We work in partnership to balance stakeholder interests, views and expectations; as we seek to generate long-term compounding real returns.
Our aim is for these returns to outperform inflation by 3%-6% over the medium to long-term, and the FTSE All-Share Index over 10 years.
Collective responsibility
Each director will seek to balance stakeholder interests, views and expectations whilst recognising that every decision the board makes will not necessarily result in a positive outcome for all.
The board’s aim is to ensure that decisions are consistent and predictable as we seek to generate long-term value.
Our shareholders
Our shareholders provide Caledonia’s permanent capital and it is for their benefit that the directors are required to promote the company’s success.
We have increased our pay-out to shareholders every year for more than half a century.David Stewart Chair
How we engage
Shareholders provide Caledonia’s permanent capital and it is for their benefit that the directors are required to promote the company’s success. We remain committed to a proactive and constructive dialogue with them:
- Our Chief Executive Officer and Chief Financial Officer hold regular meetings with institutional investors, private client stockbrokers and fund managers, particularly following the publication of our half-year and annual results
- A new programme of spotlight events for investors and analysts on each of our three pools providing insight on the investment philosophy, strategy and portfolio, the first of which was held on the Private Capital pool in January 2025
- Investor conferences attended by retail investors and fund managers
- Regular market announcements, including monthly NAV announcements, half-year and annual results webcasts keep shareholders apprised of performance
Our people
Centred around a collection of values that shape our approach to every aspect of investing, our team is key to delivering long-term performance. We seek to create an environment that enables us to attract, retain and develop exceptional people.
We're one team, working together towards the same goal.Caroline May Group Financial Controller
How we engage
Our team is key to delivering long-term performance. We encourage honest and open communication, both formally and informally, to ensure employees remain closely involved with the success of the business:
- Caledonia has a small number of employees which enables regular formal and informal access to Board directors, irrespective of seniority, together with frequent colleague involvement in board and committee meetings. As such, the board believes that these existing arrangements are effective and therefore the methods for workforce engagement suggested by the UK Corporate Governance Code are not necessary
- Formal periodic reports on staff-related matters, including any instances of concerns or grievances raised and suggestions received for improvements to the workplace culture, assist the board in understanding the views of employees
Our portfolio companies
& private equity funds
Our portfolio companies, both public and private, and private equity funds provide the source of returns to our shareholders. We build rewarding relationships with, and a deep understanding of, our investments.
Caledonia are an incredibly supportive partner and investor to work with.Jonathan Lawson CEO, Butcombe Group
How we engage
Our focus remains on long term careful stewardship to create value for our shareholders. We seek to build rewarding relationships with, and a deep understanding of, our investments:
- Public companies: we use in-house and third party research to closely monitor the performance of companies in the Income and Capital portfolios
- Public companies: meetings with management teams are an important part of our ongoing stewardship activities
- Public companies: we make considered use of our voting rights at all shareholder meetings
- Private capital: Our employees serve as non-executive directors on the boards of portfolio companies in which we hold a significant investment, providing oversight and helping to ensure that our board is kept apprised of key developments and the views of a broader group of stakeholders
- Funds: alongside proactive monitoring of fund performance, we are represented by employees on numerous advisory committees established by the managers of the funds in which we invest
- Funds: a regular programme of meetings with fund general partners, other limited partners and investee businesses enables us to gain real insight into the ongoing management of our portfolio
Our communities
The Caledonia Investments Charitable Foundation – we look to support communities which resonate with our history, values, culture and team. Alongside the Caledonia intern programme — we remain committed to advancing new talent in our industry.
The programme was inspiring and eye-opening, providing a unique understanding of Caledonia's approach. It was also the most welcoming and supportive environments.Elliot Zielonka 2025 Intern Alumna
How we engage
We look to support the communities in which the company and our investee companies operate and charities which resonate with our history, values, culture and team:
- Charitable giving: the Caledonia Investments Charitable Foundation (‘Foundation’) is the focus for Caledonia’s charitable activity, providing support to many good causes each year. The company made a grant of £300,000 to the Foundation during the year
- Volunteering: as part of our ongoing charitable commitment and to further encourage employees to support the Foundation, together with other charities and good causes, we provide up to two additional days of leave each year to employees so they can volunteer their time
- Intern & alumni programme: with support from an independent facilitator and involvement from employees across the business, the programme provides interns with an invaluable insight into Caledonia, the investment management industry and helps build skills for their future careers
Our suppliers
We build and value long-term supplier relationships built on transparency, reliability and quality to support our investment activities.
We operate clear payment practices to ensure fair and prompt payment.Richard Webster Company Secretary
How we engage
We value long-term supplier relationships built on transparency, reliability and quality to support our investment activities:
- We benefit from good relationships, often built over many years, with suppliers and advisers who share our values
- The Board is informed on key supplier matters where relevant
Section 172 statements
Section 172 of the Companies Act 2006 (the ‘Companies Act’) requires each of our board directors, individually and collectively, to act in the way they consider, in good faith, would most likely promote the long-term success of the company for the benefit of its members as a whole.