CAMAC’s discussion paper addresses key issues relating to shareholder engagement with company boards, the current and future role of the AGM and possible amendments to the annual reporting requirements. The report is expected to inform the drafting of legislation to ensure that the AGM remains responsive to the needs of shareholders and facilitates effective corporate governance.
In response to a request from the Federal Government for advice on reforming the role of the annual general meeting (AGM), the Corporations and Markets Advisory Committee (CAMAC) has published a discussion paper entitled The AGM and Shareholder Engagement.
CAMAC has identified three overarching issues which it considers to be central to the continuing corporate governance role of the AGM:
- the role of the AGM within the broader context of the ongoing relationship between the board and the institutional and retail shareholders of the company ie shareholder engagement;
- the content of the annual report, being the principal document for consideration at the AGM that provides information to shareholders on the state of the company and the stewardship of the board; and
- the current processes, and possible future functions and formats, of the AGM.
The paper considers approaches on each of these matters in Australia and overseas. It also includes specific considerations on the risks and opportunities posed to the structure of the AGM by advancements in technology and globalisation.
Submissions are due by 21 December 2012.
See the discussion paper.
See the media release dated 14 September 2012.