US investors reveal deadline for new governance principles
Investor group managing $17trn starts countdown to implementation of new governance guidelines, including the end of dual class shares and the introduction of annual votes for board re-election.
Photo: Shutterstock
Listed companies in the US have been given 11 months to implement a set of new governance principles published this week by a coalition of the world's largest institutional investors.
The six principles include the end of dual class shares and the introduction of annual votes on the re-election of board members.
The investors, known as the Investor Stewardship Group (ISG)—with members including BlackRock, Vanguard and CalSTRS, and a total of $17trn under management—also emphasised an expectation that boards have independent leadership—though the ISG concedes that its membership is split over whether this requires an independen
For thoughtful journalism, expert insights on corporate governance and an extensive library of reports, guides and tools to help boards and directors navigate the complexities of their roles, subscribe to Board Agenda
Related Stories
-
Infosys board cites ‘founder criticism’ as reason for CEO’s departure
Infosys' board seeks to vigorously defend its now-departed CEO Dr Vishal Sikka, who it alleges has quit following criticism from co-founder Narayana Murthy.
-
Global risk: hotspots from the UK, US, Italy, Europe and Qatar
Board Agenda reports on a handful of risk-related tremors around the world, from UK election woes to Eurozone growth and a renewable energy spike.
-
Financial watchdog defends change to listing rules
The Financial Conduct Authority says changes to the listing rules to allow sovereign-owned companies will be "transparent and safe".
