07.27.20
Does New SEC Proxy Guidance Complicate Voting for Advisors?
by: Ginger Szala
The SEC has released new guidance for advisors regarding proxy voting responsibility. The rules require proxy voting advice companies to meet three procedures. The SEC says the rules will make proxy voting "more transparent" and “will assist investment advisors in fulfilling their proxy voting responsibilities in light of these amendments to the solicitation rules under the Exchange Act.” However, some within the financial industry are critical of the rules. Karen Barr, president and CEO of the Investment Adviser Association, says the guidance is bad policy. She believes the rules will make it harder for investment advisors to use proxy firms to complete proxy voting responsibilities for clients.
Read the full article on Think Advisor.