Business Conduct based on Christian Values
Our corporate value system is based on the values of Christian faith. It embraces integrity and truthfulness, justice and uprightness, innovation and industriousness, authority and prudent stewardship, excellence and customer-focus. We expect our management, employees and our local representatives in the African countries to not only accept, but also live by these values.
Benefit for all
Our activities shall create win-win situations for investors, as well as employees and the management of the local companies and the local community, by avoiding abusive exploitation of nations and environment. Our projects shall contribute to wealth creation on local, regional and national levels by employing ethical business principles.
Profit optimization instead of profit-maximization
Trans Africa Invest is not solely focused on the three classical criteria of investing; security, liquidity and profitability of an investment. We are looking for profit optimization, not profit-maximization. We are convinced that companies, which are willing to reconcile economic, ecological, social and cultural targets, do not only contribute to an adequate management of business risks but also realize significant competitive advantages. Acknowledging these principles, they also earn a double profit for their shareholders – as demonstrated by scientific analysis.
Charitable Use of Profits
As a company with an ethical responsibility, we are not only taking care of how profits are generated, but also how they are used. It is part of our corporate values to donate at least 10 percent of our consolidated profits (before tax) to non-profit organizations in order to support charitable and humanitarian projects.
Value based investment philosophy
We conduct our business on the basis of Christian values as stipulated in the Bible. First and foremost, they stand for a commitment to human dignity, regardless of race or cultural origin. They also include the promotion of peace, justice and public wealth,as well as the protection of the Creation.
We have developed a set of defined risk elements which exclude a company of becoming a target for potential investment, regardless of the performance and profit of such company. These negative criteria include ethically controversial business sectors (i.e.weapons, drugs, gambling, tobacco) as well as morally inacceptable business behaviors(i.e. child labor, massive destruction of the environment, serious illegal business conduct).
The Criteria for Sustainable Ethical Investments (Positive Screening)
In our analysis of private equity investments, we take into account whether and to which extent the target company achieves the following criteria for a positive ethical sustainability at the time of our evaluation. For start-up or venture-capital investments we expect such contribution to be achieved in a suitable time-frame, based on our reasonable prognosis. The requirements for the achievement of the criteria may vary according to the specific circumstances of the individual investment, its business sector and the legal, social and cultural environment in a country.
From an economic perspective we take into account whether
- profits are made on the basis of long-term production and investment strategies instead of a sole focus on short-term profit maximization
- the fulfillment of basic needs is not in danger
- profits are based on fair business conduct (fairness in competition) and not on the violation of anti-bribery, antitrust or other laws
For investments in Africa the following targets have a particular significance:
- Development and support of sustainable economic cycles
- Strengthening of small and medium-size businesses, support of entrepreneurship
- Creation of employment opportunities
- Increasing the purchasing power of the poor
- Utilization of local production resources
- Performance-increase through process innovation and optimization
- Substitution of local subsistence farming
- Improving efficiency in farming, ranching and forest operations
- Support of domestic commerce within Africa
- Improvement of drinking water supply
- Improvement of medical treatment
From an ecological (environmental) perspective we take into account whether profit making is consistent with the
- increase of resource productivity
- investment in renewable resources
- protection of global and ecological systems (e.g. rain forests, seas)
- realization of adequate measures to minimize environmental risks from operations
- regaining and recycling of used materials and substances
- avoidance of materials which are evidently detrimental for the environment
- realization of adequate technical measures for the reduction of energy consumption and pollution.
Ecological criteria for investments in Africa include:
- Promotion and use of regenerative energies
- Recultivation of soils, reforestation
- Intensified sustainable ecological land use
- Decreasing abusive land exploitation
- Decrease in energy consumption
- Reduction of water pollution
- Decrease in consumption of water
- Lower carbon dioxide footprint
- Conservation of biodiversity
- Measures for avoiding or recycling waste
From a social and cultural perspective we take into account whether profit making is consistent with the responsibility for employees and the social and cultural requirements of the general community. This includes the following parameters:
- Adequate workplace safety
- Working time (International LabourOrganisation minimum requirements)
- Appropriate salaries
- Development of professional education and further job training
- Respect for the individuality of people
- Respect for cultural diversity on the basis of protecting the individual civil rights and social integrity
In this context, investments in Africa –subject to the specific circumstances – should also contribute to a
- constructive and non-corrupt cooperation with the local governmental authorities and the local population
- establishment and improvement of professional training facilities
- establishment and improvement of university education
- improvement of the social conditions of HIV/AIDS widows and orphans
- improvement of health education and medical prevention (e.g. for HIV/AIDS)
- respect of the laws and rules relating to the needs of specific local population groups