08 Oct 2013

Client Memorandum 2014

Sodali

Sodali’s 2014 Client Memo, “The Autonomous Board,” describes trends and challenges facing boards of directors in 2014 and recommends a comprehensive board program for dealing with them.

The trends include: (1) increasing scrutiny of boards by shareholders and regulators; (2) greater willingness of shareholders to withhold votes from individual directors; (3) pressure on boards to provide substantive explanations for their governance practices; (4) pressure on institutional investors to factor governance and sustainability into investment decisions and to exercise voting rights responsibly. 

We believe that director accountability represents an endgame of the corporate governance reform movement. Shareholder resolutions and pressure for compliance with governance norms will continue, particularly in emerging markets, but the real focus will be on how directors make governance decisions and oversee their implementation. We believe that the governance spotlight will remain permanently fixed on the board of directors.

 

Client Memo 2014 has been posted on the Harvard Law School blog, here is the link: Harvard Corporate Governance blog

Directors & Boards published one segment of the 2014 Client Memo, here is the link: Directors & Boards

Topics

Succession Planning ESG Mergers and Acquisitions IR Convergence Shareholder Activism Shareholder Engagement Directors General Meetings / Proxy solicitation Regulation / Reform Governance Remuneration Shareholder Communication Bonds Family Owned / Non listed companies IPO