Liberty is not just our name it`s what we do.

Transcription

Liberty is not just our name it`s what we do.
About our report (continued)for Liberty’s integrated report 2014 and related content
SITE MAP
Financial highlights, chairman and CE reviews
adjacent
2
About us
Who we are and our brands
4
Our vision, purpose and values
5
Our business model
6
Our history, and focus on expansion in the rest of Africa
8
Our 2014 organisational structure
10
Our new organisational design
11
We are proud of
12
Governance at Liberty
13
Our competitive landscape and chosen markets
32
Our stakeholders
34
How we create sustainable value
More on “About us”
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Individual arrangements
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Asset management
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Group arrangements
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Additional information according
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Governance – long version, includes:
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By key stakeholder
Investors
36
Customers
44
Our people (employees)
50
Regulators
66
Communities
72
Explaining our strategy
Our strategy delivery
76
Management of strategic risks
77
Our strategy 2020 at a glance
78
Summary of 2015 strategic objectives
80
What strategy 2020 means for our key stakeholders
81
Online sustainability review
Introduction
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Printed versions available on request
Financial reporting
Performance review
Introduction
83
2014 Performance dashboard and 2015 targets
84
2014 Strategic objectives and self-assessment
85
2014 Performance review by key stakeholders
86
Why invest in Liberty?
101
Annexure: Summarised financial statements
102
Key performance measures –
formulae and definitions
104
Back cover
Detailed index
Boundary and scope
Web content: downloadable interactive PDFs. IR in HTML
Integrated report contents
About our report including directors’ approval and assurance
About our report
PDF
Liberty Holdings Limited Annual financial statements and supporting
information, including risk management, the report of the chairman
of the group audit and actuarial committee and the independent
auditor’s report
Appendices
Appendix A – Detailed accounting policies
Appendix B – Report of the independent auditors on the group equity value
report and the Group equity value report
Appendix C – South African covered business embedded value
Appendix D – Analysis of ordinary shareholders’ funds invested
Appendix E – Liberty Holdings Limited and Liberty Group Limited rights and
restricted shares and utilisation of share incentive scheme
Appendix F – Consolidated mutual funds
Appendix G – Long-term policyholder liabilities and short-term insurance
liabilities reconciliation
Appendix H – Summary of the group’s assets and liabilities by
measurement basis
Appendix I – Forward exchange contracts
Appendix J – Six year review
Appendix K – Abbreviations and definitions
Contact details, company reference details
PDF
Liberty Holdings Limited
Notice of annual general
meeting and proxy form
Our integrated report is addressed
to you, our shareholders,
as the primary stakeholder.
This report informs you of our
business, the 2014 performance
compared to our previously
stated ambitions and
our plans for the future.
We are fully committed to
generating competitive sustainable
value for our shareholders.
We appreciate that this requires
mutually beneficial partnerships
with key stakeholders.
We acknowledge that our duty
is to prioritise Liberty's ongoing
sustainability above short-term
maximisation of profits.
Our vision is to be the trusted leader
in insurance and investment in
Africa and in our chosen markets.
We aim to provide an improved
quality of life to all our customers.
Our integrated report covers the performance of
Liberty Holdings Limited and its subsidiaries for
the year ended 31 December 2014.
The report also identifies any risks, opportunities
or events between 31 December 2014 and the
date of this report that may have a material impact
on the group.
Materiality
We focus our reporting on material aspects that
impact our ability to be commercially viable and
socially relevant in the communities in which
we operate.
Material aspects are defined as our material
issues and any significant developments that
would influence an assessment of Liberty's
performance or opportunities. In achieving our
vision various capital resources are consumed.
Stakeholder partnerships,
The report is themed around our chosen key
stakeholder partnerships that maximise our
ability to generate competitive sustainable value.
These key partnerships are with:
Investors – who provide financial capital
Customers – who purchase our products and
services (after obtaining appropriate advice
on their financial needs) to achieve their
financial goals
Employees – who supply the necessary skills
and expertise to deliver on our promises to
stakeholders
Regulators – who govern financial stability and
market conduct for our industry
Communities – who provide us with our social
relevance and our future customers and
employees
Liberty is not
just our name
it’s what we do.
Primary reporting
framework
This report is prepared under the guidance of the
International Integrated Reporting hIRiFramework
which has been adopted by the board.
Secondary reporting frameworks
Other reporting frameworks are complied with where appropriate,
including:
Throughout this report
Liberty Holdings Limited and its subsidiaries is referred to as ‘Liberty’ or the ‘group’
Liberty Holdings Limited is referred to as the ‘company’
Standard Bank Group Limited and any subsidiary (excluding Liberty) is referred to as 'Standard Bank'
Abbreviations
We report on our management of the capital resources
and our ability to replenish them through qualitative
commentary, supported by assured key indicators. Our
material issues were confirmed by the board as unchanged
from the prior year.
More emphasis is placed on the group’s South African
operations as they account for 97% of the group’s headline
earnings and revenue.
material issues and capitals
Our material issues are:
Deliver sustainable financial results
Focus on our customers
Attract and retain quality employees
Provide compliant and responsible financial services
Build social and relationship capital
Liberty acknowledges the dependency of capital resources
availability and sustainable utilisation thereof in the
conduct of its plans. The board considers financial, human,
intellectual as well as social and relationship (brand trust)
capitals as the most significant.
Liberty is in itself not a significant consumer of natural
resources, however, the board is committed through
its investment criteria to promote responsible natural
resource utilisation.
BEE
normalised
Reflects the economic reality of
Liberty’s 2004 Black Economic
Empowerment transaction.
The group's BEE preference
shares are treated as an asset
and the dividends received are
included as income. Ordinary
shares relating to the transaction
are treated as in issue.
Directors’ approval
The board acknowledge their responsibility to ensure the integrity of
Liberty’s 2014 integrated report and has applied its collective mind
throughout the preparation of this report. The board believes that the
integrated report is presented in compliance with the International
Integrated Reporting <IR> Framework.
The directors’ unanimously embrace the King Code of Governance
Principles (King lll).
The directors have applied their judgement to the disclosure of
Liberty's strategic plans and ensured that these disclosures do not
place Liberty at a competitive disadvantage.
The integrated report contains certain forward-looking statements
which, by their nature, involve risk and uncertainty because they
relate to future events and circumstances that may be beyond
Liberty’s control. In addition, regulations of the JSE prohibit making
price sensitive forecasts without considerable independent review
and process. The directors therefore advise readers to use caution
regarding interpreting any forward-looking statements in this report.
The board unanimously approved this report and authorised
its release on 18 March 2015.
PwC has checked the accuracy of extracts from the annual financial
statements as well as the group equity value report contained in
our Performance review section and the annexure to this report. In
addition, PwC has provided a limited assurance report on selected
other information contained in this report. Limited assurance was
considered appropriate from a cost benefit perspective. The type
of assurance obtained is specifically referenced where applicable.
Assurance
reports
JSE
Johannesburg Stock Exchange
KPI
Key Performance Indicator
RDR
Retail Distribution Review
CAGR
FSV
SA
Compound annual growth rate
Financial Soundness Valuation
(valuation methodology as issued
by the Actuarial Society of South
Africa used to measure insurance
and investment contracts)
South Africa
SAM
Solvency Assessment and
Management
CAR
GEV
SIP
Capital adequacy requirement
(minimum amount by which the
FSB requires an insurer’s assets
to exceed its liabilities)
Group Embedded Value
Shareholder Investment
Portfolio
CFU
IFRS
TCF
Customer Facing Unit
International Financial Reporting
Standards
Treating Customers Fairly
Assurance
The annual financial statements which comply with the South
African Companies Act, are prepared under International Financial
Reporting Standards and audited by PricewaterhouseCoopers
Inc. (PwC). PwC issued an unmodified audit opinion on the group’s
consolidated annual financial statements and an unmodified
assurance opinion on the group equity value report.
FSB
Financial Services Board
We have chosen to indicate the various levels of assurance received
on reported information in the 2014 Performance review section only.
This is indicated by:
A = Full assurance provided by PwC
{
L = Limited assurance expressed over selected key performance indicators provided by PwC
{
V = Information verified by Empowerdex Economic Empowerment Rating Agency
{
Liberty Holdings Limited
Integrated report 2014