CORPORATE GOVERNANCE
External Audit
KPMG LLP (“KPMG”) has been the external auditor for A-REIT for 14 years since its listing on 19 November 2002. KPMG has
provided A-REIT with sound professional audit services since its appointment. Nevertheless, as part of ongoing good corporate
governance practices, the Manager is of the view that it would be timely to effect a change of external auditors at this point. It
is therefore proposed that at the forthcoming AGM, Ernst & Young LLP be appointed as the external auditor of A-REIT in place
of KPMG.
Principle 13:
Internal Audit
The internal audit function is outsourced to BDO LLP (“BDO”), an international auditing firm. Staffed by qualified executives, BDO
has unrestricted access to the AC. BDO reports to the Chairman of the AC and is guided by the Standards for the Professional
Practice of Internal Auditing. These standards cover attributes as well as performance and implementation standards.
(D)
UNITHOLDER RIGHTS AND RESPONSIBILITIES
Principle 14:
Unitholder Rights
Principle 15:
Communication with Unitholders
Principle 16:
Conduct Of Unitholder Meetings
The Manager has in place a dedicated team performing the investor relations function and also has in place an Investor Relations
Policy which sets out the principles and practices that the Manager applies in order to provide Unitholders and prospective
investors of A-REIT with the information necessary to make well-informed investment decisions and to ensure a level playing field.
The Manager upholds a strong culture of continuous disclosure and transparent communication with Unitholders and the
investment community. The Manager’s disclosure policy requires timely and full disclosure of all material information relating
to A-REIT by way of public releases or announcements through the SGX-ST via SGXNET at first instance and then including the
release on A-REIT’s website at
The Manager also conducts regular half-yearly briefings for analysts and media representatives, which will generally coincide
with the release of A-REIT’s results. During these briefings, the Manager will review A-REIT’s most recent performance as well
as discuss the business outlook for A-REIT. In line with the Manager’s objective of transparent communication, briefing materials
are released to the SGX-ST and also made available on A-REIT’s website.
The ORMC reviews and evaluates the adequacy of the effectiveness of the Group’s disclosure controls and procedures so as to
ensure that accurate and complete information regarding the operations, financial performance and other material information of
A-REIT that are required to be disclosed, are recorded, processed, summarised and reported to Unitholders and the investment
community in a timely manner and in compliance with the requirements of all applicable laws.
During the year under review, the Manager also met or teleconferenced with institutional investors in Singapore, Hong Kong,
Europe, USA and Australia. In addition, the Manager pursues opportunities to educate and keep retail investors informed of the
REIT industry through seminars organised by the SGX-ST or other public associations. The annual Unitholders’ meeting was also
held for the Manager to engage with the investors, particularly retail investors, allowing them direct access to the Manager to
obtain responses to any queries which the investors might have.
Unitholders are informed of meetings through notices accompanied by annual reports or circulars sent to them. Unitholders
are invited at such meetings to put forth any questions they may have on the motions to be debated and decided upon. Any
Unitholders who are not able to attend these meetings are allowed to appoint up to two proxies to vote on his/her behalf at the
meeting through proxy forms sent in advance. The Manager has also taken measures to cater for the newly introduced multiple
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A-REIT ANNUAL REPORT
2015/2016
