Governance
Fundamental analysisThe structures determining whose interests a company is actually run for.
In plain terms
Where the biggest permanent losses come from. It shows in the notes long before it shows in the price.
1492 terms
Glossary
Every term is defined twice: once the way a filing would put it, and once the way somebody would explain it to you across a table. The second one is usually the one that sticks.
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Governance disclosure
Regulation & taxThe BRSR section reporting board composition, independent directors, anti-corruption policy, and complaints received and resolved.
In plain terms
The most useful part of the filing, because it is standardised and therefore comparable across years and across companies. A rising unresolved complaint count is a signal in itself.
ESG
Regulation & taxAlso called: Environmental, social and governance
Environmental, social and governance factors, disclosed in India mainly through the mandatory BRSR filing.
In plain terms
Read it as operational and governance disclosure that happens to sit under this heading. Whether you value sustainability is a separate question from whether attrition and penalties tell you something.
Corporate governance
Fundamental analysisThe systems by which a company is directed and held accountable to its shareholders.
In plain terms
Genuinely independent directors who have demonstrably disagreed with something. A board of family friends is a formality.
BRSR
Regulation & taxAlso called: Business Responsibility and Sustainability Report
Business Responsibility and Sustainability Report — the standardised sustainability and governance disclosure SEBI requires from the largest listed Indian companies.
In plain terms
Almost nobody reads it, and parts of it are ordinary business facts: attrition, safety incidents and regulatory penalties, filed under an ESG heading.
Material subsidiary
Regulation & taxA subsidiary whose income or net worth exceeds a defined share of the listed group’s consolidated figures, attracting extra governance obligations under the listing regulations.
In plain terms
A subsidiary large enough that it cannot be governed entirely out of sight. The threshold has been tightened over the years, so read the current definition rather than a remembered one.