Asset manager says separated roles provide “a better balance of authority and responsibility”, which aligns with the long-term interests of investors.
Leaders occupying both the chief executive and board chair roles in corporates around the world have been put on notice: Legal and General Investment Management (LGIM) will no longer tolerate combined CEO/chairs.
This week LGIM, one of the UK’s largest asset managers, said its policy would be changed around the globe wherever it was invested. The policy will see the firm vote against combined roles in an effort to see them separated, and comes as part of an annual review of proxy voting policies.
The policy has been partly driven by a trend in some companies to split the roles following a scandal, only to bring them back together some
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China will move forward its anti-corruption legislation by drafting a national supervision law, with the revised version scheduled to be submitted to the NPC Standing Committee for review within the year.