Full annual report - African Bank - Investoreports

ABIL engaged with a wide group of local and foreign investors
during this financial year through roadshows, presentations,
meetings, surveys and conferences, amongst others. The
group believes in frequent and transparent disclosure and
active engagement with investors and funders. ABIL was
recognised as the award winner in the category of Best
presentation to the Investment Analyst Society in 2011/12, its
integrated report was rated excellent in the annual Ernst &
Young integrated reporting survey and its sustainability report
disclosure was rated amongst the best on the JSE in the IRAS
2012 review of sustainability reporting in South Africa.
Our capital providers’ concerns Our response
The growth in unsecured lending
and increasingly competitive
landscape remain of significant
concern to investors
Capital adequacy and the impact of
Basel III
ABIL’s ability to continue to fund on a
wholesale basis and our plans for retail
deposit taking
Regulatory reviews, the potential for
regulatory intervention in terms of the
caps and insurance
Potential for changes to current credit
ratings
>business overview
Concerns and issues expressed by equity holders also
weighed on the minds of debt investors which have had to
be managed proactively throughout the year. There was
continuous engagement through a variety of channels from
the daily interactions through the funding desk, bilateral
interactions with senior management, debt investor
interactions as part of the results reporting and local and
international roadshows.
The group held an investor day, presented at investor conferences and held a large
number of meetings to share our insights regarding the state of the unsecured market.
ABIL implemented a range of initiatives to safeguard the group against deteriorating
conditions which it also communicated to the market.
Please refer to the risk section on page 121 to 124.
Substantial diversification of funding sources. A retail deposit initiative was also launched
during Q4 2012.
Please refer to the risk section on pages 128 to 133.
Striving to
continuously
improve the
alignment
between the
group and its key
stakeholders
Active engagement with credit rating agencies. Please refer to the risk section on
pages 125 to 127.
African Bank Investments Limited | Integrated Report for the year ended 30 September 2012 49