For over 180 years, Ayala has established a strong reputation for integrity and good corporate governance that makes it a company of choice for its stakeholders. As a holding company, we strive to maintain a balanced portfolio at all times, consistently aligning sustainability with long-term strategic objectives.
Management prioritizes key risks that could negatively affect the brand and reputation, especially those attributed to inadequate governance and a weak internal control system, and risks that could prevent our portfolio from delivering on strategic plans. We also considered capital market risk factors such as foreign exchange, interest rates, and credit events that may expose Ayala to actual cash losses and volatility. Beyond financial considerations, we are likewise cognizant of the changing legal and regulatory environment of the sectors and industries where we have investments. These risk factors may potentially impact our capability to fund existing investments and future enterprises.
Natural disasters and human-made hazards also figure prominently in our risk assessment. We understand these types of risks in areas that we own, manage, or operate.
We also value our employees and their contribution to the execution of our plans and strategies.
In response, Management developed a holistic approach to managing critical risks and to understanding the interdependency of risks and consequences of subsequent actions. Of equal importance are our strategies to reduce operational risks on a day-to-day basis.