In this sentence, sy means his:
A very important thing to notice is that sy can also be the subject pronoun she in other sentences.
For example:
So context and sentence position matter. Here, because sy comes directly before the noun standpunt, it is a possessive word meaning his.
Standpunt literally means something like standpoint. In natural English, it can be translated as:
It is a compound noun:
Afrikaans uses compound nouns very often, just like Dutch and German.