OUR PHILOSOPHY
Founding Philosophy
Good corporate governance and ethics are the foundation on which Balondolozi is established. It is this foundation which we will hold ourselves accountable to, that will see us make steady but good growth in the investment management world. Balondolozi aims to be in the top quartile for every fund without compromising or losing focus on first delivering on our investment obligations. We hope to leave behind a legacy of responsible corporate governance and a sustainable business that will continue to deliver value for our shareholders and for the future generation of Balondolozi employees.
Investment Philosophy
All investments for their reward are subject to risk. Foremost to deliver on our mandate it is important to understand precisely the clients’ needs and risk tolerance for us to satisfactorily fulfil our obligation. In line with our name, The Custodians, our philosophy is to deliver bespoke superior risk-adjusted investment returns.
Corporate Philosophy
Our most valuable assets are our people and our customers. It is in this regard that Balondolozi empowers all its employees with the freedom to develop and the capacity to act, and a part ownership of the business. This entrepreneurial environment helps foster great innovative ideas for the benefit of our clients. Balondolozi strives for service excellence in all that we do.
Social Philosophy
Balondolozi has also been founded on good education principles. As an investment business that operates within the South African landscape, a country we are very passionate about, we have a moral responsibility towards the continued growth of our nation. Education being the key element of our development within the world stage, we have chosen that our corporate spend towards socially responsible projects will almost entirely focus on education. Internally, we encourage and sponsor our employees to study further. Externally, we offer investment training to our clients and trustees of Funds regardless of whether we manage their money or not.
Socially Responsible Investing Philosophy
With more evidence mounting against industries’ impact on the environment, Balondolozi is operating in a space where we can influence sustainable business practices, not necessarily in terms of how we invest clients’ money but through shareholder activism. Cooperative efforts of social investors can positively influence management to steer a more responsible environmental course. These efforts can include submitting proxy voting resolutions where dialogue with corporate management is not successful.
Notwithstanding our own social contribution to human social upliftment, we believe in companies that take such issues seriously given our political history. Community development will improve financial performance over time and enhance the stockholders, customers, and employees.
To this effect Balondolozi are signatories to UN PRI and CRISA.
SHAREHOLDING
Ownership Structure
Balondolozi is 51% owned by the P Samuel Family Trust and 49% by the Balondolozi Employee Trust Fund. The shareholding structure caters for all employees via the Balondolozi Employee Trust Fund.
ORGANOGRAM
Balondolozi Board
The members of the board are Masibulele Dem (Non Executive Chair), Yolande Mokhantso (Chief Executive Officer), Pedro Samuel (Chief Operations Officer), Fannuel Tigere (Chief Investment Officer), Christopher Pratt (Head of Research), Nobuhle Mhlanga (Risk Manager), Zanele Mdlekeza (Non Executive Director), Zandie Mlambo (Non Executive Director), Zintle Mjali (Head of Legal).
Balondolozi Investment Committee
The members of the investment committee are Pedro Samuel, Fannuel Tigere and Christopher Pratt.
Balondolozi Audit Committee
The members of the committee are Zanele Mdlekeza (Chair), Nobuhle Mhlanga and Karabo Matsepe (Member of the Investment Team).
Balondolozi Risk and Compliance Committee
The members of the committee are Zandie Mlambo (Chair), Nobuhle Mhlanga and Sindisiwe Mahlangu (Member of the Investment Team).
Balondolozi Executive Committee
The members of the committee are Pedro Samuel (Chair), Yolande Mokhantso, Fannuel Tigere, Christopher Pratt and Nobuhle Mhlanga.
CRISA
Prior to 2017, Balondolozi used to follow a predominantly qualitative approach as we believed that qualitative issues are reflected in security prices. The firm strives to incorporate environmental, sustainability, and governance issues in its investment processes though it is always difficult to incorporate qualitative issues in a quantitative process. Download CRISA Disclosure
ESG
ESG is fundamental for value creation since it leads to efficient capital allocation which in turn leads to higher longer-term returns. Download ESG Policy
FAIS DISCLOSURE
Balondolozi Investment Services (Pty) Ltd (Reg No. 2010/007109/07) is an authorised financial services provider with FSCA License No: 42188. Balondolozi Investment Services is regulated by the Financial Sector Conduct Authority and registered as an accountable institution in terms of the Financial Intelligence Centre Act, 38 of 2001. All investors must take cognisance of the fact that there are always risks involved when buying, selling or investing in any financial product. The value of investments can increase as well as decrease over time, depending on the value of the underlying securities and the prevailing market conditions. Prior to selecting any financial product or fund, investors should seek specialised financial, legal and or tax advice which is relevant to their own individual circumstances before making any investment decision. The information on this website is for general information purposes only and should not be construed as advice, it further does not constitute a solicitation, invitation or investment recommendation. Download FAIS Disclosure
PROXY VOTING
Therefore in voting proxies, Balondolozi, on a case-by-case basis, will consider factors that may affect directly or indirectly the value of the clients’ investments. Download Proxy Voting Policy
SOCIAL RESPONSIBILITY
Employment Equity
Balondolozi’s employment equity policy is to employ at least 75% of its personnel from previously disadvantaged backgrounds. We actively transfer skills across the organisation and seek external development opportunities for all staff. Our procurement policy also strives for 75% participation for previously disadvantaged organisations.
Balondolozi Graduate Programme
The Balondolozi Graduate programme exposes new graduates to the investment management industry. Through this programme Balondolozi identifies and trains interns. After an intense training programme Balondolozi absorbs the interns, failing which they are assisted to secure employment elsewhere.
To date, six of the interns who joined Balondolozi in 2015 have qualified as fully fledged portfolio managers with more than five years’ experience. The group is responsible for individual asset classes. In 2019 Balondolozi appointed three new interns who have since been placed in its permanent employ. At the beginning of 2020 an additional three new interns were brought in to and were placed in Fixed Income, Portfolio Administration and Compliance.
Career Support and Mentoring
Balondolozi encourages and funds all its employees to further their studies as a way to promote continuous development. Currently members of the investment team have enrolled for the CFA course, of which two have completed and are CFA charter holders.
Community Support
Balondolozi also supports Alexandra Education Committee (AEC) who exist to provide bursaries for academically promising high school learners from low-income families in Alexandra for the full five years of education at well-resourced high schools. In addition to financial assistance, Balondolozi has adopted seven learners to be mentored by seven Balondolozi analysts for a period of five years.