The Institute of Chartered Secretaries and Administrators in the UK (the ICSA), in conjunction with the Investor Stewardship Working Party, has published a consultation entitled ‘Improving Engagement Practices by Companies and Institutional Investors’. Responses to the consultation are invited until 30 November 2012.
According to the ICSA, the areas covered in the consultation document include:
- Whether the nature of the discussion between a company and its investors needed to change, with more emphasis on a dialogue which built and encouraged a long-term relationship with, and commitment to, the company;
- What improvements can be made to the process of holding engagement meetings; and
- Whether companies and institutional investors should seek feedback on the quality of meetings, and how that might be most effectively done.
Submissions and comments are also sought on a list of practical measures designed to make meetings more productive.
Subject to the outcome of the consultation process, the Steering Group intends to issue guidance in March 2013.