Annual report and financial statements - NVM Private Equity Ltd.

Corporate Governance
The company is committed to
maintaining high standards in
corporate goverance.
The board of Northern AIM VCT PLC
has considered the principles and
recommendations of the Association
of Investment Companies Code of
Corporate Governance (AIC Code)
by reference to the Association of
Investment Companies Corporate
Governance Guide for Investment
Companies (AIC Guide). The AIC
Code, as explained by the AIC Guide,
addresses all the principles set out in
Section 1 of the Combined Code, as
well as setting out additional principles
and recommendations on issues that
are of specific relevance to Northern
AIM VCT PLC.
The board considers that reporting
against the principles and
recommendations of the AIC Code,
and by reference to the AIC Guide
(which incorporates the Combined
Code), will provide better information
to shareholders.
The company is committed to
maintaining high standards in corporate
governance and has complied with the
recommendations of the AIC Code and
the relevant provisions of Section 1
of the Combined Code, except as
set out below.
The Combined Code includes
provisions relating to the role of the
chief executive, executive directors’
remuneration and the need for an
internal audit function. For the reasons
set out in the AIC Guide, and in the
preamble to the Combined Code,
the board considers these provisions
are not relevant to the position of
Northern AIM VCT PLC, being an
externally managed venture capital
trust. The company has therefore not
reported further in respect of these
provisions.
Board of directors
The company has a board of five nonexecutive
directors, four of whom are
considered to be independent of the
company’s investment manager, NVM
Private Equity Limited (NVM). The
board meets regularly on a quarterly
basis, and on other occasions as
required, to review investment
performance and monitor compliance
with the investment policy laid down
by the board. The board is responsible
to shareholders for the effective
stewardship of the company’s affairs
and has a formal schedule of matters
specifically reserved for its decision
which include:
• consideration of long-term strategic
issues;
• valuation of the unquoted
investment portfolio; and
• ensuring the company’s compliance
with good practice in corporate
governance matters.
A brief biographical summary of
each director is given on page 4.
The chairman (Mr C J P Dawnay)
leads the board in the determination
of its strategy and in the achievement
of its objectives. The chairman is
22 Northern AIM VCT PLC Annual Report and Accounts 2007