Daily Brief ESG: Critical Role of Outside Directors Is an Issue Leading to a Majority of Independent Directors and more

• Outside directors, initially just a number- matching and “just for show,” gradually improved amid demands for improved capital profitability and board practices as the foreign ownership increased.
• It’s important to pay outside directors sufficient compensation to enable them to fulfill managerial responsibilities. The company needs to recruit talent with skills and background to achieve its business goals.
• People who can make insightful and rational judgments in an independent position to fulfill their role for the long-term expansion of the company’s value should be appointed as outside directors.

Lucror Analytics’ ESG Scores are based on a 3-tiered scale and are adjusted for Controversies (if applicable).
We assess Buenaventura’s ESG as “Adequate”, in line with its Social and Governance scores, while the Environmental pillar is “Weak”. Controversies are “Immaterial” and Disclosure is “Adequate”.