solutions to reduce their carbon footprint, conserve resources, and minimize pollution. We believe that these companies are not only better positioned for long-term success but also contribute to a healthier planet for future generations.
Social Responsibility
We believe that companies have a responsibility to their employees, customers, and the communities they operate in. We invest in companies that prioritize fair labor practices, respect human rights, and actively engage with their stakeholders. We believe that companies that treat their employees well, provide high-quality products and services, and contribute to the well-being of their communities are more likely to build strong brands and loyal customer bases, leading to sustainable growth and profitability.
Governance Excellence
Good governance is the foundation of any successful company. We invest in companies with strong governance structures, including independent boards, transparent decision-making processes, and fair executive compensation. We believe that companies with good governance are more likely to make sound decisions, manage risks effectively, and avoid scandals that can damage their reputation and financial performance.
Mayar Capital® is a signatory of the internationally-recognized Principles of Responsible Investment (PRI)
We commit to incorporating environmental, social and governance (ESG) factors into investment decisions.
Signatories’ commitments:
As institutional investors, we have a duty to act in the best long-term interests of our beneficiaries. In this fiduciary role, we believe that environmental, social, and corporate governance (ESG) issues can affect the performance of investment portfolios (to varying degrees across companies, sectors, regions, asset classes and through time).
We also recognise that applying these Principles may better align investors with broader objectives of society. Therefore, where consistent with our fiduciary responsibilities, we commit to the following:
Principle 1: We will incorporate ESG issues into investment analysis and decision-making processes.
Principle 2: We will be active owners and incorporate ESG issues into our ownership policies and practices.
Principle 3: We will seek appropriate disclosure on ESG issues by the entities in which we invest.
Principle 4: We will promote acceptance and implementation of the Principles within the investment industry.
Principle 5: We will work together to enhance our effectiveness in implementing the Principles.
Principle 6: We will each report on our activities and progress towards implementing the Principles.
The Principles for Responsible Investment were developed by an international group of institutional investors reflecting the increasing relevance of environmental, social and corporate governance issues to investment practices. The process was convened by the United Nations Secretary-General.
In signing the Principles, we as investors publicly commit to adopt and implement them, where consistent with our fiduciary responsibilities. We also commit to evaluate the effectiveness and improve the content of the Principles over time. We believe this will improve our ability to meet commitments to beneficiaries as well as better align our investment activities with the broader interests of society.
We encourage other investors to adopt the Principles.
Learn more about PRI here