Season Results Show that Retail Investors Voted Against Proxy Access
Proposals, According to New Report from Broadridge and PwC US
Aug 27, 2015, 08:00 ET from
NEW YORK, Aug. 27, 2015 /PRNewswire/ -- Broadridge
Financial Solutions, Inc. (NYSE:
PwC's Center for Board Governance
today released their final
ProxyPulse™ report for the
2015 season. The report covers 4,280 U.S. shareholder meetings held
between January 1, 2015 and June 30, 2015, and provides aggregated
data and analysis, including share ownership trends and voting
Of the over 80 proxy access proposals that came to a vote, 70%
received the majority support of shareholders, averaging 57% of the
shares voted. Retail investors voted their shares against proxy
access in significant numbers, while institutions voted 61% of their
shares in favor of such proposals.
"Shareholder rights appeared to be a driving force behind proxy access
proposals this season -- rather than dissatisfaction with specific
company directors," said Chuck Callan, Senior Vice President,
Regulatory Affairs, Broadridge. "Shareholders were strongly
supportive of most directors at companies where proxy access proposals
Shareholder support for say-on-pay strengthened this season, with 90%
of proposals attaining support of at least 70% of the shares voted, up
from 87% last season.
"New rules from the SEC on CEO pay-ratio disclosure, and anticipated
rules on clawbacks and pay for performance disclosure could influence
say-on-pay voting in the future," stated Paula Loop, Lead Partner for
PwC's Center for Board Governance.
In today's release, key findings highlighted by Broadridge and PwC
1,184 directors failed to attain the support of at least 70% of the
shares voted, and 345 failed to attain majority support.
41% of the companies that had a director fail to attain majority
support last season also had a director fail to attain majority
support this season.
There were 57 shareholder proposals to split the roles of Chair and
CEO. Of these, only three received majority support. Fifty seven
percent of directors surveyed in PwC's 2015 Annual Corporate
Directors Survey stated their companies have already separated the
roles, with 11% considering doing so at their next CEO succession.
46% of the companies that failed to attain majority support for
say-on-pay last proxy season had at least one director fail to
garner at least 70% support this season
The report is based upon Broadridge's processing of shares held in
street name, which accounts for over 80% of all shares outstanding of
U.S. publicly-listed companies. In addition, it provides perspectives
from PwC's 2015 Annual Corporate Directors Survey. Visit
www.proxypulse.com to access
the full report.
ProxyPulse is a collaboration between Broadridge and PwC's Center for
Broadridge Financial Solutions, Inc. (NYSE:
BR) is the leading provider of
investor communications and technology-driven solutions for
broker-dealers, banks, mutual funds and corporate issuers globally.
Broadridge's investor communications, securities processing and
managed services solutions help clients reduce their capital
investments in operations infrastructure, allowing them to increase
their focus on core business activities. With over 50 years of
experience, Broadridge's infrastructure underpins proxy voting
services for over 90% of public companies and mutual funds in North
America, and processes on average $5 trillion in equity and fixed
income trades per day. Broadridge employs approximately 7,400
full-time associates in 14 countries. For more information about
Broadridge, please visit www.broadridge.com.
About PwC US
PwC US helps organizations and individuals create the value they're
looking for. We're a member of the PwC network of firms, which has
firms in 157 countries with more than 195,000 people. We're committed
to delivering quality in assurance, tax and advisory services. Find
out more and tell us what matters to you by visiting us at
© 2015 PwC. All rights reserved. PwC refers to the US member firm or
one of its subsidiaries or affiliates, and may sometimes refer to the
PwC network. Each member firm is a separate legal entity. Please see
About PwC's Center for Board Governance
PwC's Center for Board Governance is a group within PwC whose mission
is to help directors effectively meet the challenges of their critical
roles. This is done by sharing governance leading practices,
publishing thought leadership and offering forums on current issues.
For more information, please visit http://www.pwc.com/US/CenterForBoardGovernance.
Jenna J. Focarino
+1-212 -681-1700 ext.115
Copyright © 2015 PR Newswire Association LLC.