Representation on the Companies’ Boards of Directors‎

The Social Security Investment Fund implements best practices of good governance in its work and investments, including its investments in the companies in which SSC invests.

Based on the Social Security law and the governing regulations, the Fund applies a comprehensive system to monitor the companies’ performance, maintain investment revenue and stakeholders’ rights according to clear criteria, which also accounts for investment risks.

A-Reporting System:
Representatives are required to quarterly report the company’s financial performance, effectiveness of the internal control, compliance to corporate governance practices, efficiency of the company’s executive management, and other matters that could have a financial and / or legal impact on the company’s business and its sustainability.
In addition, the Fund periodically meets with its representatives to review companies' performance, achievements and future plans.

B- Corporate Governance Manual:
To reflect its commitment to adopt the good ‎governance best practices, in 2019 the Fund originated corporate governance manual that regulates the relationship between the Fund, as a competent authority to manage the representation ‎process, and the representatives on the companies’ boards. The Manual identifies the selection and classification criteria for ‎candidate representatives, including their educational degrees, technical knowledge, and practical experiences ‎especially in financial and administrative fields. The Manual also sets the assessment ‎criteria of those representatives to ensure fulfilling their duties. ‎

At the beginning of 2021, the Fund issued an updated version of ‎the manual to further improve the efficiency of the representation process and improve the representatives’ selection criteria. 

 




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