Shareholder engagement
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Wikipedia defines a shareholder as....
A shareholder is an individual or institution (including a corporation) that legally owns a share of stock in a public or private corporation.
Wikipedia further defines engagement as.....
An engagement is a promise to marry.
Most of us know that a good marriage needs excellent communication, clear boundaries and the ability to work together towards a common goal. Shareholder engagement is no different!
There has been a rapid increase in shareholder requests for special meetings with the board. This report discusses the potential benefits and complexities of the board-shareholder engagement process, reviews global trends in engagement practices, provides insights into engagement activities at U.S. companies, and highlights developments in the use of technology to facilitate engagement. It also provides perspectives from institutional investors on the design of an effective engagement process. Read more....
Released by the Harvard Law School October 2013
Shareholder engagement used to consist of shareholders attending analyst conference calls, quarterly earnings calls and the annual meeting of shareholders; now, more often, shareholders are meeting one-on-one with representatives of the companies in which they invest. There is a recent trend of shareholders demanding personal interaction with directors and not just the investor relations officer (IRO) or members of the management team. This reflects a new era in corporate governance. Read more....
A Deloitte Insight - Released by the Risk & Compliance Journal October 2013
Corporate governance remains a key area of focus for ABI members as institutional investors. Good governance enhances a company's sustainable performance and so helps underpin long-term economic growth. Read more...
Released by the Association for British Insurers 2013