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For the text of the letter reported in the article below, sent to the chairmen of 800 companies requesting explanations of several subjects that included "Pay" on its second page, see


IR Magazine, March 1, 2010 article


Crossbow logoPeople on the street

Insurer demands executive remuneration disclosure

Mar 01, 2010

Aviva seeks ‘explanations and justifications’ from 800 chairmen

Chairmen of large companies listed in the UK have been told to justify and clarify executive remuneration policies if they want shareholders’ approval.

Anita Skipper, corporate governance director of Aviva Investors, has sent a letter to all 800 chairmen ahead of this year’s annual investor meetings season. The fund sent the letter out late last week and is expecting replies from its clients.

The investment arm of insurance giant Aviva Group, Aviva Investors has assets under management worth £236 bn ($353.6 bn) and has called for clear ‘explanations and justifications. If we are not able to work out remuneration policies easily, we are unlikely to support the remuneration arrangements’, the letter states.

The fund has called for a continuing debate over ‘the apparent disconnect there has been between executive pay inflation and the value creation for shareholders.’ It owns approximately 1.5 percent of every company quoted on the FTSE All-Share Index.

Robin Froggatt-Smith





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