The value of Ubuntu – moral and governance case for ethical and responsible financing and investment practices in South Africa

This chapter sets out to examine the application of responsible investment (RI) principles through the lens of Ubuntu philosophy as an alternative corporate governance approach. The authors seek to understand why African investment managers are more grounded in Western philosophies compared to Ubuntu. Data were collected on the institutional investors’ environmental, social and governance (ESG) practices in South Africa and through the interviews of seven institutional asset owners. Evidence indicates that, apart from weak regulatory environments, corporate governance standards in many developing countries do not resonate with native cultural values and philosophies. Although the Ubuntu philosophy is a growing phenomenon, an increase in contextualization of its economic and financial cases through business education is warranted for it to be well grounded