I had resisted all temptation to write about what I thought was really at play when Futuregrowth decided to stop lending to six state-owned entities. That was until this week's statement by the Land Bank and the asset manager that they had kissed and made up. If you have been married for as long as I have, you will know that when you are unhappy with your wife, you speak to her about it, not the neighbours, and certainly not your family or, worse still, hers.You see, your wife may later forgive your little tantrums and warmly take you back. But your family, and most certainly her family, are not likely to forget. They won't remind you about it at every family braai, but there will be consequences that you cannot undo for a very long time.Don't be surprised when you catch your father-in-law staring at you from across the room, slowly shaking his head at you in disbelief and dismay.In its purest form, an asset manager being concerned about the governance or performance of his client or borrower is not in itself wrong.story_article_left1It happens every day at every asset manager, and I am certain that Futuregrowth regularly reviews all its clients and borrowers and, where it has concerns, takes these up with the companies.After all, asset managers take people's hard-earned savings and invest them on their behalf, so they have to be diligent and cautious.So why, on that fine Wednesday afternoon, did Futuregrowth decide not to engage directly with its government-owned clients and instead tell the neighbours, the family and the whole world that it was unhappy with Eskom, Transnet, Sanral, the Land Bank, the Industrial Development Corporation and the Development Bank of Southern Africa - and proceed to storm out of the relationship and stop lending to them?It is clear now that Futuregrowth has no regard for state-owned companies and didn't bother considering the reputational damage the public announcement would have on its clients.It obviously does not see government-owned companies as being at the same level of sophistication as its privately owned or even its JSE-listed clients.How is it that not one asset manager came out and expressed concern over the overheating unsecured lending book at African Bank before it went bust? What did asset managers do as Lonmin's value literally disappeared - when, over seven years, the company lost 99% of its value? They injected more than a billion dollars back into the company over the same period.So what is it about state-owned companies? Is it because they are owned by a black government, run by black executives and led by majority black boards?Well, a conversation I had on radio with the Land Bank chief financial officer, Bennie van Rooy, began to shed some light.block_quotes_start If Futuregrowth had an issue with the six state-owned companies that it had funded for so many years, why not sit down with them, one by one block_quotes_end"The background of the concern by Futuregrowth, and where it originated, was the announcement made of the establishment of the SOE steering committee to be chaired by the president. That caused concerns in the minds of Futuregrowth that the decision-making of the Land Bank may no longer be independent, and the board may even be forced to take decisions or that its decisions could be changed by another authority. So it was an issue of executive oversight", said Van Rooy."We had to then convince them that our current processes could withstand any form of scrutiny and that our board mandates are independent. What Futuregrowth did not necessarily appreciate was how many of the independence and governance requirements are included in the Land Bank Act, and to change those requirements that are related to the appointment of board members, independence and conflicts of interest would require a change in the act itself, which is not an easy process", said Van Rooy.Pushed on why an asset manager would be concerned about procurement, which is, in the main, a day-to-day management competency, Van Rooy noted that "Futuregrowth's concern was that there could be conflicts of interest in procurement decisions, and that board members and related parties could benefit from procurement activities".story_article_right2The relationship between an asset manager and its client or borrower must be one of trust, at least at some level.If Futuregrowth had an issue with the six state-owned companies that it had funded for so many years, why not sit down with them, one by one, raise its concerns and give them an opportunity to make amends?Why go out publicly and denounce all six as some evil bunch who don't deserve your money?In time, most of the suspended six will be back in the asset manager's good books again. Transnet will drop the damages claim. The DBSA will be back. The IDC will be back, and perhaps even Eskom and Sanral .But that's the couple. What about the family? Will the government or even ordinary South Africans ever see Futuregrowth in the same light? Many will probably learn to forgive, because that's what we South Africans do - we forgive. It may take a while before we forget, though.Khumalo is chief investment officer of MSG Afrika Group and presents "Power Business" on Power98.7 at 5pm, Monday to Thursday..