Last week, the Canadian Coalition for Good Governance released the results of a study focused on the adoption of corporate governance best practices related to shareholder democracy among Canadian issuers. Namely, the study considered such issues as the appointment of independent chairs and lead directors, annual individual director votes, majority voting policies, director election results disclosure and annual "say on pay" votes. Ultimately, the study found a "significant level of adoption" of such best practices since the CCGG's founding in 2003.
For example, as of 2010 the adoption of individual director elections rather than a slate voting system spread to 83% of S&P/TSX Composite Index issuers representing 95% of the Index by market capitalization. Meanwhile, majority voting policies are now in effect at 57% of Index issuers representing 81% of the Index by market cap. Ultimately, however, the CCGG states that more work is needed and that it intends to continue to its advocacy to ensure that adequate rights are available to investors.