Two key proxy advisors recently released their final voting policies for the 2016 proxy season. Both ISS and Glass Lewis have set new “overboarding” limits that specify the maximum number of boards on which it is appropriate for a director to sit. However, these new limits will not impact their voting recommendations until 2017.
A recent publication by Stanford’s business school addressed some board practices that are generally accepted as “best practices,” despite no evidence, or even contrary evidence, of their effectiveness. The article debunks these “seven myths” and argues for more flexible standards.
Recently, PwC released its annual survey of public company directors, and Spencer Stuart released its annual review of board practices at S&P 500 companies. These reports highlight key governance trends, including a focus on board composition and diversity and the challenges posed by increased shareholder activism.
The SEC recently adopted final rules dubbed “Regulation Crowdfunding” as mandated by the JOBS Act. Under the rules, individuals may make small investments in securities offered by U.S. businesses on the Internet without meeting any financial or sophistication test.
The Ticker shares recent developments in SEC compliance, capital markets, corporate governance, executive compensation and other matters important to public companies and their officers and directors. It is published by Fredrikson & Byron’s Public Companies Group.’