The Committee of the Best Practice Principles Group has released its membership and governance guidelines following ratification at their July meeting.
The Guidelines cover eight areas of governance including membership criteria, committee composition, voting rights, membership duties and responsibilities and stakeholder involvement.
A copy of the Guidelines can be downloaded from the BPP Group website: [DOWNLOAD]
Frequently asked questions about the Group can be found on the FAQ page
Following the passage of a draft Bill in the US House of Representatives aimed at regulating proxy advisors (HR 5311) on 16 June 2016 , the Council of Institutional Investors and the International Corporate Governance Network, as representatives of global investors, have written to criticise the proposals.
Signatories to both letters assert that, the Bill, if passed, would have far-reaching and negative consequences for companies and investors, and would not, as the bill’s sponsors suggest, improve the competitive landscape. Continue reading Global Investors criticise proposed US proxy advisor regulations
The European Securities and Markets Authority (ESMA) has published its Follow-up Report on the development of the ‘Best Practice Principles for Providers of Shareholder Voting Research and Analysis (Principles) which looks at the industry’s progress in establishing and following a self-regulatory code of conduct.
Overall, ESMA finds that the industry is “moving in the right direction” although its assessment is only preliminary given that ESMA reviewed the 2015 proxy season only, the first following the adoption of the Principles by signatories.
ESMA’s key findings are that the Principles generally meet ESMA’s expectations, as a result, there is more transparency meaning that stakeholders can better understand how the industry operates.
A copy of the ESMA report can be downloaded Here >>