First REIT is required as a REIT listed on SGX-ST to comply with SGX-ST listing requirements as well as the requirements of MAS, other Singapore regulators and regulators of the respective host countries of its properties. Non-compliance can have significant adverse reputational, operational, financial impact and could pose a threat to business continuity. As a line of defence, employees of the Manager are required to undergo training on business conduct & compliance modules to equip themselves with awareness and knowledge.
The Trust’s ability to create positive economic impact for its stakeholders and its immediate ecosystem is largely influenced by its financial performance. Its financial performance, presented in periodic reports and the annual report, is represented by a wide range of metrics such as income performance, cash flow, property valuation, debt and capital management, and foreign currency management.
The Manager recognises and embraces the importance and benefits of having a diverse Board to enhance the quality of the Board’s performance, and in supporting First REIT’s strategic objectives and sustainable development. The Board has implemented a board diversity policy (the “Board Diversity Policy”) which takes into account relevant measurable objectives such as skills, experience and knowledge, gender, age, length of service, ethnicity and other relevant factors. It is paramount that the Manager continues to maintain the appropriate balance and mix of skills, knowledge and experience on the Board to support the needs and long-term sustainability of First REIT’s businesses.
At the recommendation of the NRC and in recognition of the merits of gender diversity, the Board has committed to (a) a target of at least 25% female Directors on the Board, which would allow for significant female representation on the Board; and (b) ensuring that female candidates are included for consideration when identifying suitable candidates for new appointments to the Board. The Board will strive to achieve the stated gender diversity target in the course of the progressive renewal of the Board by the end of 2030.
The Manager believes that achieving the optimum gender representation on the Board would benefit the Manager by providing different perspectives. The push for greater gender diversity would also broaden the Manager’s talent pool and improve its critical thinking and problem-solving capabilities.
The Board, taking into account the views of the NRC, considers that the current Board comprises persons with diverse business experiences and backgrounds who as a group, possess an appropriate balance and diversity necessary to manage and contribute effectively to the Manager and First REIT, as contemplated by the board diversity policy.
Apart from gender and skillsets/experience, the Board composition in terms of age group, independence, tenure and nationality as at 31 December 2023 is as follows: