Reference no: EM132791053

Task 1: Evaluate the company corporate governance

You have recently started an internship position with Griffith Best Equity Management (GEM), a large asset management company with A$750 million Assets Under Management located in Brisbane CBD. The company's core investment focuses on domestic share market, however, investments in share markets have provided lower than expected returns in the recent years.

GEM's Chief Investment Officer (CIO) has assigned you to perform an investment appraisal on a single company listed on the ASX200 and provide recommendation if the company analyzed should be included as part of GEM's investment.

Your personal values and experiences are important, you should base your response on the evidence provided in these tasks along with your knowledge gained in the course. It is important that you provide clear evidence of your ability to apply your knowledge of finance as learned in the course to the task. The CIO has requested that your analysis must be up-to-date analysis with at least 3 years of data.

Your report must address the following issues, the first four issues are related the corporate governance (task 1), and the fifth issue is related to the share price analysis (task 2):

1. A brief description of the company analyzed

2. Information of the CEO of the company

3. The Board of Directors of the company

4.Societal Constraints

1. The CEO

a) Who is the CEO of the company?

b) How much did the CEO make last year?

c) What form did the compensation take (salary, bonus, options)?

d) How much equity in the company does the CEO own?

2. The Board of Directors

a) Who are on the board of directors of the company?

b) How long have they served as directors?

c) What is their remuneration?

d) How many of the directors have other connections to the firm (as suppliers, clients, customers, etc.)? Are they independent?

e) How many of the directors are CEOs of other companies?

f) Do any of the directors have large stockholdings?

3. Financial Market Considerations

a) How widely held and traded is the stock?

b) Do many analysts follow the firm?

c) How much trading volume is there in this stock?

4. Societal Constraints

a) How the firm addresses the issue of Corporate Social Responsibility?

b) Does the firm have a particularly good or bad reputation as a corporate citizen?

c) If it does, how has it earned this reputation

The company is Super Retail Group Ltd