More on the exercise of voting rights - VP Fund Solutions (Liechtenstein) AG
VP Fund Solutions (Liechtenstein) AG (hereinafter: VPFSLI) has laid down an effective and appropriate strategy for the exercise of voting and creditors' rights. This strategy comprises measures and procedures which:
- make it possible to keep track of all notable corporate events;
- ensure that all voting and creditors' rights are exercised in keeping with the investment objectives and investment policy of each individual fund;
- prevent or settle conflicts of interest resulting from the exercise of voting and creditors' rights.
2. 1. Strategies for the exercise of voting and creditors' rights
2.1. Exercising voting and creditors' rights
In general terms, a structured information process is a prerequisite for the exercise of voting and creditors' rights. VPFSLI tries to make sure that the way voting and creditors' rights are exercised is in conformity with the longer-term interests of the investors. Where this is not the case, VPFSLI will normally refrain from voting or taking part in corporate events.
2.2. Safeguarding the interests of the investors
VPFSLI exercises the voting and creditors' rights conferred by the assets under management independently and in such a manner as to safeguard the interests of the investors as far as possible.
2.3. Avoidance of conflicts of interest
The aim of VPFSLI is to prevent or, failing that, to settle or resolve conflicts of interest resulting from the exercise of voting and creditors' rights. In addition, where functions are delegated, of his or her own accord the responsible fund manager promptly informs VPFSLI of any conflicts of interest that might arise. In such cases VPFSLI makes sure that only the investors' interests - not those of the authorised agent - influence the decision.
The general rule is that voting and creditors' rights are exercised only if the voting rights held by all funds managed by VPFSLI together make up a holding of at least 1% of the company's voting capital.
An appointed fund manager (delegation recipient) can apply to exercise voting and creditors' rights and make a recommendation to VPFSLI. This application can be made free of charge using a form available on request from VPFSLI. VPFSLI is not bound to accede to applications and recommendations received if it has any doubts that doing so will safeguard the best interests of the investors and the integrity of the market.
3. Contact details
VP Fund Solutions (Liechtenstein) AG
F +423 235 67 77
T +423 235 67 67
More on the exercise of voting rights - VP Fund Solutions (Luxembourg) SA
Voting rights give shareholders the right to take part in annual and extraordinary general meetings and to participate in the making of decisions on weighty issues affecting the company.
Because the funds selected for management by VP Fund Solutions (Luxembourg) SA (hereinafter: VP Fund Solutions) have relatively small positions, VP Fund Solutions will not exercise any voting rights conferred by the assets under management and nor will it delegate the right to exercise those voting rights to any other party. However, in response to an appropriately justified recommendation by a fund manager, VP Fund Solutions may decide to exercise the voting rights of the fund in question or to appoint a representative to do so within limits defined by VP Fund Solutions.
Such exercise of voting rights will be organised by the custodian bank of the fund concerned together with a specialist third party, which will cast the votes according to a standard procedure. For reasons of transparency and investor information the fund managers involved must document the voting appropriately.
At the request of a fund investor VP Fund Solutions will make a brief description of the voting rights strategy available free of charge and release details of its procedures that relate to that strategy.