Palm Lane Capital LLP (“Palm Lane” or “The Firm”) Stewardship Code Disclosure:
Under the Financial Conduct Authority’s (“FCA”) Conduct of Business Rules (“COBS”) 2.2.3R, Palm Lane is required to make a public disclosure on its website in relation to the nature of its commitment to the Financial Reporting Council’s (“FRC”) Stewardship Code.
The FRC published the new UK Stewardship Code 2020 (the “Code”), which took effect from 1 January 2020, and consists of 12 Principles for asset managers and asset owners, and six Principles for service providers.
The Code applies on a ‘comply or explain’ basis and is voluntary, aiming at enhancing the quality of engagement between institutional investors and companies, to help improve long-term returns to shareholders and provide for the efficient exercise of governance responsibilities by setting out good practice on engagement with investee companies that institutional investors should aspire to.
Palm Lane deploys a relative value credit investment strategy which has limited exposure to equities for which there may an engagement with issuers. As such, whilst supporting the objectives underlying the Code, the Firm does not consider the Code to be applicable to the Firm’s investment strategy.