On April 30, 2015, the Canadian Securities Administrators (CSA) adopted National Policy 25-201 Guidance for Proxy Advisory Firms (the Policy). The Policy provides non-prescriptive and non-exhaustive guidance on recommended practices and disclosure for proxy advisory firms. The guidance is intended to promote transparency in the processes leading to vote recommendations and the development of proxy voting guidelines, and to foster understanding among market participants about the activities of proxy advisory firms.

The guidance is a response by the CSA to certain concerns about the services of proxy advisory firms and their potential impact on Canadian capital markets. In June 2012, the CSA opened up these concerns for public discussion with the Consultation Paper 25-401 Potential Regulation of Proxy Advisory Firms. Following this consultation process, the CSA proposed and published the Policy for comment on April 24, 2014. The CSA has not made any material changes to the Policy which was published for comment. For more information on the Policy, please see Norton Rose Fulbright’s legal bulletin on the proposed Policy.

A copy of the Policy can be accessed here.