08.14.19
SEC to Consider New Guidance on Investor Use of Proxy Advisors
by: Jessica DiNapoli
The SEC said it would hold a meeting next week on whether to publish new guidance regarding the responsibilities of investors when relying on proxy advisors. The move could set the SEC up for a clash with investors, who worry the agency is siding with companies to diminish voting rights. The SEC said in a notice published on its website that the agency will “consider whether to publish” the new guidance at Wednesday's meeting, but did not specify what the guidance would be. Insiders, however, said they expected the guidance to clarify that investors do not have to submit votes for every share they own, a misconception that has allowed proxy firms to gain influence.
Read the full article on Reuters