Society and NIRI Also Urge Members of the House Committee on Financial Services to Request SEC Action to Modernize and Update Its Proxy Rules
NEW YORK, NY--(Marketwired - Jun 1, 2016) - The Society of Corporate Secretaries & Governance Professionals and the National Investor Relations Institute (NIRI), together representing 1,800 public companies, submitted a statement last week in support of the passage of the Proxy Advisory Reform Act of 2016, a bill proposed by U.S. Representatives Sean Duffy (R-WI) and John Carney (D-DE). The statement cited a number of reasons for their support, including:
Commenting on the Society-NIRI statement, Darla Stuckey, President of the Society, said, "Proxy advisory firms exist due to the unintended consequences of a DOL letter and SEC rules in 2003 requiring investment advisers and mutual funds to disclose their voting policies. While outsourcing to proxy advisory firms is pragmatic and rational on the part of institutional investors, given their large number of holdings, the firms now have more voting power than the largest investor at most companies. Society members believe that the Proxy Advisory Reform Act of 2016 addresses many of the concerns raised by public companies and other participants in the U.S. proxy system over the last several years. We support this bill and also urge the members of the subcommittee to request the SEC to take further action on the 2010 Concept Release on the proxy voting system."
About The Society of Corporate Secretaries & Governance Professionals:
Founded in 1946, The Society of Corporate Secretaries & Governance Professionals, Inc., is dedicated to providing members the knowledge, skills and tools to promote effective governance to benefit boards, management and shareholders. To learn more visit www.governanceprofessionals.org.
The full statement is available on the Society website.
Contact Information:
MEDIA CONTACT:
Adam Friedman
917-675-6250