Forum Report: Fair Investor Access
Responsibilities of Directors for Investor Communications
A summary of the 2012 updated Business Roundtable "Principles of Corporate
Governance" was posted on Friday:
Focusing on the views of board responsibility for investor communications
that have been evolving since the Forum's 2010 "E-Meetings" program,* the
summary includes this as one of the new principles (also stated on page 3
of the full report):
"...it is the responsibility of the corporation to engage with
longterm shareholders in a meaningful way on issues and concerns that are
of widespread interest to long-term shareholders, with appropriate
involvement from the board of directors and management."
Relating more specifically to the current Forum program's objectives
of establishing standards for the use of technologies for more effective
investor communications, the full report included this guidance in its
section on "Relationships with Shareholders and Other Constituencies"
"Corporations should have effective procedures for long-term shareholders
to communicate with members of the board and for directors to respond in a
timely manner to the concerns of long-term shareholders. Technology can
facilitate these procedures. The board, or the corporate governance
committee, should oversee and update these procedures as appropriate."
Your comments will be welcomed.
GL – August 20, 2012
Chairman, The Shareholder Forum
575 Madison Avenue, New York, New York 10022
See, for example,
October 18, 2010 Agenda: "Companies Prepare for New Investor
Communication Demands" and
First Quarter 2011, Directors & Boards: cover story, "Fixing the
Annual Meeting." For the earlier foundations of these communication
June 25, 2008 Forum Report: Initial Comments on Yale-Deloitte Report
and its linked references.